Letter to CRTC


REGINA: The Canadian Taxpayers Federation (CTF) has asked the Canadian Radio-Television and Telecommunications Commission (CRTC) to deny an application by SaskTel to offer community programming through its Video-On-Demand service.

The CRTC denied SaskTel's original request for a community programming license on the grounds that it lacked true programming independence.

"The CTF is intervening in this application because expanding SaskTel is not in the interest of taxpayers," said CTF Saskatchewan director David MacLean. "The reality on the ground in Saskatchewan is that it's impossible to see where the government stops and where SaskTel begins. There is no indication of what this could cost, and it represents yet another excursion by SaskTel in the realm of the private sector. This sends all the wrong signals to the rest of the world about our province."

The CTF told the CRTC that SaskTel continues to be used by the Government of Saskatchewan to fulfill policy objectives not related to SaskTel's core business. In December of 2004, the government issued energy rebate payments to Saskatchewan residents by placing a credit on SaskTel phone bills.

The CTF also argued that such a service is redundant, as existing private companies already provide community programming. The government also operations Saskatchewan Communications Network (SCN), which is underwritten by taxpayers to offer programming to all communities in Saskatchewan.

"The bottom line is taxpayers should not be asked to pay for a service that is already being provided by both the government and the private sector," said MacLean. "SaskTel needs to stick to its core business of providing low-cost phone service and let entrepreneurs do the rest."