Bill C-23 (Historical)

An Act to amend the Canada Marine Act, the Canada Transportation Act, the Pilotage Act and other Acts in consequence

This enactment amends the Canada Marine Act to clarify and make technical changes to certain provisions. As well, the amendments
(a) modify the Act’s purpose;
(b) modify a port authority’s access to federal funding;
(c) add provisions regarding the power of a port authority to borrow money;
(d) provide additional regulatory powers to the Governor in Council;
(e) add provisions regarding port amalgamation;
(f) modify provisions regarding the appointment of directors of port authorities; and
(g) add a penalty scheme and streamline certain other enforcement provisions.
The amendments also include transitional provisions, corrections to other Acts and consequential amendments to other Acts.

Canada Marine Act

[Bev Shipley, Conservative, Lambton—Kent—Middlesex, ON]

Mr. Speaker, it is an honour today to have the opportunity to elaborate on certain aspects and provisions of Bill C-23. Specifically, I would like to focus on the impact of the proposed changes to the Canada Marine Act on Canadian port authorities.

We have entered a new era obviously in global trade. The patterns of our trade partnerships and relationships continue to change with the growth of our overseas markets, and that has been illustrated in earlier comments.

Canada must work to position itself strategically with east-west trade routes, routes that by their very nature require the transport of goods by marine mode.

New realities are upon us including the reality that marine based trade is becoming more and more important to our economy in terms of volume and the value of goods.

Our ability to accommodate this trade is integral to tapping the opportunities being generated by the ever-expanding markets. Ensuring that appropriate port infrastructure and the intermodal connections exist are crucial to allow for the increase in the volume of goods to flow unimpeded.

Not only does Canada have the opportunity to directly grow its Asian trade relationships but the prospects of developing Canadian gateways and corridors as the pre-eminent transportation routes into the heart of North America will result in numerous value added initiatives translating into long term high paying jobs.

In short, if Canada does not have the necessary infrastructure in place to accept the North American bound trade, it will go elsewhere and the spin-off opportunities will obviously be lost.

Since their inception, the 19 Canadian port authorities that form the backbone of the national port system have been self-sufficient entities that have effectively used their own revenues and borrowings to finance investments in port infrastructure; in other words, building the port capacity that is necessary for security trade growth with overseas markets.

On the whole our port authorities have been successful in pursuing new investments and have been very creative in the partnerships and financial arrangements that have made a large number of infrastructure projects possible.

Our ports have been able to maintain growth due to good management practices and without access to the federal treasury which aligns with the original objectives of the Canada Marine Act. However, the global economic realities of today are not the same as when the Canada Marine Act came into existence in 1998.

During the period that the Canada Marine Act was being developed national economic priorities reflected deficient deficit reduction. Our principal trade focus was with the United States, global logistics changes were in their infancy, and the federal government had minimal involvement in strategic infrastructure investments.

In the last decade, however, various federal funding programs related to infrastructure have been created. The recently announced building Canada fund includes $2.1 billion for gateways and border crossings as well as $1 billion for the Asia-Pacific gateway and corridor initiative. Within all of these strategies and initiatives it is clear that Canadian port authorities have a critical role to play.

Today there is significant pressure, especially on our west coast, to do more to accommodate growing maritime traffic. Canada's bilateral trade with China has increased 500% in the last 10 years. From 2001 to 2006 Canada's exports and imports with China recorded an average annual growth of 12% and 22% respectively.

Some experts are forecasting that container movement at west coast ports will quadruple by 2020. In terms of the time required to ensure that appropriate port related infrastructure is in place to handle this traffic 13 years is an extremely short period of time when we are dealing with port authorities.

Most of this container traffic represents inbound consumer goods, although Canada's booming energy sector and expanding Asian economies are increasing the demand for Canada's energy products and other commodities. Between 1996 and 2006, marine exports to China almost tripled to reach $7 billion.

Canada's west coast ports are planning to invest over $1 billion themselves in the next 10 to 15 years in order to address issues of capacity, including capacity for bulk and liquid bulk exports. However, given the forecast of trade growth within the Asian economies, it is unclear whether these investments by the ports alone will be sufficient to maintain Canada's market share of the anticipated traffic.

While the Canada Marine Act governs several components of our national port system, the proposed changes outlined in Bill C-23 will most profoundly affect Canada Port Authorities. There are several important amendments proposed to the Canada Marine Act; however, the cornerstone of Bill C-23 is a change contemplated in section 25 that would give port authorities the same ability to access federal funding as other transportation infrastructure providers.

