Roundup: Announcing a limited plastic ban

The big news yesterday was that the federal government finally unveiled the first phase of their single-use plastics ban, focusing on six primary culprits – plastic bags, straws, stir sticks, cutlery, six-pack rings, and polystyrene take-out containers (though I’m not entirely clear if the can’t-recycle-in-this-country black plastic take-out containers would also be included). Most of these items are things for which there are alternatives that are fairly easily obtainable, and will likely become more affordable the more their production ramps up and they get scale in the economy that had thus-far been denied to them.

But there is immediate push-back. The Chemistry Industry Association of Canada bristles that in order to achieve the ban, the government is using the toxic substances mechanisms available to them, and the industry is aghast that they are in the same category as asbestos and lead – err, except that the proliferation of microplastics, particularly from plastics that break down, would quite probably fit that bill very well. The Alberta government is also grousing because they think this will affect investment in their petrochemical industry, even though the ban is quite limited and wouldn’t affect high-quality plastics which are will still see broad use, nor would it really affect their plans to turn Alberta into a hub of plastics recycling (which is important because there is very little plastics recycling in North America as we had relied on off-shoring the work to places like China, which shut their borders to it). The province’s energy minister also found it “ironic” that this announcement was made a day after Jason Kenney made his own announcement on plastics and recycling being part of Alberta’s “diversification” efforts, even though a) it’s not actually ironic, and b) this has been something the federal government has been talking about for over a year, did the necessary consultation process required under the Toxic Substances Act, and as a minister, she knows that these kinds of announcements aren’t dreamed up overnight but take some fair amount of planning and coordination. But Alberta is going to Alberta, whatever happens, so this is nothing new.

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Roundup: Turner and what has changed since

Former prime minister John Turner passed away over the weekend at age 91, and while you can read about his life here and here, for example, there were a couple of things I wanted to mention about his time in office. Thanks to the problems with the leadership selection processes in this country, Turner didn’t have a seat when he won the Liberal leadership and was sworn in as prime minister. He was only in office for eleven weeks, never meeting the House of Commons, and was defeated in an election shortly thereafter, though he did win a seat and stayed on as leader of the opposition for six years. Most of the tributes to him this weekend have not talked about his reputation for being “handsy,” barring the famous bottom-patting incident with party president Iona Campagnolo, though Susan Delacourt says that he was respectful and wasn’t patronizing to women reporters, who were still rare in the day.

What I think is most interesting, however, was that Turner fought an election in 1988 on the question of free trade, and Turner was bitterly opposed, saying that this would turn Canada into a colony of the United States, and that there would only be doom ahead. The then-Progressive Conservatives were the pro-trade party, and won the day with a majority parliament. Here we are a little over thirty years later, and the situations have reversed themselves – now it’s the Liberals who are champions of free trade and open markets, while the modern iteration of the Conservatives are turning into protectionists who are pushing a “Canada First” plan. It’s amazing how things can change so much in that long (particularly when parties abandon ideology for the sake of populism).

I also am curious how they plan to conduct a state funeral for Turner given the current pandemic restrictions. One supposes that they could have him lie in state within a space like the Sir John A Macdonald building on Parliament Hill, and that the funeral will be televised with a lot of people in masks, but it will no doubt be a challenge for all involved.

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Roundup: The Energy East distraction

After wide reporting that Jason Kenney’s poll numbers have been tanking and that he’s currently tied with the provincial NDP, it was predetermined that Kenney was going to have to start coming up with something new to blame the federal government about in order to whip his voter base into a new round of irrational anger. He also, apparently needed to provide some cover to his friend Erin O’Toole after O’Toole’s meeting with the Quebec premier, and so Kenney’s distraction of choice was going to be Energy East, and blaming the federal government for its demise. Of course, that’s not true at all, and energy economist Andrew Leach has the receipts.

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Roundup: The O’Toole victory post-mortems

Now that Erin O’Toole has been “decisively” declared the winner of the Conservative leadership contest, all of the analysis has churned out. While O’Toole avoided the media (he’ll have a press conference today instead) and got to work with meetings to solidify his transition to leader, including changes to senior staff, but had a call with the PM, wherein O’Toole was sure to point out in his readout that he raised “western alienation” as a concern he wanted addressed in the Throne Speech – sending a signal to his base on day one.

