Hon. Marc Gold (Government Representative in the Senate): Honourable senators, I wish to advise the Senate that I have been unable to reach an agreement with the representatives of the recognized parties to allocate time to the motion, as amended, to respond to the message from the House of Commons concerning the Senate’s amendments to Bill C-11, An Act to amend the Broadcasting Act and to make related and consequential amendments to other Acts.

Therefore, I give notice that, at the next sitting of the Senate, I will move:

That, pursuant to rule 7-2, not more than a further six hours of debate be allocated for the consideration of the motion, as amended, to respond to the message from the House of Commons concerning the Senate’s amendments to Bill C-11, An Act to amend the Broadcasting Act and to make related and consequential amendments to other Acts.

Hon. Percy E. Downe: Honourable senators, I have been asked to deliver this speech on behalf of Senator Black, who is unable to deliver it tonight. I must say, colleagues, this is the first time I have delivered a speech on behalf of somebody else, and right off the top, I note that it’s much longer than my normal speeches, so I ask your indulgence. Secondly, this is the first week when I have delivered two speeches after 10:30 at night. I hope it doesn’t become a pattern in my life.

Honourable colleagues, on behalf of Senator Black, I rise today to speak to Bill S-242, An Act to amend the Radiocommunication Act. As many of you know, Senator Black is and always will be an advocate for rural and Northern Canadians.

He has lived and worked in rural settings for most of his life, and he will continue to speak in the best interests of rural Canada here in the Red Chamber.

He would like to start his speech by thanking his honourable colleague from Nunavut, the Honourable Senator Patterson, for bringing this issue to the attention of the Senate. Senator Black believes this is an important step forward in ensuring Canada is more effective, connected and competitive in this new technological age.

The internet is no longer a luxury but a necessity for Canadians. It is a critical tool for communication, education, health care, business and so much more. It has transformed the way we live as Canadians, the way we work and interact — not just with one another, but with people across the world. It has become an important part of our daily lives.

Unfortunately, colleagues, not everyone in Canada has equal access to the internet, and this is particularly true for those who live in rural communities.

Bill S-242 is a vital piece of legislation that aims to amend the Radiocommunication Act with the goal of improving access to high-speed, broadband internet for all Canadians, including those living in rural and remote communities. This “use it or lose it bill,” as it has been called, seeks to achieve this by amending Canada’s spectrum policy for the provision of broadband services in rural and remote areas to require service providers to expand their network to reach more Canadians. It is essential that those who hold spectrum provide the broadband needed so those underserved communities can obtain reliable broadband service.

This means that unused spectrum would be made available to other users, such as smaller internet companies in rural communities, without impacting the operation of licensed users. As Senator Patterson of Nunavut mentioned, in the next spectrum auction, it’s an important next step for Canadians that every carrier has access to 100 megahertz of 5G spectrum as long as they are ready to use it.

Colleagues, I must tell you, I really like this speech. Senator Black wrote a very good speech, and I agree with everything he is saying here. It certainly has an impact on Prince Edward Island. I just hope it keeps getting better since I just got it a few minutes ago.

Colleagues, this approach has been successful in other countries, such as in the United States where the Federal Communications Commission adopted similar policies to promote the efficient use of spectrum and expand access to broadband internet. By adopting similar policies in Canada, we can ensure that rural and remote communities and agricultural businesses have access to the tools they need to succeed in the digital age. This is an essential step forward in ensuring that all Canadians have access to high-quality broadband internet regardless of where they live or work. By eliminating “spectrum squatting,” as my honourable colleagues — Senator Simons, I believe, and Senator Patterson — both referred to, Bill S-242 will help fix the digital divide and help smaller companies bring much-needed service to Canadians who have been left behind for far too long by larger communication firms sitting on spectrum.

A few weeks ago, Senator Black had the opportunity to meet with a local broadband provider here in Ottawa who spoke about their struggles expanding their service in rural parts of Eastern Canada. For years, they worked hard to grow as a company and add clients, but with large corporations holding spectrum contracts, they are significantly limited in doing so.

