MONTREAL — Even though almost one million Canadian households aren’t ready for the transition to digital TV, the head of the CRTC says there’s no need for a government subsidy to help consumers.
Chairman Konrad von Finckenstein said digital converter boxes have come down in price with a “deluxe” box costing $75, while consumers can buy them for as little as $29 on online auction site eBay.
“Frankly, having a government program for a month — that easily strikes me as being over the top,” von Finckenstein said. “Surely people who receive their signal over the air can afford to spend that amount of money and I am pretty sure they will.”
Canadian broadcasters will make the switch to digital television from analog on Aug. 31, 2011.
Von Finckenstein noted the United States had a subsidy program when it went to digital TV in 2009.
“If the government wants to do it, there’s nothing that stops them from doing it,” he added. “But I don’t see any necessity for it.”
The Canadian Radio-television and Telecommunications Commission has estimated there up to 857,000 households in large markets that don’t subscribe to either cable or satellite TV.
Canadians who subscribe to cable or satellite television services will not be affected by the transition to digital TV, the CRTC said.
Digital technology provides better picture and sound as well as delivering high-definition television. It also uses fewer airwaves that the CRTC said can be freed up for emergency communications and mobile phone services.
Those consumers who don’t make the switch will be faced with a blank screen.
Von Finckenstein said he believes Canadian broadcasters will be ready.
“I am convinced at the end of the day, except for a few laggards, the conversion will take place on time.”
Canada is one of the last jurisdictions to convert to digital TV, he said, adding that August 2011 date was picked to learn from the U.S. experience and to allow converter boxes to come down in price.
The CRTC also says in smaller markets, some local stations may decide not to convert to digital signals and that means some consumers may have to purchase a satellite receiver and dish at a minimum cost of $300 to get a package of local TV stations at no charge.
Von Finckenstein said some of these consumers may ask for some sort of support from the government to help them meet the costs.