Here is a reminder of the things that O’Toole promised during his leadership campaign – and caution, a lot of those promises are premised on some eye-popping economic illiteracy. Here are five ridings whose results help tell the story of O’Toole’s rise using the rules of the campaign (you can find the full riding-by-riding breakdown here). Here’s an analysis of who the power players are in O’Toole’s Conservative Party.  Here’s a look into Leslyn Lewis’ campaign and what it signals, but I would put a word of caution for those who insist that this is some kind of turning point for a party that tends to favour old straight white men at all levels – I did notice over the past few months that whenever certain Conservative voters would harass female academics on social media and were called out for it, they would insist they weren’t sexist because they were voting for “a black woman to become prime minister.” I have a sneaking suspicion that Lewis has given a certain amount of cover to these kinds of people, which isn’t really a sign of progress.

Meanwhile, Susan Delacourt lists the things O’Toole will need to address before the party will be ready for an election, which means biding their time. Heather Scoffield sees an opportunity for O’Toole to exploit when it comes to fiscal policy. Aaron Wherry wonders how O’Toole will differentiate himself as leader given the party’s approach to issues. Éric Grenier crunches the numbers to show how the social conservative vote benefitted O’Toole over Peter MacKay. And Paul Wells takes stock of O’Toole, finding him to be little more than a warmed-over Scheer in an era where the political centre in the country has shifted from where the Conservatives believe it to be, which will mean that O’Toole will need to think bigger than he currently seems to have an interest in.

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Roundup: Outlining the transition steps

The government unveiled their planned next steps in income supports for the economic recovery yesterday, starting with an additional month of CERB, after which they will start transitioning people to EI (with relaxed criteria) as well as a new system of support benefits for those who don’t normally qualify for EI, as well as sick benefits. I’m given to understand that part of why they are being transitioned away from CERB has to do with flexibility – the EI computers are more able to handle the ability to allow benefits to flow while a person is still getting incomes than the CRA’s system does, and that is one of the things that are being rolled out here, so that people don’t lose benefits the moment they reach an arbitrary threshold. (More from economist Jennifer Robson in this thread).

Something that came up repeatedly over the day (particularly on certain politics shows), however, was the notion that while the legislative portions of these changes would need to happen fast when Parliament is recalled, that nothing could happen until after a confidence vote on the Speech from the Throne. This is false. Once the Speech has been read by the Governor General, the government can start introducing and debating other bills. They don’t have to simply debate the Reply to the Speech, and they don’t have to have an immediate confidence vote. In fact, they don’t need to have one at all, given that there are other confidence votes coming up in the Supply Cycle. Yes, Trudeau did promise a confidence vote, in what appears to be a dare to the opposition, but that’s not the point here – the point is that they can introduce these measures in Bill C-2, and swiftly pass them before Trudeau has that confidence vote. All of the pearl-clutching that I’m seeing is completely for naught, because people don’t pay attention to process or procedure (and I’m sure a few of them are trying to create an artificial sense of drama).

https://twitter.com/SkinnerLyle/status/1296556887761129476

Meanwhile, a certain senator is grousing that transitioning people to EI is going to be too complicated, so he wants the provinces to start basic income pilots, and I can’t even. Economist Lindsay Tedds has been working on this issue for a long time and has stated that we don’t need more pilots – governments need to simply design programmes that meet their objectives, but it seems that said Senator hasn’t been listening when she’s told him that directly.

https://twitter.com/LindsayTedds/status/1296646779639746560

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Roundup: Combing the document dump

The mass of WE-related documents were the subject of yesterday’s news fodder, and the fact that they largely corroborated the government’s assertion that the civil servants were the ones who suggested WE Charity be the vehicle to deliver the Canada Student Service Grant programme. They did, however, make a couple of notes that raised eyebrows – one was another communication between Bardish Chagger and the Kielbergers (though she has responded to dispel those concerns, saying it was a general comment she had made as the CSSG was not on her radar at the time), and the other were communications between Bill Morneau’s office and the finance department officials where Morneau’s office were described as “besties” with WE – which doesn’t necessarily prove that this was some orchestrated campaign to benefit WE. There were also documents wherein Jean-Yves Duclos was clearly not comfortable with WE being the only delivery vehicle for the programme because they don’t have sufficient depth in Quebec, though he was being assured otherwise.

To these revelations, and the fact that some of the pages had redactions on them (which is standard for both Cabinet confidences and instances where privacy is involved), the Conservatives and Pierre Poilievre in particular put on a melodramatic press conference full of air quotes and flung pages, and the howling accusation that there was a cover-up in the works. Because we all know that when you don’t find the answers you want, there must be a conspiracy at play. It’s not unexpected, and I’m not sure he won over any converts among the Canadian public, but hey, this is all theatre for him, like so many things in Canadian politics.