The federal government recognizes the need to provide our ports with additional flexibility so that investments in important infrastructure may be made to meet new opportunities. The proposed amendment to section 25 of the Canada Marine Act would remove the existing legislative barrier that prohibits Canada Port Authorities from accessing contribution programs for infrastructure projects.

Access to contribution programs would place Canada Port Authorities on an equal footing with other major infrastructure providers and better reflect the government's current approach to financial investments, an approach which recognizes that from time to time a case may be made for federal investment that is in the public interest and that positions Canada within international trade dynamics, but in such a way that the commercial spirit and independence of the port authorities are not compromised.

The proposed access to contribution programs reflects the priorities of the government and will be focused on capital costs of infrastructure projects, environmental sustainability and security initiatives. Certainly in terms of security funding, these amendments are required to allow a continuation of contributions to ports, which as of the end of this month will no longer be provided under the Marine Transportation Security Act.

Bill C-23 also recognizes the diversity of port operations across the country, including the inherent role of some port authorities within gateway and corridor frameworks and the need to move these ports with significant revenue generating power closer to a self-governing borrowing regime.

In this regard, ports that achieve $25 million in operating revenues for three consecutive years will have the choice of moving to a new tiered structure under which there will be no aggregate borrowing limit. Rather, these ports would be subject to a code of borrowing established in their letters patent and a board-approved borrowing policy to reflect the requirements of the code.

This structure will result in more comprehensive reporting requirements to ensure borrowings are compatible with the policy and the code, but will also allow much greater flexibility to borrow according to the market conditions in order to address time-sensitive opportunities.

For those ports that are not subject to the new borrowing regime, it is important to note that, as a parallel policy initiative, guidelines have been developed that are designed to significantly shorten and clarify the borrowing limit increase approval process. That is important.

Other elements of Bill C-23 relate to strengthening the governance provisions of the Canada Marine Act. In addition to a number of general housekeeping amendments, the introductory provisions of the Canada Marine Act will be changed to recognize the historical, contemporary and future significance of marine transportation and its contribution to the Canadian economy.

The proposed amendments to the Canada Marine Act are integral to the long term objectives of our national gateway and trade corridor strategies. Simply put, the marine system is a major component of our national transportation structure and the Canada Port Authorities truly are the marine gateways for domestic and international markets. Without these important legislative amendments, it would be extremely difficult for our gateways and trade corridors to meet their full potential.

[Ed Fast, Conservative, Abbotsford, BC]

Mr. Speaker, when debate adjourned last night, I understood I had three minutes. This is wonderful news. It is one more minute for a politician to talk.

When I left off debate, I was talking about the opportunities that Canada has in the area of international trade. As we know, Canada is a trading nation. It is one of the most successful trading nations in the world. In fact, it is perhaps the most resource rich country in the world. The nations of the world are beating a path to our doorstep not only for our resources and commodities but they are also looking to us for the technological expertise and much of the information we can deliver to make the world a better place.

When I left off debate, I was raising a number of reasons why we face challenges in Canada in trying to maximize the benefits we get from international trade. The first of these reasons was the awful truth that previous federal governments had essentially abandoned any significant effort to build our national infrastructure and the result was an aging infrastructure that was ill-suited to compete with the demands of the 21st century.

That is why the Conservative government, of course, introduced a $33 billion building Canada fund, which is a plan that is going to rebuild and renew our national infrastructure. It is the largest investment of its kind certainly in the last 50 years, if perhaps not in Canadian history. The building Canada fund is going to be rolled out over the next seven years.

There is a second reason why we have challenges in the area of making sure that we compete internationally for trade. That was the fact that the level of service in transportation, specifically railway transportation, was in a critical state of affairs. For many years virtually everyone in the shipping industry had complained about the fact that the level and quality of service delivered by our large national railways had declined.

To address this concern, our government introduced Bill C-8, which goes a long way to improving the level of service in our national railways. It ensures that the dispute resolution mechanisms available for shippers are efficient, low cost and timely.

The third reason why Canada is beginning to have challenges in the area of its gateways and trade corridors is the fact that our country does not have the legal flexibility given to its ports to be able to adapt to a rapidly changing economic environment. When I talk about ports, I am talking about marine ports, such as the port of Vancouver, the port of Montreal, the port of Halifax.

There are numerous other inland and marine ports across Canada that have challenges. They have transportation pinch points that restrict the ability of those who carry on trade with Canada and within Canada to get the job done. That is why we have introduced Bill C-23. It provides much more flexibility to the ports to be able to adapt to changing environments.

