Canada’s lack of AI framework ‘a bit embarrassing,’ Champagne says

The bill has been stuck since April 2023 in a parliamentary committee

The government tabled an act that aims to regulate AI about two years ago. The legislation known as Bill C-27 is in limbo after opposition parties started a filibuster to delay its adoption, according to the minister.

Champagne was speaking alongside European Union’s antitrust chief Margrethe Vestager at an event in Montreal on Wednesday. In March, the European Parliament passed the world’s first AI Act, which will come into full force in 2027.

“If we want to move from fear to opportunity, you need to build trust,” said Champagne over concerns regarding AI’s potential to cause harm to society. “The way to build trust is through regulation.”

The core of the proposed Canadian framework is focused on the use of high-impact AI systems, such as screening systems dedicated to employment or systems that can influence human behaviour at scale, which could produce discriminatory outcomes or impact people’s safety.

Businesses would be required to implement measures to mitigate such risks and non-compliance could result in monetary penalties, prosecution of regulatory offenses and criminal offenses.

The bill has been stuck since April 2023 in a parliamentary committee, where lawmakers have held extensive hearings. The problem is that the AI framework is only one part of Bill C-27, which also includes changes to consumer privacy protection and the creation of a new personal information and data protection tribunal. Over a hundred amendments have been submitted, slowing down the whole process.

The opposition Conservatives didn’t respond to a request for comment but have accused the Liberal government of seeking to censor the internet with the law.

AI pioneer and scientific director of Mila-Quebec AI Institute Yoshua Bengio said in an emailed statement that Canadian politicians must “grasp the urgent need for an adaptive national regulatory framework as soon as possible.”

Giant technology firms such as Amazon has engaged in intense back-door lobbying against the bill, according to people familiar with the matter who asked not to be named to discuss private conversations. The company did not respond to a request for comment.

“Trying to regulate all applications with the same approach is very impractical and can inadvertently stifle innovation,” she said.

Despite political adversity and protest from big technology companies, EU’s representative Vestager said in an interview that she hopes Canada will pass a bill soon to start building a worldwide network “that will make us all so much stronger.”

Vestager added that these AI frameworks should not aim to have big tech on board, “because when big tech ask for regulation, it’s never the regulation that we come up with.”

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