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Roundup: Freeland precedes a prorogation

The fallout from Bill Morneau’s resignation yesterday culminated in a brief Cabinet shuffle that saw Chrystia Freeland appointed to replace him as finance minister, and Dominic LeBlanc taking over her intergovernmental affairs responsibilities. This makes Freeland the country’s first woman federal finance minister, and there was much back-patting over that particular glass ceiling being shattered. The bigger news, however, was the fact that prime minister Justin Trudeau decided to prorogue Parliament to return on September 23rd – the same week they were intended to return anyway – for a new Speech from the Throne that would outline a new set of priorities for the government in order to focus on rebuilding the economy. Trudeau said that it was the time to move forward rather than revert to the status quo, and that we need bold new solutions rather than being held back by old ways of thinking. He also said that the pandemic was an “unprecedented opportunity,” a chance to build a more resilient Canada, which is healthier, safer, more competitive, more welcoming, and fairer. “This is our moment to change the future for the better,” he declared, adding that the window of opportunity wouldn’t be open for long.

During the Q&A, Trudeau only had praise for Morneau and wouldn’t elaborate on the leaks that happened up to his resignation. Regarding the Governor General, he said that he had confidence in the third-party investigative process launched by PCO. On his children going back to school, he said that they were discussing the matter “actively.” Regarding Freeland’s previous writing on taxing the super-wealthy, Trudeau said that he has been having this conversation with Freeland since he recruited her to politics, which is why the first thing they did was raise taxes on the top one percent, and that they wouldn’t raise taxes at this time. Regarding prorogation, Trudeau tried to differentiate his move with Harper’s 2008 prorogation by saying that while Harper was trying to avoid a confidence vote, he was instead putting one on the table with the Speech (err, except the logic falls apart when you realize that Harper also had a confidence vote following that prorogation, which he survived). He said that they continue to cooperate on any WE investigations, and that they released those thousands of pages of documents to the committee so that they can study them over the next month of fallow period, and that the opposition can keep asking questions when Parliament resumes. And when asked if he would be on the ballot next election, Trudeau said he would be and that he was “excited about the opportunity and the responsibility.”

We also got an extended response from Freeland, beyond her praise for Morneau, both about breaking the glass ceiling around women in the finance portfolio, and the government’s feminist agenda, which was important because of how this crisis has disproportionately affected women. Regarding her own disagreements with Trudeau – because of the narrative being promulgated about Morneau’s ouster – Freeland said that she and the PM had recently reflected “with good humour” on times they disagreed, and that she felt that having those different points of view, with the ability to have open, respectful, candid conversation about them (behind closed doors) brought government to a better decision. So there’s that.

On the subject of prorogation, this is vastly different from 2008, and anyone who tries to compare the two is either being disingenuous or has a comprehension problem. The WE Imbroglio is hardly a scandal – yes, it highlights the PM’s poor judgment, and that should be the cue that it’s time for him to leave, but that’s about it. The attempts by the various committees to find a smoking gun haven’t been able to find one, and several of them are exceeding their mandates in trying to force more investigations. Prorogation won’t end any ongoing committees, but delay them, though I’m really not sure there’s much more to be gained by continuing them, for what it’s worth. This being said, Trudeau proroguing now instead of waiting until the eve of his scheduled Throne Speech is not exactly a smart move given the current pandemic context, because if there is a need for an emergency recall of Parliament for a new legislative measure as a result of said pandemic, they will need to have a Throne Speech before that can happen. While I’m sympathetic to those former staffers who said that the government needs to focus on their Throne Speech and budget, and that the WE stuff was a real distraction from that, I would say too bad – the government made its bed and needs to lay in it. It was unnecessarily provocative and only increases people’s cynicism about Trudeau breaking his promise not to use tactics like these for political gain.

Meanwhile, Heather Scoffield makes note of the juggling act that Freeland will need to employ in order to balance the goals she’s facing, but notes her experience as a working mother will help. Susan Delacourt points out that Freeland is the only “star candidate” of Trudeau’s that is still standing and hasn’t been tarnished along the way.

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Roundup: Exit Morneau

After a week of leaks about clashes, finance Bill Morneau took to a lectern late in the day on Monday to announce that he had tendered his resignation, and would be resigning both as minister and as MP. Well, first he did some back-patting over his record and couched the decision by saying that he never planned to serve more than two election cycles, and since the economic recovery would take years, it was better for someone else to step in who could carry the work through. The bombshell out of this was the face-saving gesture that he had put his name forward to be the next secretary general of the OECD, and that he had the PM’s full support in doing so – which is either really cute that he thinks he actually has a chance, or a bit pathetic in that he offered up an excuse that beggared credulity. The Q&A portion had very few answers, but this kind of pabulum is what Morneau was so good at – lots of words, not a lot of substance. When asked about the difference that he was apparently clashing with Trudeau over, Morneau mouthed that there was “vigorous discussion and debate,” and that he hoped that work on the green economy could continue and that he would try to help with the OECD (which he won’t get). He denied that he was pressured to resign, said that when it came to WE, he has been involved in philanthropy for many years and that in hindsight he wished that he had one things differently and recused himself – and yet said nothing about the donor trip he didn’t disclose. He insisted that he still wanted to contribute, and said that at the OECD, he would deal with things like international taxation and digital transformation, and use the expertise he gained as the finance minister of a G7 country to help, but, well, that’s not going to happen and we all know it.

