The CRTC is making TV more affordable to Canadians.
On March 1st, 2016, Canada’s licensed TV service providers must start to introduce new options for customers. Specifically, the companies must roll out an affordable basic package that costs no more than $25 per month. Companies can charge less if they want.
The companies must also allow either the option to pay for individual channels, labelled “pick and pay,” or small packages with 10 channels or fewer.
“Today marks the beginning of a new era of choice for Canadian television viewers. The television system is evolving as Canadians’ viewing habits change and technology provides more options,” said Jean Pierre Blais, Chairman and CEO of the CRTC, in a statement.
The affordable basic package must include local and regional television stations, channels of public interest such as the Cable Public Affairs Channel (CPAC) and Aboriginal Peoples Television Network (APTN), educational channels, and community channels and services operated by provincial legislatures.
Also, at no added charge, it may have local radio stations, American stations like ABC, CBS, FOX, NBC and PBS, and educational channels of another province or territory.
“We encourage Canadians to shop around and negotiate with service providers to get the services they want at an affordable price,” the CRTC said in their announcement.
Canadians will no longer have to give 30-days’ notice prior to cancelling their TV services, allowing them the freedom to switch companies anytime for a better deal. You can even search for providers in your area using the CRTC’s online tool.
According to the CRTC, they decided to change the rules during their Let’s Talk TV: A Conversation with Canadians event, when many Canadians said that the price of basic cable, satellite, and other TV services was too high. More than 13,000 Canadians took the opportunity to share their views on the future of Canadian TV.
“During the Let’s Talk TV conversation, Canadians told us that they wanted the freedom to choose services according to their needs, their realities and their budgets,” continued Blais. “Canadians can now make television choices on their terms.”
Companies who introduce pick and pay as an option will allow customers to pay for individual TV channels, rather than channels grouped in large bundles.
Small packages will group together about five to 10 TV channels for customers to add-on.
Service providers must offer either pick and pay or small packages starting March 1st, but they have to have both options by December 1st.
TV service providers can set prices for individual channels, as the CRTC does not regulate these prices.
In pick-and-pay, some channels will likely be more expensive on an individual basis because they will no longer be paired up with cheaper channels in larger groupings.
Still, Canadians now have the freedom to decide what (and if) they want to pay for individual channels, small packages, free over-the-air television services, and online video services.
To be part of pick and pay, customers have to subscribe to a basic package first before adding on one channel, like The Food Network, for instance.
The CRTC said this comes after many Canadians said they wanted to see local and regional news, and information programs, prioritized.
“These programs enable Canadian citizens to better participate in Canada’s democratic, economic, cultural and social life,” continued the CRTC.
All licensed cable and satellite companies will have to offer the affordable basic package, pick and pay and small packages, other than companies with less than 20,000 subscribers.
