Tag Archives: Energy East

QP: Rigging a dangerous game

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Justin Trudeau was away for Monday, but Andrew Scheer was present. Before things got underway, Elizabeth May led her new MP, Paul Manly, into the Chamber in order to take his seat. Scheer led off, demanding to know why Unifor was on the panel to help determine who gets funding for the media bailout and called it the Liberals stacking of the deck. Pablo Rodriguez said that Scheer was playing a dangerous game, and that any suggestion that journalists could be bought was insulting while the government was supporting the industry as a number of daily newspapers had closed in recent years. Scheer tried again, and got the same response, and then Scheer railed that government had not limited their own spending on ads in advance of an election, to which Karina Gould read a statement about how the government has focused their advertising and cut it in half. Steven Blaney stood up to repeat the question on Unifor being on the panel in French, and Rodriguez gave him much the same response, and they went another round of the same. Jagmeet Singh was up next for the NDP, and he demanded the government adopt their Pharmacare plan, to which Ginette Petitpas Taylor insisted that she listens to all sides and they have a national plan in the works while they have taken other measures. Singh tried again in French, got much the same response, before Singh lauded US Democrats’ attempts to change the New NAFTA, to which Chrystia Freeland insisted that they held out for a good deal. Singh tried again in English, and Freeland urged Singh to talk to some actual Canadian workers. 

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Roundup: An economic vision without an economic case

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Andrew Scheer gave the second of his policy keynote speeches yesterday, this one on his economic vision, and as could be expected, it was full of hyperbolic declarations about the size of the deficit (it’s tiny in comparison to our GDP), and the state of Canadian household finances (which have been growing). He promised that any new spending programmes would have to be paid for out of government “savings,” and in his pledge to balance the budget in two years, that would mean cuts. Of course, Conservative mouthpieces say this is easily enough achieved because they did it before (forgetting of course that the previous government had a habit of booking savings that were never going to be achieved for the sake of getting to a paper balance, like Shared Services Canada, or the Phoenix Pay System). The Liberals, incidentally, were quick to put out Bill Morneau to put a price tag on those cuts and warn that they would come out of families, and with the spectre of seeing what Doug Ford is doing to those families in Ontario, well, it’ll make things harder for Scheer.

The part that everyone talked about, however, was his grand vision of an “energy corridor” across the country where pipeline projects would magically cross the country with buy-in from Indigenous communities and everyone would be happy and prosperous, and we would have energy security and would never had to import oil from Saudi Arabia ever again. The problem with this fantasy picture, however, is largely economics. Even if Energy East were to get built, by some miracle, it would not have an economic case given that it wouldn’t be used for domestic oil in the eastern provinces as it would be far more expensive than the oil they’re importing. In fact, Energy East did not make it off the drawing board because there was no economic case – it wasn’t because there was opposition in Quebec (which has already achieved some kind of mythical status), but because there was no economic rationale for the company given that Keystone XL was back on the table. Scheer’s promise (other than the fantasy of it even happening) is that Alberta will either have to take a huge discount per barrel of oil, or oil prices in the eastern provinces start taking a major jump because they’re paying a lot more for it, and upgrade it from heavy petroleum and refine it (in refineries that would have to have been refitted, likely with yet more taxpayer subsidies). But since when should logic or basic economics be part of an “economic vision”? That would be silly.

Chris Selley offers a critique of Scheer’s rhetoric, but finds it more astonishing that it’s the Liberals’ own self-inflicted damage that is putting Scheer in a position where he has a reasonable shot of winning.

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Roundup: Trudeau’s year-end musings

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It’s that time of year, when the prime minister is starting his rounds of year-end interviews, and thus far, with CTV and The Canadian Press having been done so far. Some of the newsworthy moments have been that he is saying that he is looking for a way to get out of the weapons deal with Saudi Arabia. He also says he’s not planning on an early election (to which I would say of course, because he’s going to have too hard of a time getting everything he needs to get done before the fall, so why would he want to go early?) There was also some very careful language around Energy East, both in that there is not a current proposal on the table so any talk of it is hypothetical, but also that under the current approach, there is no support for the project in Quebec, which could mean that under a different environmental assessment regime (like the one they’re planning in Bill C-69) they may have better luck. Maybe. But I did find the qualifier very interesting. He also pushed back against some of the simplistic notions around the deficit in some of his clearest responses to date (though he still used much of the same pabulum language), so that’s maybe a sign he’s improving on that file. Maybe. He also warned about using populist anger over issues like immigration, which immediately made the Conservatives get huffy and say that he was launching personal attacks, and so on.