One of the areas where we are providing more flexibility is, for example, in the area of land management. Ports will now have more powers and authority to manage their lands, to lease them, to sell them, and to use them for the purposes they deem necessary for their businesses. We have also expanded the whole area of legal authority and the ability to borrow money, which again had been severely constrained until now.

We believe this flexibility is going to allow our ports to become even more dynamic because if we do not become more dynamic in the area of trade and ensure the infrastructure in Canada is in place to adapt to increasing trade, we are going to lose out.

There are many other ports across North America now that are competing with us and they are very aggressive. We need to make sure that our ports in Canada have the ability to meet the challenges of the 21st century.

I am thankful for the opportunity to address this very important issue for Canadians.

The House resumed from December 3 consideration of the motion that Bill C-23, An Act to amend the Canada Marine Act, the Canada Transportation Act, the Pilotage Act and other Acts in consequence, be read the second time and referred to a committee.

[Robert Carrier, Bloc, Alfred-Pellan, QC]

We think it's important not to delay the infrastructure study, which was already scheduled. If we could maintain this study, then we could start the study of Bill C-23, if necessary.

Do we agree on that?

[The Chair, Conservative, Merv Tweed]

I said it would either be one or the other. If Bill C-23 is put forward to this committee, we will deal with it on Thursday, but if it's not available to us, we will deal with the infrastructure.

[The Chair, Conservative, Merv Tweed]

Thank you. It shall be reprinted, but it will be on recycled paper.

I thank you for your good work on this bill.

Just for the information of the committee, on Thursday of this week we will be dealing with railway safety--that's Mr. Bell's motion--and we will have Transport Canada officials in here to answer questions.

On Tuesday, December 11, I'm asking for a subcommittee meeting, so there'll be no transportation meeting that day other than for those who are on the subcommittee. And I'm hoping that on Thursday, December 13, we'll either deal with the infrastructure programs or with the introduction of the bill that's currently before the House, Bill C-23.

Go ahead, Mr. Carrier.

[Ed Fast, Conservative, Abbotsford, BC]

Mr. Speaker, it is a pleasure to participate in this debate. It certainly impacts my area of the country, the province of British Columbia, which has a very significant port, one of the busiest ports in North America. Today we are debating amendments to the Canada Marine Act.

My comments will focus a little bit on the importance of supply chains and transportation and how those things are so critical to ensuring that Canada remains competitive and has a dynamic and vibrant economy.

I also want to talk a little about global trade in general and how important it is that we as Canadians start to identify the opportunities that we have to build trade with the emerging economies in the world, as well as expanding trade with the major trading partners that we already have.

Global trade and commerce are changing rapidly and transportation is one of the critical, if not the most critical, aspects of successful trading relationships. It may surprise many to know that the cost of transporting goods and commodities around the world has actually gone down, not up, despite the fact that we have much higher costs in terms of fuel. We have more modern technologies and higher commodity prices which translate into higher prices for equipment. In fact, the cost of transportation has gone down dramatically over many decades.

Today businesses around the world organize their production, not only at home but by outsourcing some activities to third parties. They will locate other activities outside of their home country. They will also form strategic alliances and joint ventures around the globe. We call these global supply chains.

Essentially, when a producer is producing a certain product, the research and development may be happening in one country, several components may be being made in one country and several others in another, and the actual assembly of those products may be done in a fourth country. All of those production units need to work together effectively and efficiently, and transportation is critical to ensuring that happens.

What else is critical in Canada is that our Asia-Pacific market is the new centre of gravity of world trade, in light of the fact that the trans-Pacific trade, especially the container market is growing so rapidly that the west coast of North America, particularly the port of Vancouver, is beginning to experience capacity problems.

In short, that means that our ability to handle the trade demands of the Asia-Pacific Rim countries is creating backlogs and deteriorating service levels. This holds true, not only for the west coast of Canada but across our great country. We have numerous significant ports in our nation.

There are a number of reasons for these capacity challenges and I will highlight three of them. First, the awful truth is that previous federal governments put little effort or funding into the expansion of our national transportation system. The result is an aging national infrastructure that is ill-suited to compete in the 21st century. That is why our Conservative government recently made the largest Canadian infrastructure investment in the last 50 years.

We have committed a total of $33 billion to our building Canada fund which will be spent on critical national infrastructure over the next seven years. For me this is exciting because it will improve infrastructure and especially transportation across our country. It will also benefit my province of British Columbia, the Asia-Pacific Gateway. I was so pleased to see that our government invested $1 billion to building infrastructure improvements in British Columbia, specifically to take advantage of gateway opportunities.

