Canada: Licensing of an Egyptian-owned telecommunications firm
Description
The Government of Canada is considering changes to its investment regime that may loosen some restrictions on foreign investment in the telecommunications sector. In the Throne Speech on March 3, 2010, the Government of Canada stated that it “will open Canada’s doors further to venture capital and to foreign investment in key sectors, including the satellite and telecommunications industries.”
At the same time, one specific case is being litigated within the existing regime. At issue is the licensing of Egyptian-owned mobile carrier Globalive Communications to provide services in Canada. The main developments to date are as follows:
- On October 29, 2009 the Canadian Radio-Television and Telecommunications Commission ruled that Globalive did not comply with Canadian ownership and control requirements under the Telecommunications Act.
- The Governor in Council varied the decision on November 10, 2009, thus allowing the company to offer telecommunications services in Canada.
- Other providers challenged the action of the Governor in Council, which the Federal Court overturned on February 4, 2011. If upheld, the decision would require the company to restructure to comply with the Act, to cease operations or to appeal further.
· The Canadian Government appealed the Federal Court’s judgment on February 15, 2011.
As of this writing the specific matter of Globalive remains in litigation and public consultations regarding future liberalisation of the restrictions on investment are still underway.
Any Evidence-Based Deliberation:
| Question | Result |
|---|---|
| Is there anything in the public record to suggest that evidence of the effectiveness of the proposed measure was considered during official deliberations? | Yes |
| Is there any evidence that alternatives to the proposed measure were considered? | Yes |
| Is there anything in the public record that suggests that empirical evidence informed the comparison across the alternatives available to government? | Yes |
| Was such evidence identified? | Yes |
| Is such evidence publicly available? | Yes |
| Did the official decision-maker in question provide an explanation as to why a chosen measure was favoured over alternatives? | Yes |
| Is there any evidence to suggest that potentially affected trading partners were consulted before the measures were taken? | Don't Know |
| Is there any evidence that safeguards have been put in place to ensure that implementation of the initiative is transparent and non-discriminatory? | Don't Know |
| Did the government state its intention to review the measure within one year of implementation? | Don't Know |
Date Discovered:
Implemented: No
Date of inception:
GTA Evaluation: Amber
Source:
See the hyperlinked material in the description.
Government Response:
- 194 reads












