Ottawa calls for review of CRTC decision on streamers' Cancon contributions

Ottawa calls for review of CRTC decision on streamers' Cancon contributions

CRTC requires streaming services to direct 15% of revenues earned here to Canadian content

Ottawa says it will direct the CRTC to review its recent decision tripling streamers' financial contributions to Canadian content.

The government says Ottawa will issue a new policy direction to the Canadian Radio-television and Telecommunications Commission to adjust how it is implementing the Online Streaming Act.

The CRTC said in May it would require large streaming services like Netflix to contribute 15 per cent of their Canadian revenues to content here.

The government said it will instead provide $600 million to Canada's audio and audiovisual sectors.

The Motion Picture Association, the U.S. group representing streamers, had called on cabinet to reconsider the current approach.

As well, the U.S. ambassador to Canada called for the policy to be rescinded.

Under the Broadcasting Act, cabinet doesn't have the authority to directly overturn the decision, but must instead direct the CRTC on how to broadly implement the act.

In an email to CBC News, the CRTC said it is aware the government will direct the agency to adjust the implementation of the Online Streaming Act.

"The CRTC will review any new policy directions as they are released," the agency said.

Culture minister says Ottawa will direct CRTC to review decision on streamers' CanCon contributions