The second reason for capacity problems has been the steadily deteriorating level of service in the area of railway and freight transportation. For many years, virtually everyone who depends on shipping freight by our national railways has complained bitterly about the quality and level of service. To address this, we recently introduced Bill C-8 which would impose a new, more efficient way in which shippers could have their disputes about service and about ancillary charges resolved.

A third reason why Canada is beginning to have challenges in its gateways and trade corridors is that our major ports across the country do not have the legal flexibility to adapt to rapidly changing environments, specifically economic and trade environments. That is where Bill C-23 comes into play.

The bill would grant more powers to our gateway ports over the management of their own lands and more leasing powers. The ports would also be given greater authority to borrow money and to allow them to adapt more quickly to the changing needs of their customers. This is so key because we are in a global market and it is an incredibly competitive marketplace.

We do have some strategic advantages in British Columbia and in Canada to meeting those challenges, but we have to take advantage of them and the only way of doing that is to ensure our infrastructure is up to speed.

[Brian Masse, NDP, Windsor West, ON]

Mr. Speaker, I rise to speak to Bill C-23 and I would like to thank the member for Acadie—Bathurst for his speech. I would also like to thank the hon. member for ensuring that I would be able to speak today. Having travelled from Windsor, I just arrived moments ago in Ottawa and rushed to the House. It has been an interesting process given today's snow day.

I would like to highlight a few things in Bill C-23 that are important: first, the elements of why ports are important for our modern infrastructure; and second, the relationship that they have relative to the communities where they are situated.

We have a number of large ports like Vancouver, Montreal, Toronto and Halifax. They have played national historic roles. But we also have other smaller ports like Windsor, the Windsor Port Authority, which has played an important historical role but can also be part of a greater prosperity for all of us.

BillC-23 has some significant changes. The answers to questions that I have posed to the government have yet to be responded to. Some of the questions relate to how the ports actually operate and relate to the security provisions of the bill. Others relate to the fact that there really has not been that type of structural analysis done on the ports relating to how they operate with municipalities for example and land use agreements.

We are looking at a bill, Bill C-23, that will open up the ports in a very different way. They are going to be able to borrow more funds as they have difficulty with the process that is currently in place. It is very antiquated. The bill will allow ports to borrow up to 20% of a capital project for their actual operations. Second, there is a two-tiered system. One will be enjoyed by the larger ports and then the other system that is currently in place will be refined for the smaller ports.

I am not sure that having a two-tiered system is the most advantageous way to go forward. Therefore, I am hesitant to support that idea on the surface. We look forward to hearing from witnesses at committee about that to see whether or not the small and medium size ports feel they are at a disadvantage. That is critical.

When we look at a government that is run really by one individual, with very much a top down approach, the same philosophy can apply to the ports. We might have the larger ones enjoying a greater advantage over the medium and smaller ones which can actually provide some great economic development opportunities and might want to compete to become great ports in Canada.

We have to be careful as we amend this legislation not to constrict them too much, so that if they are competing among their peers, they do not have a disadvantage that the incumbents would take advantage of from this type of a situation. We want to make sure that this issue is going to be addressed. We will be looking forward to those ports coming forth and assessing the current situation.

One of the things highlighted in the bill, which is important and we have to wonder what the logic is behind it, is a reduction in the boards that we have right now.

For example, the Vancouver port will have a reduction from its current seven to fourteen directors. In wearing my old municipal hat, the municipality appointed the individuals to the board. They were independent and they reported back to the larger body of the board, but they also had some accountability because the persons would have very much the feel of the city and the community. They would have a commitment being part of the board of directors.

What we are seeing, it appears, is a hollowing out of that membership. Once again, and this is what worries me, we could have people hand-picked from Ottawa to sit on these boards. We could have problems with that.

Many people across the country who are appointed to boards of port authorities are very competent and sit there as representatives, basically for the public trust, but what worries me as well is that we have seen in the past certain appointed positions becoming very politicized. The previous government was notorious for this. The current government has also shown the same behaviour.

In our area of Windsor, for example, the government actually sacked a judge who was very competent, who went through the Liberal patronage process. He did a good job and we wanted to keep him. However, the government sacked him anyway because of a political ideology that drives the beast.

