Roundup: The demise of Energy East

The news that TransCanada decided to cancel their plans for the Energy East pipeline yesterday created a predictable firestorm of reaction, from the gloating of Montreal mayor Denis Coderre, outgoing Saskatchewan premier getting in his last kicks, to the histrionics of the Conservative caucus. The government’s line is market conditions have changed since the project was first proposed – and they’re entirely correct. But that doesn’t stop the rhetoric, either from TransCanada itself, or from the Conservatives, who are peddling some incredulous, mind-boggling lines to vilify the government.

But seriously, there are plenty of charts and graphs that show how the market conditions have changed beyond just the world price of oil (which is a bit part of it), but that the capacity with the other approved pipelines changes the equation for the hole that Energy East would have filled, and it’s no longer clear that it was a clear-cut decision after all.

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Also, it should be mentioned that as much as TransCanada is blaming government regulation, they did balls this up on their own end more than once, and do need to take some of the blame along the way. But why take that blame when you can shake your fist at the government?

And this having been said, there is a proud Alberta tradition that is underlying all of this. Because some zombies refuse to die.

Meanwhile, Paul Wells looks at the current record of the government in trying to attract investment, and wonders if we really are a place that will get the big things built, or if it will all collapse in tears and recriminations, driving investors away.

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QP: Equating Khadr with First Nations

Wednesday, caucus day, and not only was the prime minister in attendance, but we also saw NDP MP Guy Caron named as the party’s “parliamentary leader” in lieu of Jagmeet Singh while he remains seatless (and you can bet that I have a very big problem with this). Andrew Scheer led off, mini-lectern on desk, reading an exhortation about the proposed tax changes in French, condemning the defeat of their Supply Day motion on extending the consultations. Justin Trudeau responded with his usual points about being elected to raise taxes on the wealthy, and that they have listened to Canadians’ concerns as they move ahead with a bill. Andrew Scheer tried to turn the issue into one of touching the PM’s own family fortune, but Trudeau reiterated his talking points. Scheer insisted that the proposals would mean the wealthiest pay less while the middle class pay more — an extremely dubious claim — and Trudeau sounded a bit weary having to repeat himself about their plans to make the tax system fairer. Scheer then moved onto the topic of Omar Khadr, claiming that repatriation was his compensation and that the excuse of saving legal fees didn’t stack up in the face of the court case of that First Nations girls who needed braces. Trudeau reminded Scheer that they don’t only get to defend Canadians’ rights when it’s popular. Scheer asked again in French, and Trudeau responded with prepared points about the programme for uninsured care and that these services would be improved under the new Indigenous Services department. Guy Caron was up next to lead off for the NDP, and he asked about the Environment Commissioner’s report in French, and Trudeau responded first with congratulations to the new NDP leader and Caron’s new role, before giving a brief and bland assurance about the report. Caron asked again in English, and Trudeau gave a longer response about the environment and the economy and they have an ambitious carbon pricing plan coming in. Caron then railed about the Netflix deal and the outsourcing of Canadian culture to American companies. Trudeau assured him that they had faith in our content creators, and when Caron asked again in French, noting the condemnation of the Quebec National Assembly, Trudeau noted that they promised not to raise taxes on the middle class so they wouldn’t go ahead with additional levies.

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Roundup: An involuntary nomination

The outcome at the Status of Women committee was not unexpected, had as much sulking and grousing as was to be expected. In a public and not secret vote, the Liberals and NDP members of the committee rejected the Conservatives’ choice of Rachael Harder to chair the committee, and when the Liberals nominated Karen Vecchio in her place, Vecchio tried to back out but was overruled, and those same Liberal and Conservative members voted her in.

