Tag Archives: Trans Mountain

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for Trans Mountain, given that the last time they tried to cut corners, the Federal Court of Appeal objected and rescinded their approvals and would do so again, hence why they’re going the route of doing what the court laid out, and that takes time.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.

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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: 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. 

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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.

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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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QP: A narrative of doom

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While Justin Trudeau was in Montreal to pre-meet with some premiers in advance of the first ministers’ conference, Andrew Scheer was present, fresh from being booed by the chiefs at the Assembly of First Nations, and he led off with the false notion that premiers had to resort to threats before the oil and gas sector was on the agenda at the first ministers’ meeting, and surprisingly, Diane Lebouthillier got up to read that they were taking measures to help the workers. Scheer then worried that the Crown lawyers were trying to block the Canadian Taxpayers Federation from intervening at the Saskatchewan carbon tax court challenge, to which Amarjeet Sohi replier that they were trying to fix a broken pipeline system that we inherited from the Harper government — which wasn’t the question. Scheer railed that the government was trying to phase out the energy sector and demanded that Bill C-69 be withdrawn, to which Sohi replied that when the government tried to extend EI supports for laid off workers, the Conservatives voted against it and funding for orphan oil wells. Gérard Deltell worried about the economic turbulence meaning higher interest rates — which, actually, would be a sign of a good economy — and Scott Brison reminded him that when they took office, the country was in a technical recession and the current government turned it around. Deltell tried again, and got the same answer. Guy Caron was up next for the NDP, and raising the Trans Mountain pipeline, wondered when ten government would take its responsibilities to Indigenous communities seriously. Sohi said that they were taking the renewed consultations seriously. Caron worried that Trudeau was dismissive of a First Nations Chief yesterday, to which Philpott got up to defend the PM’s honour. Rachel Blaney took over to rail about “free, prior and informed consent,” and Sohi repeated their renewed consultations. When Blaney repeated the demand that Trudeau apologise to that BC Chief, Philpott again defended the PM.

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Roundup: Courting the tinfoil hat crowd

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Over the past few days, the Conservatives have been delving into tinfoil hat territory in their attempts to stir up panic and anger toward the UN compact on global migration, which Canada plans to sign next week in Morocco. According to the Conservatives, this non-binding political declaration will somehow erode Canadian sovereignty and be tantamount to “border erasure,” and that if you listen to the Twitter trolls picking up on Andrew Scheer and Michelle Rempel’s posts about this, it will make criticizing immigration a “hate crime.” All of which is complete and utter bullshit, and even Chris Alexander, one-time Harper-era immigration minister, calls this out as factually incorrect. And yet, the Conservatives plan to use their Supply Day today to force a vote on this very issue so that they can express performative shock and dismay when the Liberals vote it down.

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While Justin Trudeau and Ahmed Hussen have quite rightly called the Conservatives out on this issue as repeating Rebel Media talking points, I have to see this as yet another example of Conservatives not only shamelessly lying to score points, but trying to dip their toe into extremist territory, and the belief that they can just “just enough” extremist language and talking points to try and stir up enough anger and paranoia that they think it will move their poll numbers, but no white supremacists or xenophobes please, “we believe in orderly immigration.” And of course, real life doesn’t work that way, and they wind up stirring up elements that they say they disavow, but continue to wink at because they think it’ll get some kind of benefit out of it.

The other theory raised about why the Conservatives are going full steam on this issue is because they’re trying to head off Maxime Bernier, who is also trolling on this particular bit of lunacy. Why they think this would be a good strategy, I’m not entirely sure, but it’s not as harmless as they might think it is, and that should be concerning to everyone.

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Roundup: Deficits vs spending choices

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It was the autumn fiscal update yesterday, and it should be no surprise that the deficits are going to continue for foreseeable future. It was also notable for the measures that were implemented to compete with the US corporate tax cuts without making similar cuts in Canada, and these were measures that were designed to keep businesses investing in growth rather than simply offering share buybacks or dividends, as we’ve seen in the US. These targeted measures included immediate write-offs of new machinery and equipment, certain clean-energy equipment, and writing off some assets more quickly than before, with the calculated marginal effective tax rate of these measures apparently besting the US’ rates. So there’s that. There were also some tax credits for digital subscriptions in media, and a $600 million fund to offset the cost of hiring staff as part of that. There were also measures around removing internal trade barriers (yet again) and improving supports for businesses looking to export. On top of that, it also noted that the Trans Mountain Pipeline has earned the government $70 million since it bought the pipeline, and is on track to earn it some $200 million per year.

The deficit issue is one that we’ll continue to hear about, and it’s probably more complex than just a “deficits bad” kind of debate to have. On the one hand, the Liberals took government at a time when the books were $70 billion worse off than initially advertised (not to mention the Conservative “surplus” booked a bunch of false savings) so the 2015 promises met a different reality. On the other hand, they are spending any revenue growth rather than paying down the deficit faster, insisting (not incorrectly) that a declining debt-to-GDP figure is a more important measure, and we should remember that the deficits are really quite modest in comparison to the size of our economy. But they are making spending choices, and we should judge them on that. Here’s Kevin Milligan with some more context and analysis:

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John Geddes offers his summary of the update, while Andrew Coyne pans the government’s propensity to spend any new revenues it gets rather, meaning that their deficits continue to be by choice rather than necessity. Kevin Carmichael says that in spite of the deficit problems, the most audacious part of the update was the plan to tackle the overhaul of federal regulation. Susan Delacourt notes the difference in tone between the federal fiscal update and that in Ontario last week.