Therefore, what we would call for is a review of this. If there is going to be the potential of a clearing out, so to speak, of all these boards of directors across the country, I would be very worried given the fact that we have not seen the ethical breakthrough so necessary by the government when it comes to patronage appointments.

No one has to look any further than the fact that the Conservatives appointed an unelected member to the Senate to be the public works minister to know that there is no measure they will not undertake, especially since it was a big break from their actual election platform. Subsequently, when we look at some of these other appointments, that is what we see.

The directors are very important. They reflect the decisions of the board and they have influence in the community.

With that, I want to move into one of the elements that is going to be loosened up in this bill. It is the availability of used port land for alternative uses. That could actually be other business plans. It could be very good for the port in many respects and also for the community. What I have asked the department, though, and it has not responded yet, is what the procedure would be to deal with the municipality affected by this.

Coming from a land planning background, I can tell members that everything is very much tied to the planning basis for sustainability, for the environment and for fairness when it comes to commercial, retail and also residential usage and so forth.

I noticed when reviewing the parliamentary secretary's speech on this matter that he took a particular interest in making sure that with these third-party agreements they did not allow condos to go on this land. However, that does not take away the fact that there could be other types of uses that could be in conflict or competition with adjacent property, for which private sector or public sector holders, whether the municipalities or the provinces, actually already have land agreements and uses on the sites.

If there is no process put in place that actually allows the municipality to look at its official plan to vet that accordingly, then we would see a circumvention of that. That is bad for the environment and bad for planning. It certainly has already been a situation that I have seen a couple of times. City land or government land has actually skirted the actual municipal processes in Ontario because the municipalities do not have to go through that same process. So what we literally have is almost an agreement by the principals involved to not have to go through the planning advisory steps. They thus avoid the Ontario Municipal Board and so forth.

One of the things we want is to see that element really defined in a crystal clear way so that the local people and the regional people who are sitting on this board have a clear understanding of the vetting process in terms of third party agreements for the use of their land.

The encouragement for this from the government is so that the ports can actually move to another level of development and also at the same time retain, if they have surplus land, some economic activity on it to actually help the port. Also, it is so they have control of those lands, so that should there in the future be the necessary requirement to use those lands, the control would be there.

Coming from Windsor West, I think that is a wise principle. We have the busiest land border crossing in North America and, in fact, for truck traffic it is the busiest in the world. We have 10,000 trucks per day that traverse this crossing.

What we have witnessed is the lack of planning because this was a private bridge. It still is a private bridge that the government of the day did not take advantage of in terms of appropriately planning out the area around it. It is now boxed in, so to speak, and even if significant land is acquired, there is no opportunity to meet the modern challenges for security and trade that are necessary and are being mandated by the United States.

Despite the platitudes of the Prime Minister, and no matter how many times he meets with the Americans and works with them, what is actually happening on the ground is that the Department of Homeland Security and other agencies are imposing new procedures, new services and new barriers for our trade through there.

Therefore, I think this principle of actually having the ports retain this land for future usage is wise, but the terms, conditions and rules are very important.

I have touched upon just a few elements tonight and only have a minute to conclude, but I do want to say the New Democrats are looking for a modern port that is also going to be very efficient in its security. Right now, less than 3% of cargo coming into this country is checked. This is a huge security risk that the government has completely ignored. That has to end.

On that note, we will be looking at this bill at committee to make improvements so it can go forward, but it has to be done with a national concept as well as a local one, because that is how things operate with the best efficiency.

[Yvon Godin, NDP, Acadie—Bathurst, NB]

Mr. Speaker, I am pleased to speak to Bill C-23. In a way, we have been waiting for this bill for a long time, and we hope the wait will have been worthwhile.

This bill is about ports across the country, from Vancouver to Montreal, Quebec City, Halifax and Saint John, New Brunswick. This is of particular interest to me because a port development is under way in northeastern New Brunswick, and this is of critical importance to people in the region.

As everyone knows, my riding, Acadie—Bathurst, in northeastern New Brunswick, may have the highest unemployment rate around. How many times have people in the House said that the member for Acadie—Bathurst should talk about something other than employment insurance? Well, this is one way to invest in a very important port that has been ignored all along compared to all of the other ports in Canada. The Bloc Québécois member said that we must not forget the port of Montreal. But it has no debt and plenty of money, so it is not a problem.

But in our case, it is quite the opposite; we are talking about developing a port. For example, Belledune just outside my riding of Acadie—Bathurst, right at the end of Chaleur Bay. If people bother to look at a map, they will see that Chaleur Bay is in a direct line with Europe. The water there is deep and there is no ice. There is no need for icebreakers to let the ships pass in the winter and no cost involved. Even so, the government bills us for an icebreaker, just as it bills the other ports. Yet we do not need one at the port of Belledune. This really hampers the economic development of the region and this port.