And then the bellyaching began. A sour press release was issued about how this was somehow about “bullying and intimidation” of some poor young woman (which is a ridiculous characterisation), but that they would accept the democratic will of the committee. And the pundit class took to Twitter to decry how bizarre it was that a woman was being forced to take the chair of a committee that she didn’t want. I’m not exactly sympathetic to these cries, because this is what happens when you try to pull a stunt for the sake of being a provocateur, as Scheer is trying to do, but you don’t have the votes to back it up. Oh, and then they tried to wedge this into the frame of it being a distraction from the tax proposals, when it shouldn’t need to be said that this was a distraction of the Conservatives’ own making, owing to their particular tactical ineptitude.

Meanwhile, Liberals took to tweeting about how this would have made Harder Andrew Scheer’s “spokesperson” on the committee, which is bizarre and wrong – the chair is the committee’s spokesperson. It’s baffling that they would try to spin it in this fashion. Then again, one shouldn’t be surpised given how badly this whole affair has been for people describing how things work in Parliament. And it shouldn’t surprise me, and yet here we are, that not one journalist writing about this story, nor any pundit commenting on it, remarked about the fact that it makes no sense to put your critic forward as committee chair. None. The chair’s role is to be neutral, to run the meeting, arbitrate rules disputes and to ensure that witnesses and questioners stay within their timelines. They’re not supposed to vote unless it’s to break a tie, which shouldn’t happen very often given the numbers at play. Why would you want your critic – your point person in holding the government and in particular that associated minister, to account – to be hobbled in this way on committee, is baffling. It’s utterly incomprehensible if you follow the basics of how parliament is supposed to work. And yet nobody saw fit to call Scheer out on this fact. These details matter.

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QP: Morneau’s five new themes

While the prime minister was off meeting with the premiers and Indigenous leaders, it was also a Supply Day where the Conservatives were demanding an extension of the consultation period for the proposed tax changes. Andrew Scheer led off, mini-lectern on desk, and read his concerns about “local businesses” in French, and how tax changes would doom them. Bill Morneau reminded him that they were listening to Canadians and would ensure that their concerns were being heard. Scheer switched to English to demand that the government vote for their opposition motion on extending the consultation period. Morneau instead listed the five things they’ve heard that they plan to address. After another round of the same from Scheer and Morneau, Gérard Deltell got up to ask in French about the verification of the plans, and Morneau reminded him that they were looking for a fairer system that would encourage investment. Deltell railed that the measures would kill small businesses, but Morneau repeated that they were listening to the consultations. Alexandre Boulerice led for the NDP, railing about Netflix and tax avoidance by big corporations and tax havens, and Diane Lebouthillier reminded him that they were indeed going after tax evaders. Boulerice asked again in English, and Morneau deployed his worn tax fairness talking points. Linda Duncan was up next and raised the concerns laid out in the Environment Commissioner’s reports, and Catherine McKenna listed a number of measures that they were taking. Robert Aubin repeated the question in French, and McKenna reiterated her response in French.

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QP: Trudeau starts hitting back

With a storm on the horizon, the House of Commons assembled after caucus meetings, ready for another day of baying at the moon over proposed tax changes. Just before QP, Andrew Scheer have a member’s statement about the emergency debate on the plight of the Rohingya, after which he crossed the floor to have a quick chat with Justin Trudeau. When QP got underway, Scheer led off by noting that he would be at the dedication for the National Holocaust Memorial and invited the PM to discuss why it’s important. Trudeau got up to make a statement on just that, and he read a statement on the horrors of the Holocaust and to offer the statement of “Never again.” Scheer then switched to French and back to his tax change straw men, wanting confirmation that Trudeau’s family fortune would not be affected. Trudeau note the issue of ensuring that the wealthiest Canadians pay their share of taxes. Scheer asked the same again in English, and got the same answer, with Trudeau stressing that this was not about people not following the rules, but that the rules favoured the wealthy. Scheer insisted that the litany of cancelled tax credits amounted to tax hikes as his condemnation of these changes, Trudeau noted that Scheer was trying to re-fight the 2015 election. Scheer insisted that they were the voice of the “millions” that would be hurt by these changes and then kicked at the PM for meeting Chinese Billionaires™, to which Trudeau listed all of the businesses who were looking for access to the Chinese market. Thomas Mulcair was up next, worried about the duties the US placed on Bombardier, and demanded that those jobs be saved. Trudeau noted that Chrystia Freeland raised that with her American counterpart earlier this morning, and that they would fight for those jobs. Mulcair groused about Trudeau’s inability to deal with Trump, and got much the same response. Mulcair then railed that the government was failing on Access to Information, and Trudeau read a list of ways that they were making things more transparent, before they went for another round of the very same in French.