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QP: Trying to lay an HST trap

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The benches were again full, and all leaders were again present, though Tony Clement’s desk was noticeably vacant on the front row. Andrew Scheer led off, and in French, he started in yet again on the Statistics Canada data gathering issue, demanding the programme’s cancellation. Justin Trudeau pulled out a script to read that they were concerned with the privacy of Canadians’ data, which is why the Privacy Commissioner was involved. Scheer went again in English, and this time Trudeau didn’t need a script to equate this with the Conservatives’ war with StatsCan over the long-form census. Scheer insisted this was worse than a census, and Trudeau said that he would speak directly to Canadians to assure them that this data was anonymised, subject to strict controls, to ensure that their privacy was maintained. Scheer then switched to the subject of HST and GST being applied to the federal carbon tax, to which Trudeau said this was an attempt to muddy the waters on the plan to put a price on pollution, and by the way, the Conservatives have no intention of putting out a plan to fight climate change. Scheer insisted this was a yes or no question, and Trudeau sermonised about the dangers of climate change. Guy Caron was up next for the NDP, and accused the government of refusing to act on the motion that was adopted yesterday around lapsed veterans’ funding. Trudeau picked up a script to insist that they were spending more for veterans while the Conservatives made cuts. Caron then demanded concrete policies on climate change, but Trudeau was more keen to keep talking about veterans’ funding and listing the actions they’ve taken, before he quickly switched to saying they were taking concrete action on the environment by pricing pollution. Tracey Ramsey was up next to demand that the government refuse to ratify the New NAFTA until the steel and aluminium tariffs were dropped, to which Trudeau quoted the NDP Quebec lieutenant’s praise for the deal. Boulerice, the aforementioned lieutenant, got up next to decry those tariffs, and Trudeau pointed out that the NDP says one thing in the House, and another thing behind closed doors before repeating Boulerice’s quotes. 

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Roundup: A StatsCan privacy check

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While the ongoing issue of Statistics Canada looking for financial transaction data continues, the actual privacy practices in the institution aren’t being adequately explained to Canadians – and they certainly aren’t being represented accurately by the opposition. So with that in mind, here’s professor Jennifer Robson to explain just what she has to go through in order to access data for her research at StatsCan, in order to give you a better sense about how seriously they take this kind of thing.

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This is why the complaints that the data won’t be secure as it’s being anonymized is pretty specious, and the pearl-clutching that StatsCan would have a person’s SIN is also overblown considering that they already have it – they matched up people’s tax returns with their census forms to ensure that they had accurate data regarding household incomes, and lo, nobody made a peep about that when it happened. Again, this overblown rhetoric around what is being planned about this financial transaction data is not only risible, but it’s actively mendacious (particularly when Conservative MPs keep saying things like this is a project by the Liberal Party or by Justin Trudeau himself). And yes, StatsCan has done a woeful job as to explaining what it needs these data for, and this government is largely too inept to communicate any of that information either. And yet here we are.

Meanwhile, Andrew Coyne points out that while the Conservatives have been spending years attacking StatsCan, the real privacy threat comes from the unregulated use of personal information by political parties, not the country’s statistical agency.

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QP: Eight questions later…

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With so much news going on, and so many balls to juggle, it was a question as to whether the Conservatives would carry on the tactics they’ve been pursuing the past week or so. Andrew Scheer led off, mini-lectern on desk, and he immediately led off with the falsehood that small and medium-sized business would bear the brunt of the new carbon taxes. Justin Trudeau stated how proud he was of his plan, and they had lowered small business taxes. Scheer tried again, and Trudeau accused the Conservatives of having no plan. Scheer waved around the background documents to claim that the industrial sector is exempt from the same costs as SMEs — deliberately omitting that the rebates are only for trade-exposed sectors — but Trudeau didn’t correct the record. Scheer dug into that same line of questioning, and Trudeau went into a bit of high dudgeon about how Canadians wanted more than opposition but wanted their plan. Scheer tried one last time, and Trudeau again avoided calling bullshit on it, but simply lamented that the Conservatives were unwilling to take climate action. Guy Caron was up next for the NDP, who raised the concerns of BC First Nations opposed to the Trans Mountain pipeline who claim the new process remained rigged. Trudeau picked up a script to read about how the we’re getting the job done. Caron then raised the lack of movement on steel and aluminium tariffs, and Trudeau took up another script to read about how great the New NAFTA was. Tracey Ramsey took over to lament that polling showed people being disappointed with the agreement, and Trudeau assured her that he met with workers in her area who were pleased with the deal. Nathan Cullen returned to the TMX review’s timelines, and Trudeau picked up a script to say that the old process was why the previous government couldn’t get pipelines built.

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Senate QP: Frustrated as an Albertan

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Following the swearing-in of five new senators, Senate QP got underway with special guest star, natural resources minister Amarjeet Sohi. Senator Larry Smith led off, asking about the Trans Mountain pipeline and research around diluted bitumen spills and the federal response. Sohi responded with a bit of a roundabout recap of the Federal Court of Appeal decision and the lack of marine considerations with the original NEB report, and now they were filling in that gap – but didn’t really respond to the question. Smith asked how this research played into the tanker ban on the northwest coast of BC. Sohi noted the ban didn’t apply to Trans Mountain, but that it was in place on the northern coast because of the lack on infrastructure there to deal with a spill, but natural gas from LNG was a different matter.

Senator Neufeld worried about low prices for natural gas versus high carbon prices, and Sohi reminded him that climate change is real and causing damage to coastal communities and forests, with billions of dollars in costs, meaning it was irresponsible for any government to ignore those costs, which is why they gave provinces the flexibility to price pollution in a way that makes sense to them, and cited the success of BC’s model.

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