Prime Minister Mark Carney unveiled dramatic changes to his Cabinet last Tuesday, with some key Trudeau-era Cabinet ministers dropped, many new faces added, and some veterans taking on new portfolios.
One veteran face in a new role is Mélanie Joly. After serving as minister of foreign affairs for the past few years, Joly will now be taking on the role of minister of industry.
Joly takes over the industry portfolio at a critical time, as a battle brews between Bell and Telus over the future of internet competition in Canada.
Former prime minister Justin Trudeau’s long-time industry minister, François-Philippe Champagne, stood in the way of more telecom competition for years.
But now Joly has a chance to promote more internet competition in Canada and help get Canadians’ internet bills down at a time when affordability is a major concern for everyday consumers. The CRTC, Canada’s communications regulator, has argued for years that consumers would benefit from more cross-regional competition. Such competition would encourage more of Canada’s major regional internet providers to enter markets in other areas of the country.
This would help to break Canada’s regional telecom duopolies, which are largely responsible for the fact that Canadians pay some of the highest internet bills among peer countries. The CRTC made a decision to that effect a few years ago: The CRTC ruled that Canada’s big internet companies need to share their fibre networks with other companies, at prices determined by the CRTC. Even though this decision was made years ago, it hasn’t been finalized. Bell opposed the CRTC’s move, seeking to keep regional duopolies in place. The CRTC was initially willing to disregard Bell’s opposition, but a final decision on network sharing has not yet been made, with the federal government still having to weigh in on the matter.
It’s quite possible that the federal government’s delay is due to Bell’s lobbying efforts. One of Bell’s key rivals, Telus, has gone to court to try to get Champagne’s office to release documents that could reveal Bell’s lobbying efforts.
There are a couple of key moves Joly can make in short order to break the logjam created by Champagne’s office over the past few years.
First, Joly should release the documents Telus is looking for in its court case. If lobbying efforts behind the scenes are responsible for the federal government’s holdup and are keeping Canadians’ internet bills sky-high, Canadians deserve to know.
Second, Joly should move to increase competition in Canada’s internet space by making a final decision about network sharing.
Joly should follow the recommendations laid out by the CRTC and ensure that major internet providers share their fibre networks with others at an appropriate price to ensure an end to regional internet duopolies in Canada. Broadband costs in Canada are nearly double the costs in peer countries like France and Germany. That needs to change, and network sharing is the best way to get there.
Joly should make this pro-consumer move and make it quickly. Fifty per cent of Canadians say they’re $200 away from not being able to pay their bills. Consumers need relief, and Joly has it within her power to make that happen.
As well, Joly should act quickly because Bell is stepping up its campaign to block progress on this crucial file. Just days ago, Bell came out with a new ad campaign seeking to convince the federal government to come out against network sharing.
And, in an attempt to further pressure the government, Bell cut its investments in Canada and is slowing down its fibre network building.
The government must not cave, despite Bell’s opposition and tactics.
Canadian consumers need and deserve more affordable internet. Joly should move on from Trudeau-era intransigence, come out in favour of network sharing, and make broadband more affordable for Canadians.
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