Tag Archives: First Nations

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: On those marginal tax rates

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Given the debate that his happening south of the border when it comes to agitation for a 70 percent marginal tax rate on high earners, it’s only a matter of time before the left-leaning contingent of Twitter starts agitating for the same here. The problem, of course, is that you can’t simply import the same concepts between the US and Canada and expect it to be analogous, or at the very least analogous at one tenth the figures in the US. To demonstrate, economist Kevin Milligan took the Canadian data and mapped out what that would mean here. And lo, it’s not an analogous situation (though I suspect it won’t stop left-leaning Twitter from repeating these American talking points one bit).

https://twitter.com/kevinmilligan/status/1082383660857225217

https://twitter.com/kevinmilligan/status/1082385072718635008

https://twitter.com/kevinmilligan/status/1082386430175862784

https://twitter.com/kevinmilligan/status/1082387490319683584

https://twitter.com/kevinmilligan/status/1082411856315084805

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Roundup: $1.6 Billion instead of a magic wand

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Yesterday, the federal government announced $1.6 billion in help for the Alberta energy sector – but insisted it’s not a subsidy. $1 billion of it was in loans for exporters to invest in technologies and address working capital needs or exploring new markets; $500 million from to help smaller oil and gas businesses weather the uncertainty, $50 million from the Clean Growth Program, and $100 million in economic diversification projects. It wasn’t something like federal funding for companies to remediate orphan wells, for example. And predictably, Rachel Notley and various other Conservatives immediately dismissed this as not asking for money but wanting “the handcuffs removed,” which seems to me to be code for waving a magic wand to get pipelines built immediately, despite the fact that unless they plan to bulldoze through the Indigenous consultation process, is something the government can’t do. And Andrew Scheer? He went full drama queen with a petulant press release that accused Trudeau of trying to destroy Alberta, sounding very much like a jealous suitor wailing “He can’t love you like I will!”

More to the point, the federal government can’t just ram through the approvals for Trans Mountain, given that the last time they tried to cut corners, the Federal Court of Appeal objected and rescinded their approvals and would do so again, hence why they’re going the route of doing what the court laid out, and that takes time. There is no magic wand. Killing Bill C-69 won’t solve anything because the current system isn’t working, and while the bill is flawed and open to amendment at the Senate, Conservative senators have not consented to any committee hearings before the Senate’s slated (late) return in February (and I have heard various reasons for this, both in opposition to the bill, and because they are pushing back against the committee chair, who they accuse of doing the bidding of Senator Peter Harder). The tanker ban on BC’s north coast? That’s demanded by many of the coastal First Nations. Scrapping the carbon tax? Won’t change anything because it has nothing to do with the oil price differential and oil companies have been asking for a carbon price so that they can have predictability when it comes to climate demands. And then there’s the bogeyman about foreign funded “paid protesters” that the Conservatives blame for everything, despite the fact that they don’t control the courts or the economics of projects. That won’t stop Scheer or Jason Kenney from offering the people of Alberta another vial of snake oil, promising quick approval on pipelines that they can’t actually deliver on.

Meanwhile, amidst more lies and grievance narratives around the federal equalisation programme, Trevor Tombe drops a reality bomb about how the system works and why. Because amidst the demands for magic wands and offering snake oil, the Jason Kenneys of this country will continue to lie about how equalisation works to keep people angry in the hopes of getting electoral advantage for it. We need more people to tell the truth about the system if we’re to keep a lid on the anger and try to do something meaningful to address it rather than simply bow to grievance culture and fabrications.