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QP: Local businesses for local people

With Justin Trudeau off to the United Nations for the rest of the week, we weren’t expecting fireworks, but rather the continued caterwauling about the proposed tax changes, that are sure to doom the whole economy. Andrew Scheer led off, worried about what the tax changes would do to “local businesses,” coincidentally the very new campaign that his party has launched. Bill Morneau reminded him that the changes were about ensuring that the wealthiest Canadians couldn’t use these mechanisms to pay less tax. Scheer talked about two local craft brewers who were “middle class,” and Morneau quipped that he was sure that Scheer was happy to defend the wealthiest Canadians. Scheer wondered how many jobs these measures would create, but Morneau stuck with his points. Alain Rayes then picked up the line of questioning in French, and Morneau insisted, in French, that he was listening and would ensure that the system was fair. After another round of the same, Thomas Mulcair rose for the NDP, worried that th government was looking to do away with the “bilingual bonus” in the public service, to which Dominic LeBlanc assured him that they would ensure a bilingual public service. Mulcair pressed in French, and got much the same response. Mulcair moved onto the topic of Canadians being barred from entering the US post-marijuana legalisation, to which Ralph Goodale reminded him that we can’t dictate to the Americans who they let into their country. Mulcair then asked about cannabis edibles, and Goodale assured him that work was ongoing.

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Roundup: Renewing the tax change battle

Those proposed tax changes around private corporations were big in the news again yesterday, given that Parliament had returned and there was a sense that the fight was about to begin in earnest, now that everyone was paying attention. The Canadian Taxpayers Federation hired a plane to fly a banner above Parliament Hill that read “No Small Biz Tax Hike,” never mind that the small business tax rate isn’t being raised and that the proposed changes aren’t going to affect the vast majority of small and medium-sized businesses. Before the fight got started in earnest during QP, the NDP tried to insert themselves into the debate by trying to insist that the government should instead be attacking the “tax cheats” who use offshore tax havens – which, it must be pointed out, are also using legal instruments and thus are not actually “tax cheats” either, which is language that doesn’t help anyone.

In the Law Times, I have a story on how some lawyers are angry with the Canadian Bar Association over their opposition to the proposed tax changes – something that garnered a fair bit of attention. Global tried to work out what some of those tax changes amount to in terms of how it benefits those able to use the current provisions (though their use of the term “loopholes” rankled some of the economists they quoted). Colby Cosh takes on the semantic warfare in the proposed tax change debate.

And then the Twitter battles were renewed in earnest as well. Lisa Raitt was back at it, but Andrew Coyne took on her points with particular aplomb to show why they didn’t have any particular logic or intenral consistency.

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Roundup: Concern trolling over tax loopholes

There’s been a great deal of concern trolling going on over the past few days when it comes to the planned changes to self-incorporation to close the tax loopholes found therein. Conservative leader Andrew Scheer tweeted out another of his disingenuous messages yesterday, talking about “hiking taxes” on doctors – who are leading the concern trolling charge against this closure of self-incorporation loopholes – which is not surprising, but nevertheless not exactly the truth about what is going on.