Senator Black commends Storm Internet for their continued work as one of many organizations across the country trying to provide for Canadians, and he would like to again extend thanks to Storm Internet for taking the time to meet him in their office here in Ottawa.

Colleagues, Bill S-242 is about more than just access to the internet. It is about creating a level playing field for all Canadians regardless of where they live. It is about ensuring that every Canadian has access to the same opportunities regardless of whether they live in a major city or a rural region. This is particularly important for rural communities that often lack the same access to services and resources as their urban counterparts. By ensuring that all telecommunications companies use the spectrum they bid on, Bill S-242 shall allow rural communities and smaller internet companies to compete on an equal footing with urban centres.

This, in turn, will promote economic growth and create new opportunities for Canadians living in rural and remote areas which will benefit not just these communities but the many businesses and industries that support these regions.

Senator Black also wanted to make reference to the necessity of broadband access on the farm. The growth and innovation of the agriculture sector demands further involvement of technology in many, if not all, aspects of farming.

In the Agriculture and Forestry Committee, he has heard about the importance of the on farm data collection, networking and collection of information to share across the country regarding soil health, and, honourable colleagues, that is just one aspect of farming. Farmers are dependent on technology and will continue to depend on access to the internet and broadband services to improve, enhance and refine their practices.

The agricultural sector faces unique challenges that require creative solutions. The industry is changing rapidly with advances in technology and automation, transforming the way farmers operate. However, to maintain this positive course, government action is needed to guarantee internet connections for all Canadians — not just those in city dwellings, but also for those who put food on our tables.

Honourable colleagues, I would like to complete Senator Black’s time by discussing the disparity between those with internet access and those without. Only 59% of Canada’s lowest income families have internet access. In rural areas, where the majority of Canada’s Indigenous people are located, they have even less. Only 40.8% have access to broadband speed good enough to effectively use computers and online resources. In the era of technology-based labour, these disparities cannot continue, and we must work to provide for all Canadians by closing gaps and disparities that separate Canadians from opportunities.

Of course, the passage of Bill S-242 is only one part of the solution. We must also continue to invest in infrastructure and other initiatives to expand access to broadband internet and other digital services. This includes supporting community-led initiatives to build and maintain local broadband networks as well as working with telecom providers to expand coverage in underserved areas.

The availability of broadband internet is not the only issue facing rural communities and the agricultural sector. Many rural communities also face challenges in accessing basic services such as health care, education and transportation. These challenges can be worsened by the lack of a reliable internet connection. We have heard that many professionals — doctors, lawyers, accountants and nurses — do not want to settle in rural areas that lack basic infrastructure, secure and stable internet access being one of those.

Rural communities will continue to shrink without government support to improve these basic necessities of life. We must also recognize that the challenges facing rural communities and the agricultural sector are complex and multi-faceted. We must take a holistic approach to addressing these challenges and ensure that all Canadians, regardless of their location or industry, have access to the tools they need to be successful in today’s world.

In closing, Senator Black would urge his colleagues to support Bill S-242 — as I would, as well, I might add. By eliminating spectrum squatting through use it or lose it regulations, we can help bridge the digital divide in Canada and ensure that all Canadians, regardless of where they work, play and live, have equal opportunities for success.

Thank you, colleagues.

Hon. Yonah Martin (Deputy Leader of the Opposition): Honourable senators, I rise today to speak to Bill S-242, an act to amend the Radiocommunication Act. I would like to thank Senator Patterson of Nunavut for introducing this bill and working on it so diligently.

I believe the bill makes a very important contribution towards stimulating government action. Colleagues, what we are facing in this country are serious connectivity challenges for rural and remote parts of Canada. There are senators in this chamber who are very familiar with many of those challenges. Senator Manning, for instance, who is a member of the Senate Communications and Transport Committee that reviewed this bill, spoke to many of the challenges he himself has faced in his home province of Newfoundland and Labrador.