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Roundup: Salaries are not cement

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As the debate over the proposed changes to the Parliament of Canada Act continues to roll along, some of us are struck by the fact that the whole framing of the debate continues to be utterly wrong – that the wrong headline on the Canadian Press piece about prime minister Justin Trudeau looking to “cement” the changes in order to make it harder for a future prime minister to roll them back is completely wrong, given that the PCA has nothing to do with the appointment process. And yet, here we are, once again debating the independent appointments commission, when the actual changes to the Act involve salaries for caucus leaders and some organisational issues. Virtually all of these have been extended to the Independent Senators Group, from committee chairs and assignments, to a role on the Internal Economy Committee, budget allocations for their leadership’s office (aka the “secretariat”), and so on. The only thing they can’t get currently, which they need changes to the PCA for is a higher salary for their leadership team. Fair enough, one might say, but considering that they eschew the label of a caucus, and the roles of both government and opposition, preferring to be neither fish nor fowl, it does make it a bit harder to justify that they should be on equal footing to them. In practice, they are very much a caucus, but this is what the changes they are asking for boil down to – it has nothing to do with “cementing” the changes to the institution, and it would be great if the pundits and journalists talking about this issue could grasp that basic fact.

With that in mind, Colby Cosh penned a fairly (deservedly) harsh piece about the changes to the Upper Chamber, and the fact that Trudeau is creating a Frankenstein’s monster that has more to do with his trying to absolve himself of his responsibility for the Chamber than anything. And Cosh is absolutely right – this has been about Trudeau washing his hands of any whiff of scandal in the Upper Chamber since he became leader, consequences be damned. And there have been real consequences – Trudeau centralised power within his caucus because he got rid of the voices with the most experience who could push back against him without consequences (it’s not like he can threaten not to sign their nomination papers), and got rid of the bulk of his party’s institutional memory in one fell swoop. He’s also losing his ability to get his legislation through the Chamber because he named someone inept as his “representative” (who should be a full-fledged Cabinet minister in order to ensure proper lines of accountability) who refuses to negotiate timelines on bills in the manner in which the Senate operates.

https://twitter.com/PhilippeLagasse/status/1074845188210622465

This having been said, I will again reiterate that what we should strive for is for the ISG to become like the crossbenchers in the Lords, but that depends on a strong enough Liberal and Conservative contingent to provide balance, and this prime minister has no interest in that, preferring to continue with this experiment in Frankenstein’s Monster until he gets burned by it. And while I’m sure that there will come a reckoning, that the ISG will fracture, and eventually some of its members will drift to an established caucus, it may be some time before that happens and sanity starts to prevail in the Chamber. I just wouldn’t count on this prime minister to provide any of it.

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Roundup: Duffy v privilege

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As expected, the Ontario Superior Court dismissed Senator Mike Duffy’s attempt to sue the Senate for their disciplining him because the Senate is protected by parliamentary privilege. Privilege is what allows the Senate to be self-governing and as a body that is focused on holding government to account, it has complete institutional independence for very good reason – so that they can speak truth to power without fear of dismissal or reprisal. So imagine the utter gall of Duffy’s response to this ruling.

“The Charter of Rights applies to all Canadians, but the Court decision states that because of the centuries old concept of Parliamentary Privilege, the Charter doesn’t apply to Senators.” Oh dear me. No. You see, the only reason that Duffy still has a job in the Senate is because of parliamentary privilege. If he didn’t have the privilege afforded to him, he couldn’t have made the myriad of accusations about Stephen Harper and his operatives in the Senate Chamber on the eve of his suspension – not without fear of reprisal, particularly a lawsuit. That the Senate is self-governing and has institutional independence saved him from being summarily dismissed by the prime minister of the day when Duffy caused him a great deal of embarrassment. While I don’t dispute that Duffy was subjected to a flawed process that denied him the benefit of due process due to political expediency because, the fact that he received a suspension without pay that was eventually lifted, allowing him to resume his duties with full pay and serving enough time for his pension to kick in, means that he has pretty much escaped consequence for actions that he very likely would have been fired for in any other circumstance. That he then accuses the concept of privilege as stripping him of his Charter rights, when it has in fact protected him in every conceivable way, is utterly boggling.

