The federal broadcast regulator has revised its long-standing rule that restricts what counts as Canadian content for television and online streaming services.
The Canadian Radio-television and Telecommunications Commission (CRTC) uses a points system based on key creative roles in the audio-visual sector such as director, screenwriter, photographer and music composer to determine whether a production has enough Canadian involvement.
The commission announced Tuesday that it will shift from a mandated threshold of six out of 10 points to a percentage-based threshold, saying the change “will allow the framework to apply to the widest variety of productions without unduly impacting smaller productions.”
“By recognizing the contributions of a wider range of creators, we are supporting Canadians who help bring our stories to the screen,” said Vicky Eatrides, chairperson and CEO of the CRTC. “Our decision promotes Canadian talent, encourages new partnerships, and helps keep our creative industries strong for the future.”
The CRTC’s decision follows a series of public hearings it held to implement the Online Streaming Act, legislation that updated broadcasting laws to capture online platforms.
In 2024, the CRTC ordered large foreign streamers to contribute five per cent of their annual Canadian revenues to funds that support Canadian content, including local TV news. Companies such as Apple, Amazon and Spotify have challenged the order in court, arguing in part that the commission should not require payments before deciding how Canadian content will be defined.
The broadcast regulator said in its policy announcement that it would move away from a minimum threshold of six points for key creative positions filled by Canadians and other Canadian creative elements, calling the previous system “challenging,” particularly for smaller productions that may not use all key creative roles.
Under the new rules, a production must earn at least 60 per cent of the total points to qualify as Canadian content. If Canadians hold 50 per cent or less of the program’s copyright, the production must earn at least 80 per cent of the points.
Other requirements for a production to qualify as Canadian include that it must be produced by a Canadian production company, at least 75 per cent of its production service costs must be paid to Canadians, and at least 20 per cent of the program’s copyright must be retained by a Canadian, which can include a Canadian broadcaster or producer.