Tag Archives: Canadian Forces

Roundup: An unexpected shuffle

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Yesterday’s Cabinet shuffle came with a few surprises, but the biggest was probably the decision to move Jody Wilson-Raybould from justice to veterans’ affairs – a move which can only be interpreted as a demotion, despite both prime minister Justin Trudeau and Wilson-Raybould making the argument that it was insulting to veterans to think of them as a lesser consideration. Added to that, Wilson-Raybould got defensive and put out a lengthy press release that said she wouldn’t discuss why she was moved, as that’s the prerogative of the prime minister (true), but then went on to laud all of her accomplishments as justice minister (which she bizarrely abbreviated as MOJAG – Minister of Justice and Attorney General, the first time I can recall such an abbreviation being used). The problem, of course, is that there was a lot of talk about how things were not going well in her office. I personally heard from a number of people in the legal community about their concerns about the managerial competence within Wilson-Raybould’s office, particularly around staffing key positions such as the Judicial Affairs Advisor – necessary for the appointment of judges, and a post that was left vacant for months at a time, as the number of vacancies began increasing, and still have a significant backlog in place. There was also a lot of staffing churn within her office, which should be a warning sign that not all is well. And more reports came out yesterday that there had been some tensions around the Cabinet table when it came to Wilson-Raybould, so the fact that she penned a defensive release probably speaks volumes.

As for the other ministerial changes, David Lametti (my Canadian Lawyer profile here) replaced Wilson-Raybould, who replaces Seamus O’Regan at veterans’ affairs, O’Regan moving to Indigenous services to replace Jane Philpott, who in turn replaced the departing Scott Brison. Trudeau added a new portfolio to the mix – rural economic development, under new minister Bernadette Jordan, who is now the Nova Scotian in Cabinet. That portfolio is another one without a ministry, and it looks like it’ll be housed within Innovation, Science and Economic Development, where all of the other regional development ministries are housed, but as with a growing number of portfolios under this government, it’s another minister without a line department of her own, which I find a bit concerning.

Meanwhile, there are so many hot takes on the shuffle, starting with Chantal Hébert, who says the few changes mean it’s steady-as-she-goes for Trudeau before the election. Likewise, Kady O’Malley’s Process Nerd column says these changes highlight that there is little room for experimentation, this late in the current parliament. Mercedes Stephenson echoes the sentiment, with some added details on O’Regan’s time on the veterans file. Paul Wells brings the shade when it comes to the performance of this government, and the inability for any particular minister to make any meaningful changes in the face of bottlenecks of authority in the PMO, and a government too afraid to make any changes so close to an election. Mike Moffatt delivers a thread on the challenges of rural economic development, and why the portfolio might be a good idea after all.

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Roundup: A subdued oil price shock

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The Bank of Canada decided to hold on raising interest rates yesterday, but there were some very interesting things in the accompanying Monetary Policy Report that haven’t been widely reported on, and much of that was the whole section in the report on the state of the oil industry in Canada. (It’s pages 9 and 10 of the report – PDF here). Essentially, for all of the talk about economic doom for the current state of oil prices and the price differential, this current price shock is affecting the Canadian economy at a quarter of what it did in the 2014-2016 price shock, and there are a couple of reasons for that. One of them is that the oil sector is no longer as big of a part of the Canadian economy as it was then – it’s currently worth 3.5 percent of our GDP, while it was six percent just a few years ago. That’s fairly significant. As well, after the previous price shock, most energy firms are better equipped to handle the low-price environment thanks to innovation, improved efficiency and the fact that they already cut overhead costs. Add to that, our low dollar is providing a buffer effect because it supports non-energy exports and employment. In other words, while it’s softened the economy a little over the past quarter and the current one, this is projected to be shrugged off as the rest of the economy continues to pick up steam, and we’re likely to continue growing at a greater pace, because the rest of the economy continues to be running close to capacity. Even some of the areas of potential slack that have been identified, such as lower-than-expected wage growth, are mostly because the situation in Alberta is dragging down the national average. So perhaps it’s not all doom after all.