Meanwhile, it seems clear that between this bit of self-pitying and the decision to pose with Senators Brazeau and Wallin while Brazeau tweeted that they “survived the unjustifiable bs [sic]” (since deleted), that there seems to be an insufficient amount of self-reflection at play, and that perhaps the three should continue to keep their heads down and not draw attention to themselves, because the public has not forgotten them.

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QP: Last shout in the Centre Block

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For the final QP of 2018, neither the prime minister nor the leader of the opposition were present (though Andrew Scheer did hold a press conference just hours before), leaving it up to Candice Bergen demanded urgent action on the opioid crisis, to which Ginette Petitpas-Taylor said that they were taking it seriously, and as a public heath issue and not a criminal one, which was why they were increasing harm reduction measures that Conservatives resisted. Bergen raised comments that she overheard Bardish Chagger say, apparently minimising the scope of the crisis, to which Chagger said that her comments weren’t meant to minimise the scope of the tragedy and she apologised. Bergen, with a script to follow, demanded Chagger to account for her comments again, and Chagger apologised a second time. Jacques Gourde then got up read the same demand for an apology in French, but Petitpas Taylor got up to talk about the measures they are taking. Gourde stuck to his script and demanded again, and got the same response from Petitpas Taylor. Guy Caron got up next for the NDP, and railed about VIA Rail not choosing Bombardier for its new fleet. Marc Garneau, noting that he had answered this repeatedly, said that Siemens did agree to at least twenty percent of Canadian content in their trains. Caron tried again in French, and Garneau more pointedly listed other investments that VIA made in Quebec. Pierre-Luc Dusseault got up next to demand action from the CRA on tax evasion, to which Diane Lebouthillier forcefully pointed out the investments they made and the number of new audits that have been conducted since they came to power. Peter Julian asked the same thing in English, and Lebouthillier repeated the actions they have been taking.

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QP: All about Scheer

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For what might be the final QP of the year, the galleries were full — press gallery included — and the benches were full. Andrew Scheer led off, repeating yesterday’s lead around the PBO’s contention that the deficit could be higher than reported. Trudeau got up and recited by rote his well-worn talking points about investing in Canadians and making life better for the Middle Class™. Scheer switched to English to ask again, and Trudeau hit back about “phoney budget balance” the Conservatives delivered that hurt veterans and families. Scheer accused him of offering falsehoods about the Conservative record (which is rich coming from Scheer, whose capacity for mistruth is quickly becoming legendary) before demanding a balanced budget. Trudeau castigated the Conservative record on growth while his government oversaw growth. Scheer insisted that Trudeau inherited a good economy (not true), to which Trudeau found it curious that Scheer wanted to double down on a plan that Canadians rejected in 2015. Scheer retorted that it was Trudeau who was doubling down on a failed plan before calling him a trust fund baby, and Trudeau replied that you can’t grow the economy with cuts to services, and listed the investments they made that led to record-low unemployment. Guy Caron was up next for for the NDP, and he worried that the CRA has not recouped anything from the Panama Papers. Trudeau picked up a script to read about the investments made in CRA to combat tax evasion, and that CRA has risk-assessed over 80 percent of the 3000 identified files and that criminal investigations were ongoing. Caron switched to French to reiterate the question, and Trudeau read the French version of the same script. François Choquette worried about Canada’s climate performance, to which Trudeau, sans script, talked about putting a price on pollution and helping families adapt. Linda Duncan repeated the question in English, and Trudeau grabbed a script to list measures they have made and investments made.

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Roundup: Huawei, Trump, and the rule of law

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The issue around the arrest of Huawei’s CFO in Vancouver last week took a number of turns yesterday, and is proving to be an utter gong show, thanks entirely to Donald Trump. So, to recap, the US ambassador to Canada stated that there was absolutely no political motivation behind the request for the arrest and extradition to the US, but meanwhile in China, a former Canadian diplomat who now works with International Crisis Group was arrested in China for no apparent reason, and there is no confirmation as to whether this is in retaliation for the Huawei arrest. Back in Vancouver, said CFO was granted bail for $10 million with five guarantors while she will await extradition hearings – and she has to surrender her passport, be under 24/7 surveillance and wear an ankle monitor, because she is considered a high flight risk. (Here’s a good backgrounder on all of the issues).