Meanwhile, economist Kevin Milligan has been dismantling the concern trolling arguments with aplomb, so I’ll let him take it from here:

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Roundup: Disappointment and disengagement

Yesterday being the UN International Day of the World’s Indigenous Peoples, The Walrus had Robert Jago write a polemic about the sense of betrayal that some Canadian Indigenous people are feeling about the current Liberal government, which promised much but appears to have delivered little. While one could easily argue that much of the litany of complaints are cherry-picking examples and casting some of them in an uncharitable light – many of the promised changes haven’t happened yet because they are complex and systemic, which coupled with a slow-moving bureaucracy that resists change by its very nature, and that means that things take time, not to mention that consultations per Section 35 of the Constitution add time to the process, especially when the government is committing to rebuild many of them from the ground-up. While it’s all well and good to complain that they haven’t poured more money into the system, there are just as many valid reasons for pointing out that pouring money into a broken system is just as likely to exacerbate problems than it will to have any meaningful impact, and we have seen numerous instances of just that – adding money where there is no capacity to effectively spend it has added to burdens being faced by some of these communities.

This, however, wasn’t what bothered me about Jago’s piece, but rather, his recounting of his dipping his toe into the political process and then walking away from it. Buoyed by the soaring Trudeau rhetoric, Jago took out a party membership, tried to get involved, found the party too remote and unresponsive and quickly walked away from the convention he was supposed to attend. What irks me about this is that while I do understand that the disappointment-based disengagement is a Thing, and there is a whole Samara Canada study on the topic, is that this kind of narrative is self-justifying, and Jago goes on a tangent about resistance by refusing participation. Why I find it a problem is that change is difficult, and it generally requires a lot more organisation and agitation within the system than he seems to have offered.

The civics lessons that we’re not taught in this country should include the lesson that if you want to make change, you need to be involved in the process, which means taking out party memberships and organise, organise, organise. Because we’re not taught this, it’s allowed central party leadership, in every party, to amass a great deal of power that leaches power away from the grassroots, and a grassroots that doesn’t know any better doesn’t jealously guard that power. It’s why the Liberals voted overwhelmingly for a new party constitution that absolutely kneecapped the rights of the grassroots in that same convention that Jago refused to attend – because they no longer know their rights, and a slick leader managed to convince them to turn over that power to “modernise” things. And that’s why the party needs active and organised grassroots members to push back and reclaim that power. Walking away at the first sign of resistance just allows the central leadership to hold onto that ill-gotten power. It’s going to take time and a hell of a lot of organisation on the part of grassroots members if we want to start rebalancing the power in this country, but if everyone walks away at the first bit of disappointment, then the party leaders have already won.

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Roundup: Urgent investigations

With more video evidence that purports to show Canadian-made LAVs being used in Saudi Arabia against their minority Shia population, Foreign Affairs minister Chrystia Freeland has ordered an “urgent investigation” of the claims. At the same time, we’re getting some pretty usual reaction from the various opposition parties and their supporters, that portray the Liberals as being wide-eyed naïfs who had no idea that these vehicles could ever be used for such purposes.

While it’s easy for the woke supporters of opposition parties to try and paint the Liberals as cynics on the issue, this ignores the very real fact that every party in the election was gung-ho about living up to this contract with the Saudis, and insisting that it would go ahead no matter what, because they wanted those jobs – particularly at the General Dynamics plant in London, ON. The fact that the opposition parties, while doing their jobs of holding government to account, are nevertheless speaking out of both sides of their mouths on this issue. It’s also easy to give facile talking points about how terrible Saudi Arabia’s human rights record is without going into the genuine strategic reasons why they’re an ally in the region, and why that complicates and adds a truckload of nuance into the relationship. And as we’ve discussed before, there is no “nice countries only” option when it comes to having an arms industry, and if you think that we can preserve those jobs without getting our hands dirty in the process, well, real life doesn’t work like that. There are trade-offs to be made, and we should be trying to have an honest discussion about it and what those trade-offs are. This chirping, like from our woke tweeter, is not an adult conversation, and does nothing to reflect the reality of the situation in any way.

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