One other particular note from the morning was that Bank of Canada Governor Stephen Poloz made a couple of remarks around his hometown of Oshawa, and how it’s managed to weather previous plant closures and how its resilience means it will likely weather the pending closure of the GM plant as well as it did previously.

Meanwhile, Kevin Carmichael walks us through the morning’s decision, and some of the reaction to it.

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Roundup: Bernier goes full tinfoil hat

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Maxime Bernier appears to be going full tinfoil hat, with a Twitter thread about a supposed move to create some kind of UN parliament that will erase borders, and that Canada will be absorbed into, and I can’t even. I literally cannot.

https://twitter.com/StephanieCarvin/status/1082829073922093057

As Carvin points out, this is a campaign that is orchestrated by Neo-Nazi sympathizers in Europe, and it’s the very same thing that Andrew Scheer was also have been touting this very same conspiracy theory as part of their attempt to push back against the UN global compact on migration. But then again, Scheer and company also gave succour to racists in order to try and paint Trudeau as some kind of bully, so it shouldn’t be a surprise, and they’re being wilfully blind and deaf to the white nationalists and xenophobes that are infiltrating the “yellow vest” protests that they like to promote, so there’s that.

https://twitter.com/StephanieCarvin/status/1082252207234473985

Meanwhile, Bernier has tapped an anti-abortion, anti-trans “Christian pundit” as his party’s candidate in Burnaby South. And he’s being accused of running a campaign in that riding that is trying to depict Jagmeet Singh’s efforts as being one that is running only for the Indo-Canadian community, so, you know, the xenophobia tuba instead of the dogwhistle.

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Roundup: Dishonest blame-laying

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As this so-called convoy of “yellow vest” protesters moves eastward toward Ottawa, many of them demanding magic wands to expedite pipeline approvals that won’t actually happen (seriously, trying to fast track and cut corners is what got approvals thrown out in the courts before), I find it exceedingly curious – and a bit alarming – that Jason Kenney refuses to denounce some of the elements that have attached themselves to these “yellow vests,” most especially white nationalists and racists who are trying to use these rallies to agitate against immigration and asylum seekers. Kenney simply waves them off as a “handful” of people with “kooky ideas,” while he takes the intellectually dishonest route of blaming Justin Trudeau and Rachel Notley for Alberta’s oil sector woes, never mind the global supply glut, the shale revolution, and market inertia, or the fact that capacity only became an issue in recent months when production increased – or the fact that when he was in federal cabinet, pipeline projects weren’t making any faster progress either.

Trudeau and Notley didn’t create the problems of consultations on Northern Gateway. They didn’t create the market condition problems for Energy East. They didn’t create the American regulatory issues around Keystone XL. Trudeau bears some responsibility for the consultation issues around the Trans Mountain expansion, but that also has to do with institutional inertia and how bureaucratic Ottawa and the NEB in Calgary thought of Section 35 consultations in spite of successive Supreme Court of Canada rulings. These are broad and, in some cases, intractable problems for which easy solutions don’t exist, no matter what Kenney or Andrew Scheer say. Putting the bulk of the blame on Trudeau and Notley is completely and utterly dishonest, and Kenney knows it. But why does truth matter when you’re trying to stoke anger to win points?

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Roundup: New year, same lies

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It’s the New Year, and it’s an election year, and that means we’re about to be subjected to all kinds of performative nonsense, and most especially about carbon taxes. Like how Doug Ford has all of the Ontario PC caucus tweeting about lowering gas prices, despite the fact that Ontario didn’t have a carbon tax (cap-and-trade did affect gasoline prices, however), and there also just happens to be a major tumble in the world price of oil because of a global supply glut. Andrew Scheer, meanwhile, is claiming that the government plans to hike carbon taxes to $300/tonne if they get re-elected – which is patent nonsense. He’s also unable to pick a lane in that the he claims the proposed $50/tonne carbon tax (in three years) is too low to do anything, and that it’s the “experts” and “departments” who are encouraging him to raise it to $100/tonne, if not the $300/tonne figure that he’s citing as a secret plan. (But seriously – they might have modelled it, but that’s not a plan). But hey, way to stoke the “elites” versus “folks” narrative that Scheer thinks is going to win him votes. To that end, he’s continuing to shitpost blatant lies about the carbon pricing system, despite the fact that this particular lie has been called out again and again. But since when does truth matter when you’re trying to make people angry?

