Canadian Content - Cable, Satellite and other distribution systems

Canadian Radio-television and Telecommunications Commission

Reinvesting in the System

Canada's Broadcasting Act requires that:

each element of the Canadian broadcasting system shall contribute in an appropriate manner to the creation and presentation of Canadian programming.

The Canadian broadcasting system is made up of all the Canadian programming and distribution services involved in broadcasting:

programming services (such as radio, television, specialty or pay-television services) that decide what programs to carry; or

distribution services (such as cable television, direct-to-home satellite (DTH) or multipoint distribution systems (MDS)) that deliver programming services to the public.

Contributions to Canadian Programming

The CRTC requires that broadcasting distribution undertakings (e.g. cable companies, direct-to-home satellite services (DTH) and multipoint distribution systems (MDS)) make financial contributions for the creation of Canadian programs.

The CRTC's 1997 regulatory framework for broadcasting distribution undertakings addresses the issue of contributions (Paragraphs 116 to 150) and sets out the following framework:

With the exception of small cable companies, all broadcasting distribution undertakings must contribute a minimum of 5% of their gross annual revenues derived from broadcasting activities to contribute to the creation and presentation of Canadian programming.

DTH distributors must allocate the entire 5% programming contribution to an independently-administered production fund.

The CRTC recognizes the important contribution of local expression to Canadian programming and provides incentives to cable companies so that a portion of the 5% contribution can be devoted to the production of local expression for the communities they serve.

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Reinvesting in the System

Contributions to Canadian Programming