The CBC: It Costs More than You Think

The annual direct subsidy from federal taxpayers to the CBC is about $1 billion. This figure is relatively well known, particularly among critics of the CBC. The fact that the CBC also receives $120 million annually in mandatory payments from cable and satellite TV subscribers is not well known.

All cable and satellite TV subscribers are forced [by the Canadian Radio-television and Telecommunications Commission (CRTC)] to pay for both of CBC's news channels, Newsworld and its french-language equivalent RDI. In other words, if you are in Calgary, you must pay for both the english- and french-language CBC news channels. Similarly in Quebec City.

90% of Canadian households subscribe to either cable or satellite TV - many of which no doubt would like the option not to subscribe to Newsworld and RDI.

The CRTC sets the rates that cable and satellite companies have to pay to the CBC for distributing the two services to all of their subscribers. Using these rates and the number of cable and satellite subscribers, I have calculated the amount that CBC receives for Newsworld and RDI to be approximately $120 million annually.