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Roundup: Energy, pipelines and C-69

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With the big climate conference about to get underway, and the current oil price crisis in Alberta – along with the demands by the Conservatives to withdraw Bill C-69, there’s a lot of interesting things going on if we wanted to actually talk policy and not just hurling insults and blaming Justin Trudeau for everything wrong in this world. So with that in mind, here’s Andrew Leach with a fascinating thread on the oil sands, pipelines, climate commitments, and Bill C-69.

By now means is Bill C-69 a perfect bill either, and I’ve spoken to lawyers on both the environmental and proponent sides about their concerns, and they can all point to some of the same concerns, but I also think that the Conservatives’ characterization of it as a “no more pipelines” bill is beyond hyperbolic. If it works as it’s supposed to, the ability to better scope assessments will likely mean more timely actions and targeted consultations thanks to the early engagement that the bill mandates. But trying to cast this bill as a millstone around the country’s economy is ridiculous on the face of it, and withdrawing it won’t miraculously make the oil price differential disappear, or GM to reopen the Oshawa plant, as has been intimated. But far be it for us to expect honest debate on these issues these days.

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QP: Didn’t request any redactions

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Both Justin Trudeau and Andrew Scheer were present for a change, and Scheer led off by concern trolling Trudeau’s comments about the negative impacts on rural and remote communities when large numbers of construction workers come in, and demanded gender-based analyses of the cancellation of Northern Gateway and importing oil from Saudi Arabia. Trudeau responded with a list of projects the government approved before adding that some projects can have different impacts. Scheer railed about the jobs lost when Northern Gateway didn’t go ahead, to which Trudeau reminded him of the record unemployment but stated that they were looking to help Alberta to do well. Scheer demanded Northern Gateway be reinstated, to which Trudeau read quotes from the Federal Court of Appeal decision on why it wasn’t approved. Scheer demanded again that Northern Gateway be reinstated, and Trudeau called them out for bluster that wouldn’t help Alberta, reminding them that even if the project was acceptable, it would be years before it would get resources to markets. Scheer then changed gears and put on his tinfoil hat about the UN global compact on migration, to which Trudeau accused him of quoting Rebel Media, and praised Canada’s diversity. Guy Caron was up next, and railed about the redactions in the NSICOP report, to which Trudeau told him that neither he nor his office was involved in the redaction, but they took the advice of security officials. Caron then tried to wedge in the Raj Grewal investigation as an excuse for redaction, and Trudeau repeated his answer. Charlie Angus tried again in English and Trudeau called out his sanctimony before repeating the answer. Nathan Cullen then gave a torqued concern that Raj Grewal’s parliamentary privilege protected him from investigation — which isn’t true — and Trudeau raised Dean Del Mastro as an example of an MP under investigation whose privilege didn’t shield him.

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Roundup: Notley mandates a cut

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Alberta premier Rachel Notley decided that she will mandate an 8.7 percent production cut, starting on January 1st, in the hopes that it will help to finally drive the price of oil back up, seeing as this is a supply and demand problem and there is too much supply in the system. But as far as “immediate action” goes, waiting another three weeks doesn’t seem very immediate (though I’m not sure what is involved in scaling back production), and it’s not a solution that makes everyone in the market happy given that some players weren’t taking as big of a hit by the large price differential.