I know that other senators are also very familiar with the significant challenges faced by Canadians in the provinces, territories or regions they represent. That is, of course, particularly true for Senator Patterson.

When Senator Patterson spoke on his bill at the Senate Communications Committee, he referenced a key motivation that led him to introduce this bill. Specifically, he said:

Many of you will remember various questions or interventions that I have made over the years about improving connectivity for rural and remote regions within this vast country of ours. My region is probably a poster boy in remoteness and inaccessibility. This bill is another attempt to help all Canadians have access to the same level of service that you and I enjoy while here in Ottawa.

Honourable senators, I think those of us who live in urban centres, where we take so many of our conveniences for granted, need to reflect on the challenges faced by many in rural and remote parts of our country who do not enjoy such conveniences. I believe it is actually a misnomer to refer to connectivity simply as a convenience. In the connected society in which we live, it has become essential to ensure that all Canadians can have at least similar opportunities in our digital world.

In the remarks I originally made on this bill at second reading, I referenced an article in Policy magazine by Helaina Gaspard, Alanna Sharman and Tianna Tischbein of the University of Ottawa. That article, entitled “Governing Connectivity: How is Spectrum Policy Impacting the Lives of Canadians?,” noted how important access to spectrum is for anyone in our digital economy. The authors stated:

Spectrum has a direct or indirect role in most areas of industrial development and economic activity. From connectivity to medicine to transport and shipping, spectrum policy — the policies shaping how spectrum is allocated to different users and uses — has implications for economies and people.

That is where I believe this bill has been so important. It has brought badly needed attention to the issue of connectivity for Canadians living in remote and rural areas. In that regard, Senator Patterson has done these Canadians a very significant service.

The Standing Senate Committee on Transport and Communications reviewed the bill and heard from many witnesses. Some witnesses expressed concerns that the bill, as drafted, might not facilitate rural connectivity in the way that it was intended. Jonathan Black, Executive Director of the Canadian Association of Wireless Internet Service Providers, told the committee that his association strongly supports a use-it-or-lose-it framework and the fundamental premise of Bill S-242. But he worried that “a one-size-fits-all approach to deployment requirements” might not work as intended in rural P.E.I. or coastal B.C. He also worried that the civil liability imposed by the bill might discourage investment.

Similar concerns were expressed by Robert Ghiz, President and Chief Executive Officer of the Canadian Wireless Telecommunications Association, who also said of Innovation, Science and Economic Development Canada:

. . . the department requires a flexible framework that allows it to tailor its processes in spectrum licensing conditions to suit the unique characteristics of the spectrum band being licensed and its proposed use.

Mr. Ghiz worried that:

A one-size-fits-all requirement will limit the department’s ability to do so and risk undermining the department’s and the industry’s shared goal of improving network quality and coverage.

These concerns notwithstanding, we remain confronted with a serious problem. As I stated when I spoke to the bill at second reading, only 30% of rural communities have access to high‑speed internet, and only 24% of Indigenous communities have similar access.

The COVID-19 pandemic pointed out the urgency of accelerating progress towards digital equity for rural Indigenous communities. The perpetuation of digital inequity will only increase the existing socio-economic gap between Indigenous and non-Indigenous people, not only for business opportunities and employment but in education and physical and mental health as well. Indigenous communities must be fully equipped to access broadband, to contribute, thrive and succeed in today’s digital society. So, we need to strongly encourage active measures to address these serious gaps for our most vulnerable communities.

Eva Clayton, President of Nisga’a Lisims Government, spoke for many Canadians in these vulnerable communities when she stated:

Having a legal recourse and some assurance that the service providers will be held to account and will be held accountable to remote communities through this bill will not only help communities access important and critical services but will also help alleviate some of the financial burdens in order to stay connected because of a lack of oversight.

Similarly, Professor Jeff Church of the University of Calgary expressed his delight with Bill S-242. He referenced analysis by which TELUS found that “only 20% of some set-aside spectrum in rural area has been deployed,” and that spectrum set-asides range from 40% to 60% of the total in some auctions. He argued that this pointed to a considerable misallocation of spectrum. The misallocation, he said:

. . . becomes notable when spectrum has been assigned but there is either poor or no service in rural and remote areas.

