The New Country Network is preparing for a January launch and paying little attention to the possibility that u.s.-based Country Music Television is seeking a chance to remain on Canadian airwaves in the new year.
ncn is co-owned by Maclean Hunter and Rawlco Communications. According to Shaun Purdue, mh vice-president in charge of the broadcast group, it’s business as usual at ncn, despite having to go before the Federal Court of Appeal in November to speak on behalf of the crtc’s decision to remove cmt from the list of services eligible to be carried on Canadian cable networks. (The crtc cannot represent itself in a formal appeal of one of its decisions.)
cmt filed a formal protest with the Court of Appeal in the wake of the crtc’s ruling last spring that cmt must be off the air by Jan. 1, 1995 because it would directly compete with the new Canadian country music service.
Central to cmt’s complaint was the crtc’s denial of its request to speak at last spring’s specialty channel hearings that ultimately decided the fate of the u.s. service in Canada.
cmt owners Westinghouse Electric and Gaylord Entertainment felt they had a right to be heard on issues surrounding the applications for new country channels.
But according to Purdue, cmt failed to address the issue of direct competition when it filed its intervention to the crtc, and since the commission only discusses issues at hearings that have first been laid out on paper, the commission felt it wasn’t necessary for cmt to be present for the talks.
‘Our contention was that they knew full well that they should have addressed the issue in writing, and if they did not pay attention or were so arrogant as to not pay attention, then they should not now turn around and blame the federal regulator,’ says Purdue.
The Federal Court of Appeal is expected to rule within the next two weeks. If it decides in favor of cmt, the American service will have the chance to explain its value to Canadians to the crtc, and is hoping to win the right to continue broadcasting in Canada, says Cheryl Daly, a spokesperson for Gaylord.
The u.s. owners of cmt knew when they first launched the service in Canada in 1984 that it would be removed from Canadian airwaves once a national service became available, says Purdue.
It didn’t cost the u.s. services anything to get into Canada, and they weren’t subject to Canadian content regulations or required to invest in Canadian production, Purdue adds.
‘They got a free ride on the system, but the quid pro quo back in ’84 was that if a Canadian service comes along, then you’re going to be delisted. The process was fair and they knew the rules.’
But Daly says the crtc has used its discretion in keeping u.s. services on air that appear to be in direct competition with Canadian services. The commission did not take the Cable News Network, operated by Turner Broadcasting System in Atlanta, of the air when CBC Newsworld came on board, nor did it delist the u.s.-based Arts and Entertainment channel when Bravo!, owned by CHUM Ltd. and Citytv, was licensed in the spring.
The crtc was unavailable for comment.
Gaylord also owns The Nashville Network, which will clearly remain in Canada and protect a significant chunk of Gaylord’s investment, says Purdue.
‘In the piece of the market that’s left, we have to play 30% Canadian content, going up to 40%. We’re going to be spending something like $2 million a year on Canadian production and we’re going to be employing Canadians,’ says Purdue.