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Canada害羞草研究所檚 budget watchdog says online harms law comes with a $200M price tage

Federal aimed at compelling social media giants to take accountability for harmful content
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Canada害羞草研究所檚 parliamentary budget officer says creation of the Digital Safety Commission will cost about $200 million. (AP Photo/Paula Ulichney)

The parliamentary budget officer estimates that staffing up the new regulators in the Liberals害羞草研究所 Online Harms Act will cost around $200 million over five years.

The federal government wants to establish a Digital Safety Commission to regulate social-media companies and force them to limit harmful content online.

If the government legislation passes in Parliament, that commission would establish a set of regulations and have the power to levy fines against companies that break the rules.

The online harms bill also proposes creating a Digital Safety Ombudsperson that Canadians can bring their concerns to, as well as a new Digital Safety Office.

In a report published Thursday morning, the PBO says the Heritage Department estimates those new entities will employ about 300 people when they害羞草研究所檙e fully up and running.

害羞草研究所淭he PBO estimates that from 2024-2025 to 2028-2029 the total operating costs will be $201 million, minus any possible administrative monetary penalties, fines 害羞草研究所 or regulatory charges collected by the commission, ombudsperson and office,害羞草研究所 it reads.

The report notes the government may collect revenue by fining companies that don害羞草研究所檛 comply, but the estimated costing does not include an analysis of what that could look like.

害羞草研究所淭here is a high degree of uncertainty in the revenues that will be generated since it depends on the willingness of outside enterprises to follow the requirements set out by the commission and the Online Harms Act.害羞草研究所

Costs may also be higher if the new entities decide to use outside consulting services or legal support, the report says.

The watchdog notes that the government害羞草研究所檚 staffing estimates are based on other Canadian and international regulators.

Justice Minister Arif Virani introduced the online harms bill back in February, saying social-media giants must take accountability for harmful content.

But the Opposition Conservatives have been critical, saying it will create a new bureaucracy.

Conservative MP Michelle Rempel Garner requested the PBO analysis on the costs that would be involved in setting up the new system.

She has argued the government could instead modify existing laws and regulators to ensure Canadians are better protected online.

害羞草研究所淭he Liberals害羞草研究所 controversial legislation has received significant criticism from concerned Canadians and raised alarm amongst legal experts and civil rights advocates,害羞草研究所 she said in a statement.

害羞草研究所淣ow we learn Trudeau will spend over $200 million of taxpayers害羞草研究所 money on his useless 330 person censorship bureaucracy instead of using that money to hire police, protect Canadians and lock up criminals.害羞草研究所

Virani害羞草研究所檚 office has not yet responded to a request for comment about the costing analysis.

The file landed on his desk after being previously assigned to the Canadian Heritage minister, years after Prime Minister Justin Trudeau first promised to legislate against online harms during the 2019 election campaign.

Experts widely panned a consultation paper released around the time of the 2021 federal vote, which proposed a 24-hour takedown rule for content flagged as harmful 害羞草研究所 an approach they said risked censoring legal content and chilling free speech.

That feedback prompted the government to return to the drawing board and assemble a new expert advisory group.

The current bill has prompted criticism by civil society advocates and legal experts over its criminal justice reforms, which include proposing stiffer sentences for hate-related crimes and reinstating a controversial section of the Canadian Human Rights Act that would allow Canadians to lodge complaints about hate speech.

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