When I consider what the committee did, I am pleased at the way it sought to respond to what these witnesses told the committee and to instead bridge some of these gaps. An amendment introduced by Senator Harder and supported by Senator Patterson provides for greater flexibility through the provision of greater flexibility to the minister and potentially working with smaller service providers to assist in providing greater coverage of rural areas.

Senator Patterson also engaged in significant consultations with stakeholders to further improve his own bill through amendments which further encourage licence holders to deploy spectrum as broadly and inclusively as possible, in particular, to better serve rural and remote areas.

When he spoke at committee, Professor Gregory Taylor of the University of Calgary made the specific point that this bill has brought real issues into the policy discussions that have been insufficiently addressed up to this point. There is clearly more work still to be done.

The committee itself acknowledged that in its own observations on the bill in relation to the need for additional government policies and incentives to encourage proponents to serve rural and remote regions, particularly Indigenous communities, who are among the most unconnected communities in the country. Since these recommendations were beyond the scope of this bill, it will be incumbent upon government to take concerted action.

Honourable senators, this gap in rural and remote connectivity has been with us for too long. In 2021, the Conservative Party’s election platform stated:

As technology continues to advance, the infrastructure of the future – broadband and 5G – will be increasingly critical to job creation.

The platform proposed to “build digital infrastructure to connect all of Canada to High-Speed Internet by 2025,” to accelerate the building of rural broadband and to implement a new and faster approach to the spectrum auction process and integrate use-it-or-lose-it provisions to ensure that spectrum, particularly in rural areas, is actually developed.

The current government has also made commitment to the use-it-or-lose-it approach, and that commitment is incorporated in Minister Champagne’s mandate letter specifically. It directs the minister to:

Accelerate broadband delivery by implementing a “use it or lose it” approach to require those that have purchased rights to build broadband to meet broadband access milestones or risk losing their spectrum rights.

So, we have widespread agreement that this should be done. But we have simply not been moving fast enough. We should be under no doubt that due to the current government’s delays, Canada now has considerable catching up to do. As I noted at second reading, Canada ranks below the OECD average when it comes to connectivity. In contrast to Canada, 5G is already being rolled out in countries such as Korea and Norway. Korea is already working ahead to 6G considerations, with government and universities engaged in planning and the study of applications for end users.

Canada’s sluggish approach is having significant implications for Canada’s global competitiveness. If we fail to act, not only will our economic competitiveness be impacted, but the government’s own ability to ensure effective services will be undermined. In areas such as health care delivery, for example, this has very serious implications.

I believe that Senator Patterson’s bill makes an important contribution to ensuring that we finally address this issue. Honourable senators, I ask you to support sending the bill to the House of Commons so that it can be adopted and to prod the government into broader policy actions that will tackle this very important issue. Thank you.

The Hon. the Speaker: Are honourable senators ready for the question?

Hon. Raymonde Gagné (Legislative Deputy to the Government Representative in the Senate): Honourable senators, with leave of the Senate and notwithstanding rule 5-13(2), I move:

That the Senate do now adjourn.

The Hon. the Speaker: Is leave granted, honourable senators?

The Hon. the Speaker: Are honourable senators ready for the question?

The Hon. the Speaker: Honourable senators, when shall this bill be read the third time?

(On motion of Senator Boyer, bill referred to the Standing Senate Committee on Legal and Constitutional Affairs.)

On the Order:

Resuming debate on the motion of the Honourable Senator Wallin, seconded by the Honourable Senator Smith:

That the fifth report of the Standing Senate Committee on Banking, Commerce and the Economy, tabled in the Senate on Wednesday, February 15, 2023, be adopted and that, pursuant to rule 12-24(1), the Senate request a complete and detailed response from the government, with the Minister of Finance being identified as minister responsible for responding to the report.

The Hon. the Speaker: Are honourable senators ready for the question?