Reaction has been swift, and while Jason Kenney says he supports it, he and Andrew Scheer are quick to blame the federal government for the situation. Natural resources minister Amarjeet Sohi responded with a thread that basically said that they inherited most of these problems – and he’s right about that – but he laid out the supports they’ve given the industry. I’m not sure that in the race to pin blame that anyone is looking at the history of the industry – there was no push to sell oil to overseas markets before recently because America was always seen as an easy import market with an insatiable appetite, because nobody saw the shale revolution coming. That’s no one government’s fault, and it’s difficult to turn an industry around in a mere couple of years. And Kenney and Scheer keep insisting that if Trudeau hadn’t killed Northern Gateway or Energy East, things would be just fine – except of course that it’s just as likely that Gateway would still be tied up in interminable court injunctions because it was the more fraught project to begin with, and Energy East wasn’t economically viable once Keystone XL was back in the picture, but why spoil a narrative with facts?

Meanwhile, New Brunswick’s new premier is hoping to revive Energy East, under the belief that it was just regulatory problems that killed it rather than the economics, particularly because the proponent didn’t have enough supply contracts to fill both it and Keystone XL. Also, the proponents who think this will displace foreign oil know that unless they shell out to retool the existing refineries, it won’t actually serve their markets, and that they would also be demanding that Alberta swallow a $10/barrel discount, right?

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Roundup: Pausing the birth tourism hysteria

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You probably heard last week about the recent report that incidents of “birth tourism” in Canada are higher than previously reported, owing to collecting data from hospital sources rather than local statistical agencies. Given that this became a flashpoint at the Conservative policy convention a few months ago, it’s probably safe to assume that this will become a topic of debate in Parliament in the coming weeks (though it depends on whether or not Andrew Scheer decides this will be the next issue he decides to chase down a rabbit hole, as is his wont). One does hope, however, that we may have a reasonable debate around this, and while Chris Selley may point to the fact that we may want to do something (that won’t violate human rights and create stateless persons), economist Lindsay Tedds has another view that may also be worth considering, especially if we look at the issue over the longer term.

https://twitter.com/LindsayTedds/status/1066763395578253312

https://twitter.com/LindsayTedds/status/1066766469545975808

https://twitter.com/LindsayTedds/status/1066768661434662912

https://twitter.com/LindsayTedds/status/1066770215784996864

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Roundup: Saudi oil and AG reports

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While the issue of Saudi Arabia continues to make headlines, Chrystia Freeland insisted that she doesn’t consider the case closed and more sanctions are being contemplated. She also said in QP yesterday that no future export permits will be granted to the kingdom (in reference to the LAVs we’ve been selling to them).

Of course, when I tweeted this, my reply column filled up with a bunch of indignant people who demanded to know when we would stop buying Saudi oil and use Alberta oil in Eastern Canada instead. Let me assure you that it’s never going to happen. If we don’t buy Saudi oil, it won’t impact their bottom line in the slightest. The amount we import from them is a rounding error on their books. Add to that, Energy East was never about domestic supply – it was about export via the long route. If by some miracle, a future Andrew Scheer government not only built said pipeline and they demanded that Eastern Canada start using Alberta oil, he would essentially be demanding that Alberta take a $10/barrel discount on that oil, because economics. I seem to recall a former prime minister who remains demonised in Alberta to this day because he wanted to ensure domestic supply, which would mean Alberta got a lower price for their barrels. Why would Scheer want to repeat that very same policy, but wrapped in an “ethical oil” cloak?

Auditor General’s report

Yesterday was the fall report of the Auditor General, and there were reports on:

  • The fighter jet procurement programme got a spanking, and particular attention was paid to the retention problems around pilots and mechanics.
  • Security at many of our embassies is falling behind; the government blames the Harper era for lack of investment.
  • The military isn’t stamping out harassment as quickly as it should because there is no coordination in its programmes, resulting in a number of gaps.
  • There is a lack of both a strategy and budget for rural Internet connectivity.
  • CRA gives people inconsistent treatment, and where you live can determine how friendly your local regional tax office is.
  • Inmates eligible for parole are being kept in prison for longer than necessary because of a lack of halfway houses and parole officers.
  • The lack of coordination between departments means the government may not even know which historic buildings they own.

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