The Governor General's Award nominees pictured on the Canada Council website are old, because they are nominated for a major award for late-career artists. These are awards for career achievement, but the Canada Council is certainly more involved with the art scene here than you think and not just for olds. I'm employed by a non-profit artist-run centre staffed entirely by under-40s, most of us in our 20s, which is supported in part by the Canada Council as well as other federal, provincial and municipal government sources, private donors and members.
In any case, this isn't where the money goes in this case. The copyright board distributes the money through SOCAN. That means that any indie band that gets radio play (and that means a lot in Canada where the radio spectrum includes very healthy college and community radio stations distinct from their US counterparts as well as the CBC, all of which are mandated to play Canadian talent that doesn't make it onto commercial radio) will get some money. And they do—not always much, but a nice benefit and a stepping stone to a successful career.
There are perfectly good reasons to be opposed to this levy, or to dislike either the SOCAN or the federal arts-funding system (especially when the whole sector is destabilized by the expectation of unknown cuts to unknown areas, as we are now—makes budgeting tricky), but totally misunderstanding both isn't a great example.