And then, it all went pear-shaped. Why? Because Donald Trump suddenly said that he’d intervene in the case if it helps to get a trade deal with China, which undermines the rule of law that Canada has been operating under and trying to assure Beijing that we’re operating under, and that because we have an independent judiciary with processes to be followed (which they can’t get their heads around because their judicial system is politicised), and all of the evidence around the criminal activities, allegations of fraud and of violating sanctions is apparently all for naught, because the US president has put his foot in it. And lo, Canada is relatively screwed by the whole thing. Hooray.

https://twitter.com/InklessPW/status/1072642206756990978

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Roundup: Unfulfilled drama

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After days of building expectation that there was going to be drama at the First Ministers’ meeting, virtually none was had. Doug Ford was going to storm out, and then he didn’t, and his people started recanting the threats. And, well, other stories started emerging as well. And some other premiers claimed progress on their files, like François Legault saying he got closer to his demands for $300 million in repayment for irregular border crossers and dairy compensation; Rachel Notley could claim some progress on getting Ottawa to consider helping pay for her plan to buy more rail cars. That sort of thing. 

https://twitter.com/InklessPW/status/1071165518462271489

Where there was some minor drama was Doug Ford and Scott Moe coming out at the end, complaining that the federal government was trying to “move the goal posts” on them when it comes to their climate action – which was immediately denounced by other premiers’ officials, and which also demonstrates that they don’t actually know what they’re talking about when it comes to the federal climate framework – in particular that Ford was walking back on some of the province’s earlier commitments to the tune of a 30-megatonne reduction in GHGs, which was not going to fly with anyone else. (Oh, and the federal government says that Ontario won’t get the $420 million promised as part of the Low Carbon Economy Fund after they pulled out of cap-and-trade).

Meanwhile, Andrew Coyne questions the point of these meetings, even from the standpoint of political theatre, while Chantal Hébert calls out Doug Ford’s marked inexperience and partisan petulance, and that he made threats with no reason to back them up. Paul Wells takes the opportunity to explore what these kinds of meetings mean for Trudeau’s style and his vision of federalism – before throwing some well-deserved shade at the final communiqué.

https://twitter.com/InklessPW/status/1071184799073796098
https://twitter.com/InklessPW/status/1071185862032048128
https://twitter.com/InklessPW/status/1071186561323200512
https://twitter.com/InklessPW/status/1071187024449863681

Good reads:

  • In case you missed it, Statistics Canada reported record job numbers and the lowest unemployment rate since the current tracking began in 1976.
  • Here’s a look into the arrest of Huawei’s CFO, and the extradition process that she will now be subject to. She didn’t get bail; our ambassador in China is on the case.
  • The Canadian Institute of Health Research is doing away with virtual meetings citing lack of preparedness and distraction, but the trade-offs are travel costs.
  • Some BC First Nations are looking to renegotiate their benefit agreements with Trans Mountain on the pipeline expansion.
  • Crown attorneys will stop prosecuting some HIV non-disclosure cases as new prosecutorial guidelines come into effect.
  • Here’s a good look at how Doug Ford and Jason Kenney are sowing distrust with the media for their own ends.
  • Murray Brewster delves into the Crown’s filings on Mark Norman as part of their court case alleging he leaked shipyard information.
  • Kevin Carmichael looks into the darker undersides of the good job numbers that came out yesterday.
  • My weekend column calls out Andrew Scheer’s use of conspiracy theories as part of his war on truth that he hopes will give him an edge, but only feeds Russian trolls.

Odds and ends:

It looks like we’re seeing a renewed bout of really dumb takes on “Alberta separatism,” which seems to forget some pretty basic facts about their exports.

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