hull, que.: Like a stand of old growth forest encircled by fires, the cbc gamely extends its firebreak and wonders if the flames will saute branches, sear roots or both before the water bombers come.

Licence renewal time for the public broadcaster.

But this time, instead of assuming its usual flame-retardant stance, the crtc threw some sparks of its own at the cbc’s parched turf.

In late May, hearings to renew cbc’s 31 television (and radio) licences began three weeks of tough going as rival broadcasters scramble ferociously for scarce ad dollars in a splintering market. Private-sector sniping over the cbc’s right to compete for commercial revenue foreshadowed the proceedings. CanWest Global’s Izzy Asper led the attack against CBC English Television, while a tva/tqs-choreographed consortium fired mortars at Radio-Canada (see below).

Only five days before the hearings started, the crtc awarded four new French-track specialty licences, and rejected all four Radio-Canada applications. As it decided who would receive the new French specialty licences, the commission would have known that Heritage Minister Sheila Copps has said the cash-poor cbc has a weak case in pursuit of new services.

Meantime, the cbc remains resolute in trying to expand its ‘constellation’ of services. Two English specialty applications are before the crtc, The Land and Sea Channel and The People Channel, the latter in partnership with Alliance Atlantis Communications.

Executive director of network programming Slawko Klymkiw says the cbc has to persevere: ‘To suggest to us that we should put our heads in the sand and ignore what’s going on in the world – we will be an anachronism if we don’t keep up.’

Nevertheless, the crtc’s decision – supported by the Canadian Association of Broadcasters – to award the new French licences to the private sector effectively questions whether the regulator sees a future for cbc in specialty tv. Network executives were plainly frustrated, asserting that a larger public presence in broadcasting is the only way the Corp. can maintain a significant presence for its distinctive Canadian perspective.

The cbc, looking for seven-year licence terms, also shot down suggestions that CBC Radio’s commercial-free success could be replicated in the expensive world of television by replacing advertisers with sponsors. Said president Perrin Beatty: ‘Any cuts to advertising revenue would mean yet another cut on top of the $400 million already trimmed from cbc budgets over the past four years.’ He also said cbc will not become ‘pbs of the North,’ adding that the $300 million in annual ad revenues is its only stable source of funding.

With these controversies top-of-mind, the regulator turned its attention to English-language tv, beginning with Newsworld May 31. Newsworld executives outlined staffing and structural changes made while preparing their renewal application plus improvements they would make if granted an $0.08 monthly subscription rate increase (see summary of main changes/announcements in Newsworld/cbc sidebar, left).

Commissioner Stuart Langford led the questioning, grilling Newsworld’s panel over the network’s ad sales strategy.

‘Newsworld’s whole emphasis is not on an area that makes money, it’s one that probably loses money,’ he said, reasoning that Newsworld’s mandate of interrupting scheduled programming with breaking stories (this occurred more than 500 times in the past year) must discourage ad buyers. ‘If we [the crtc] give you more money, aren’t we going to be making it harder for you?’ Langford asked, reasoning that if a rate hike allows Newsworld to buy more satellite news gathering equipment and boost regional coverage via ‘video journalists,’ advertisers could expect even more interruptions.

‘Live [programming] doesn’t hurt my revenue,’ countered Newsworld director of sales Geoff Thrasher, since breaking stories build audience. Advertisers buy based on audience demographics, he said, and his credits inventory – ads which did not air as scheduled and for which advertisers receive make-goods – is under 1%.

Langford said it is discouraging that Newsworld predicts little or no growth in ad revenues over its next licence term. Thrasher pointed out this is a mature marketplace for an established specialty, adding that salaries and other costs will rise. New services, he says, project big increases because they start at zero and discount rate cards heavily.

Newsworld head Tony Burman summed up the debate: ‘We don’t take [rate] increases lightly’ but need to ‘encourage Canadians to turn on a Canadian news channel if something happens, and not cnn.’