Out of all of this, I was most interested in what he had to say about the Senate, and how he plans to make changes to the Parliament of Canada Act, though the headline says this is about trying to make it harder for a future PM to make changes to reverse his reforms – though the Act wouldn’t do that at all, nor does he actually say that in the interview quotes, so I’m not sure where they got that notion from. I am on the record as saying that I think they should hold off on these changes for now, because the Senate has made sessional orders to do everything that they need them to do around the additional caucus funds and so on, and because it’s simply too early to make these kinds of permanent changes to the legislative authority given that the “reforms” have been ham-fisted and ill-considered, and we could very well be creating even more problems for ourselves down the road. But they want to ram this through before the election, and there is going to be a fight on their hands to do it, so we’ll see how that plays out in the New Year.

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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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Roundup: Sorry for the service interruption

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Hey everyone – sorry for the service interruption! Malware sucks. Fortunately, it’s been taken care of and I have new preventative measures to ensure that it won’t happen again in the future, but that also costs me a lot more money to run this site than it used to, so if you can, please consider becoming a patron (and you get some exclusive content to go along with your support). Thanks again for your patience with this.

Good reads:

  • This week’s first ministers’ meeting is expected to get testy, and lo, the oil and gas sector is not explicitly on the agenda (to which Trudeau insists it’ll get discussed).
  • Oh, look! Data on rural work camps and violence against women! It’s something that does happen, despite the Conservatives deriding the association made.
  • Dairy producers are the beneficiaries of import quotas under TPP rules (and lo, I wrote about this being likely two months ago based on the CETA experience).
  • Federal lawyers are objecting to the UCP trying to join the Saskatchewan court challenge on carbon taxes. (It is unusual for opposition parties to be party to a case).
  • A lot of doubt is being raised as to whether the government will actually end arms sales to Saudi Arabia.
  • Apparently Canada’s “feminist” foreign aid policy is too unfocused and spread too thin to have a meaningful effect (not to mention is underfunded).
  • The Commons foreign affairs committee was supposed to have an in-camera meeting with Chinese officials, but that has been cancelled.
  • The Privacy Commissioner is calling for tougher digital privacy laws.
  • Environment Canada is an outlier in that it generally doesn’t track the e-waste of its weather balloons (in part because it’s too costly as we’re a vast country).
  • The CFO of Hwawei was arrested in Vancouver for extradition to the United States, and that could trigger backlash from China.
  • Raj Grewal’s lawyer says that all of Grewal’s gambling loans were from friends and family, and are entirely traceable.
  • Ontario’s chief controller resigned after she refused to sign the Ford government’s attempt to sell the “true” size of the deficit as $15 billion.
  • The New Brunswick premier wants Energy East to be revived, but TransCanada isn’t interested. It’s like there are economics at play!
  • Kevin Carmichael looks at the Bank of Canada’s sudden caution on raising interest rates, in large part because of the oil price shock.
  • Colby Cosh looks into Statistics Canada’s programme of testing municipal wastewater for signs of cannabis consumption.
  • Chantal Hébert looks at the federal-provincial  battles over pipelines, that will play out well after the next election.
  • Chris Selley disputes that there’s a crisis around the French language in Ontario.
  • Andrew Coyne looks at how far Andrew Scheer is willing to go to get the far right vote on the immigration issue as he rails against the UN global migration compact.

