Rogers Communications vice-chairman Phil Lind told the CRTC that a proposed small levy to support online Canadian content is illegal, a view later echoed by Shaw Communications, reports The Globe and Mail, setting the stage for a possible court challenge.

The federal communications regulator is considering adding a small fee to consumer Internet access bills to support the creation of Canadian online content. The move is in response to fears that Canadian content and culture is being drowned in a tidal wave of international online content. The Globe report says that Canadian producers, writers and directors have come out in favour of the plan, while telecom and cable companies oppose it.

(Full disclosure: I am a former Rogers Publishing employee.)