Liberal Sources™ are saying that there won’t be an interim finance minister, though the Orders in Council say that Mona Fortier is already the Acting Minister since Morneau is out of the picture. The leading contenders for the job appear to be Jean-Yves Duclos, Chrystia Freeland, and François-Philippe Champagne.

Meanwhile, Paul Wells describes the strange circumstances that surrounded Morneau’s departure – particularly the leaks to the media about fights that Morneau lost and was gracious about, with added snark about how the departure went down. Heather Scoffield notes the good work Morneau did before agreeing that it was time for him to go. (Look for my own column on Morneau’s departure later today on Loonie Politics).

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QP: Trying to single out ministers to divide the Cabinet

The prime minister was finally present for the second day of the mid-July sitting, after his inexplicable absence the day before. Andrew Scheer led off, mini-lectern on desk, where he insisted that Canadians had enough of his scandals, and demanded he appear before committee. Trudeau stated that he was considering the invitation, that he was happy to be here today and tomorrow, and that he should have recused himself when the suggestion was made by the public service. Scheer spun a tale of WE’s alleged schemes, and again demanded that Trudeau appear at committee. Trudeau responded by listing the aid they have given students. Scheer then ranted about his disgust with the Liberals and didn’t have a question, to which Trudeau chided him about the things that he should be asking about, like the aid package under debate. Scheer got increasingly breathy as he again spun out a conspiracy theory around WE, wondering on what basis the civil service could have recommended WE, to which Trudeau stated that the civil service looked at the government’s plans and decided WE was best placed to fulfil it. Scheer quoted a charity watchdog on WE’s ability to fulfil the programme, and the asked Chrystia Freeland what it would take for her to lose faith in the prime minister, but Trudeau rose once more to praise the efforts they have made to engage students and support them. Yves-François Blanchet was up next for the Bloc, and he meandered around the problems Trudeau is facing, to which Trudeau insisted that they were focused on helping Canadians through the pandemic. Blanchet quipped that Trudeau couldn’t buy his way out of a crisis, and a suggested that Trudeau temporarily step aside and let Freeland replace him, and Trudeau praised the Safe Restart agreement with the provinces. Up next was Jagmeet Singh for the NDP, and he wondered why Trudeau didn’t recuse himself when the WE contract came up, and Trudeau stated that he followed the recommendation of the civil service. Singh insisted that apologies mean nothing if the Liberals help their “wealthy friends,” and worried why they didn’t just use another program instead, to which Trudeau said it was a shame that the NDP was so cynical about measures for students.

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Roundup: Feigned confusion and a filibuster

As anticipated, the government unveiled their reforms to the wage subsidy programme yesterday, which included more of a sliding scale for revenue drops and how much support businesses could get before the subsidy phases out, which helps ensure that businesses don’t reach a “cliff” in terms of restart growth only to have that support ripped away at an arbitrary level. This has the business community both applauding the government for responding to concerns, while also moaning that it’s so complicated now, which has some economists rolling their eyes. It also looks like the government that insisted they don’t like abusive omnibus bills is rolling the legislation for these changes in with the new-and-improved disability payments, as well as the justice timelines legislation, so that’s something to look forward to when the House comes back next week for a single day.

Meanwhile, the Ethics committee met yesterday to start their own look into the WE Imbroglio (conveniently with many of the same faces who subbed in at the Finance Committee during its hearing), to which the Liberals on the committee, knowing that they don’t have sufficient votes, decided instead to filibuster things, which is not a good look. Their arguments that this undermines the work of the Ethics Commissioner ignores that his role is supposed to support them, not the other way around; the fact that they were blocking a motion to demand the receipts from Margaret and Alexandre Trudeau’s public speaking events from their Speaker’s Bureau going back to 2008 is a little more suspect, and I haven’t heard a reasonable rationale for it or how it relates to the proposed study on how well the conflict-of-interest regime is working. Suffice to say, this isn’t a good look for the Liberals, and there are better ways of beating the Conservatives at their own game than playing into their hands. It’s too bad that they can’t seem to grasp that.

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