Newsworld, whose monthly subscription rate was raised to $0.55 at hearings in 1992, is not reporting a deficit – although media reports have claimed it has done so for the past three years. Newsworld’s audience polls indicate viewers would readily accept an $0.08 increase.

CBC Main Network

The main English tv network began responding to private-sector lobbying for programming changes even as it prepared its licence application. (See summary of main changes/announcements in Newsworld/cbc sidebar, left)

The private sector wants the ad market to itself or, if not, wants the best revenue generators liberated from the cbc schedule, especially professional sports. Producers want the cbc to honor all its commitments in the children/youth sector and acquire any additional programming required from independents; buy more programming from independent producers; and spend more money on regional programming. Filmmakers and artists want a broader place on the programming grid and a showcase for performing arts.

The cbc told the commission that nine of 10 most-watched Canadian entertainment series in the past season were on cbc. The broadcaster plans to increase its overall Cancon to 100% in weekday primetime.

An increase of about 50% is en route to shore up amateur sports coverage over the next two years without increasing the total hours of sports on the schedule. It’s not clear how or if cbc’s competitors will pick up any pro sports cbc drops.

To bolster youth fare, Arts and Entertainment head Phyllis Platt will add a new Canadian show in the first two years of a new licence. (Currently, cbc says it has eight hours a week of ‘appropriate for youth’ programming, but the crtc would not code all eight as youth.) Ongoing, Platt says the network will meet the crtc requirement of at least five hours each week.

To satisfy calls for more programming sourced, for instance, from the Prairies, Klymkiw says several Prairie projects are in development and the network plans to infuse some $25 million over its next term to develop non-news shows from all regions. Last year, 38% of the cbc’s budget was spent regionally.

As previously announced, cbc will ‘more than double’ its investment in feature films, injecting $30 million over the next five years in independent productions. Platt says the money will cover prebuys, acquisitions, equity investments, development, distribution, promotion, sponsorships and festivals. She will not specify where the new money will come from but says, ‘the a&e (Arts and Entertainment) budget isn’t the only one at the cbc.’

Major news announcements/structural changes at CBC

CBC Newsworld:

* a pre-hearing rationalization of staffing resulted in centralization of all anchors/presenters in Toronto; eight positions cut in Calgary (two news production shifts melded into one) and 10 cut in Halifax; a news ‘desk’ of seven jobs moves to Toronto, but unspecified number of job cuts coming ‘soon’ to Toronto;

* promising re-emphasis on news gathering, especially outside major centres; will also add five ‘video journalists,’ likely one each in Northern Canada, Pacific, Prairie, Central and Atlantic regions;

* use part of requested $0.08 rate hike to beef up sng capability;

* launch internship program so that Newsworld-trained journalists could feed existing staff and import younger point of view;

* acquire more indie-produced programming; extra $600,000 for docs, or about 10 more;

* continue or increase joint production of programs such as Culture Shock with rdi.

Main English network:

* cbc will persist with two English-language specialty applications, the Land and Sea Channel and The People Channel (with Alliance Atlantis);

* work with indie prodcos – now supplying 60% of overall cbc production, 90% in drama – to develop a ‘terms of trade’ agreement to clarify business practices between cbc and program suppliers;

* $30 million spending increase on feature films, termed ‘significant new commitment to Canadian independent production’;

* showcasing Canuck arts programs on Thursday primetime, either from 9-10 p.m. for single programs or from 8-10 p.m. for feature films; also, within one year increase ‘performance’ presentations from 12/year to ‘at least’ 24/year, at least half in primetime;

* add one new youth program a week within the first two years of new term and meet the crtc’s requirement of five hours/week in youth category;

* increase amateur sports coverage by at least 50% over next two years; pro sports coverage will decline by 10% over the next season;

* schedule currently includes 40% regional production; cbc to ‘return an hour a week of primetime to the regions,’ 26 weeks a year; will also broadcast ‘the best’ regional programming on the network.