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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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QP: Medium-security condos

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Nearly a full day after Donald Trump’s rambling press conference in which he made threats to NAFTA, and both Justin Trudeau and Andrew Scheer were present to face off. Scheer led off in French, and asked why Trudeau didn’t ask for a meeting with Trump in New York. Trudeau took up a script and stated that they were looking for a good deal and not any deal. Schemer switched to English to ask for assurances that there would be no new tariffs next week. Trudeau, still with a script, reiterated that they were looking for a good deal and that the Conservatives would sign any deal put in front of them. Scheer switched topics, and returned to the issue of Tori Stafford’s killer, and Scheer reminded him that she was moved from maximum to medium security under the Conservatives in 2014, and that the Conservatives themselves said that they don’t have the power to affect the security classification of prisoners. Scheer insisted that Stafford’s killer was being moved from behind razor wire and bars to a “condo,” and that the Act gives the government the power to Act. Trudeau accused Scheer of playing word games of his own, and when Scheer tried again, Trudeau reminded him that she remains in medium security. Guy Caron was up next for the NDP, and worried about Energy East being revived, and Trudeau reminded him that the company withdrew their proposal because of market conditions. Caron switched to English to worry about CSIS spying on environmtal activists, and Trudeau reached for a script to say that they respect the right to protest but that the complaints about CSIS were looked into by SIRC and dismissed. Romeo Saganash wanted the entire Cabinet to meet with Indigenous knowledge keepers to understand the meaning of free prior and informed consent, and Trudeau said that they were working forward reconciliation and meeting with First Nations who both supported and opposed projects. Saganash asked again in French, and Trudeau reminded him that not all Indigenous communities oppose projects.

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QP: Blair’s blunders

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While Justin Trudeau was off at the United Nations General Assembly, and Andrew Scheer busy preparing for a 4 PM press conference, Alain Rayes led off, reading some kind words about the response to the tornado on the weekend, and asked for an update on the situation. Ralph Goodale gave his own statement of thanks and condolence, and said the federal government was assisting where they can. Rayes then turned to Bill Blair’s self-admitted mistaken statement on those asylum claimants that have left the country. Blair admitted to the confusion he created and again apologised. Rayes railed that no plan to resolve the border “crisis” has been issued, and this time Diane Lebouthillier was deployed to accuse the Conservatives of creating fear. Michelle Rempel took over, restated the first question in English, and Blair responded with some chiding about her use of “illegal border crossers.” Rempel reiterated her question, noting that he didn’t answer her which created more confusion, but Blair responded with a lecture on due process. Guy Caron was up next for the NDP, and he hectored the government on the duty to consult Indigenous peoples on projects. Amarjeet Sohi responded with the trite lines about the importance of the relationship and assured him they were properly consulting. Caron insisted that they couldn’t be real consultations if they had already decided to “force” the expansion of Trans Mountain, and Sohi responded that Canadians expected them to get new markets for their resources. Rachel Blaney took over and repeated the questions in English, and she got the same response both times, insisting that they will offer accommodation is possible.

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QP: Competing moral indignation

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In ten years of covering Parliament Hill, I have never seen a prime minister attend Question Period four days in a row in a single week, and yet here we are today. Andrew Scheer, however, was absent. Pierre Poilievre led off, and claimed that Trudeau was pretending to be tough in NAFTA talks while giving Trump cheap oil and letting him get away with lowering taxes and taking Canadian jobs. Trudeau responded with some pabulum that they have seen high growth and record low unemployment. Poilievre went another two rounds of the same, getting more intense in his rhetoric, and Trudeau responding with greater bombast in return. John Brassard was up next, decrying that convicted murderer getting veterans’ benefits while not serving, to which Trudeau gave soaring rhetoric about veterans’ families serving with them, but not commenting on that case. Brassard demanded that benefits be stripped, and Trudeau accused them of stooping low to play politics and refusing to answer further. Guy Caron was up next for the NDP, decrying the millions spent by the Infrastructure Bank while not funding projects. Trudeau responded that they were investing in communities for the long-term, and accused the NDP of choosing the Conservative path of cuts to balance the budgets. Caron went a second round, and Trudeau reiterated the great things about infrastructure. Brigitte Sansoucy went for another round two rounds of the same question, got the same answer from Trudeau both times.

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