When Canada was a new country, the Atlantic was prosperous. Then prosperity spread west of the Atlantic, to Quebec, Montreal and Toronto. Then it spread to all the Great Lakes, where it is warm, and it went on from there. But Canada was really formed in the Atlantic region. It is important to remember that the Acadians were the first people to come to Canada from Europe. We celebrated our 400th anniversary two years ago. That proves that we were the first.

In our discussions today, It is sad to see that the Atlantic has now been forgotten, especially northeastern New Brunswick. There is a port in Saint John and one in Halifax. The port in Belledune is a new port with incredible potential.

As I said, Europe is in a straight line from Chaleur Bay, and at the end of that bay is Belledune. Looking at the map, it is not difficult to imagine that shipping could continue on to the United States, for example, if there was a good road to get there. Why should ships make a huge detour to get to the United States when the port of Belledune in northeastern New Brunswick is in a direct line with Europe and the United States?

Bill C-23 also permits ports to take out loans. That is welcome news. But I believe that the committee should study the bill to do whatever it can to help them as much as possible.

In the past, the government decided to turn the ports over to the port authorities.

The ports were transferred to the communities and the Liberal government, which was in charge at the time, backed away from them. It did not provide the money needed to keep the ports in good shape. It was not just the port of Vancouver or the big ports where goods are brought in and shipped out. It also involved the ports for the fishery, all the small ports. The government did nothing for years and years.

Last year we were arguing about a job that needed to be done at the Miller Brook port in my riding. It had a drought this year and the boats had to be dragged into port because there was not enough water. The dredging was not even done. It was unbelievable. I am telling the truth when I say that the boats had to be dragged in the sand to bring them inside the port.

It has created a situation where the people are afraid when they see a storm. What would they do if they were outside the port and at any time during the night wanted to come in but could not because the tide would be out?

The port has been forgotten for many years. Today it has become a big cost to the community and to the fishermen. It is like having a house. If the owner does not look after it, in no time it is no good anymore. Repairs need to be done as we go along and we need to keep it in good shape.

Looking at our small fishing ports, one might imagine that the government had not made them a priority. It transferred the ports to the communities, but now the ports are in such a state they can be wiped out by the least storm that blows through.

I will give an example. A few years ago, a storm hit Petit-Rocher. The port had been in need of additional protection. Those responsible argued with governments to add protection from the wind and from November's huge fall tides so as not to lose our wharves. The governments refused. The storm was quite big. A 30-foot wave crashed in and shifted the Petit-Rocher wharf over by one foot. The repairs cost $550,000, or the whole wharf would have been lost. The fishers could not fish. They had to set up rocks to prevent the water from hitting the wharf again and breaking it. That doubled the cost. Repairs need to be done as they come up and not put off until disaster strikes.

The same is true when it comes to appointing people to the port authorities. The government wants to reduce the number of people. The danger is that local people will not be there to make the necessary recommendations. This is not the only concern. It also involves making decisions locally for the general population. These people are, after all, very familiar with the problems. They are the ones who should be making the decisions and making recommendations to the government concerning repairing our ports, such as making extensions, rebuilding or doing a better job in terms of economic development. This was the point I was making earlier about the port of Belledune.

I would like to talk about my riding and how this relates to my own backyard. There are some ports in bad shape in my riding. I can list several off the top of my head. The wharf in Pointe Verte is in such bad condition that boats cannot even enter into the port. The same is true for the wharves in Maisonnette, Anse-Bleue and Saint-Raphaël-sur-mer.

That is also the case for Le Goulet. I was speaking to the mayor of Le Goulet and he told me that the government absolutely had to intervene and help them. These are not large communities. Earlier, the Bloc Québécois member said that the port of Montreal does not have any debts, that it has no such problems and that it would like to be treated fairly.

We have catching up to do. We have to start reinvesting in order to ensure a certain level of economic development at these ports and also to ensure the safety of citizens. At present, ports are not safe. In Grande-Anse, fishermen stay outside the port because when the tide is low they cannot get back in. It is not safe. No one can enter the ports of Miller Brook or L'Anse-Bleue as they are not safe.

The government has responsibilities. It washed its hands of them by transferring them to citizens. When it transferred its responsibilities to the communities, it guaranteed that it would be there to help them maintain the ports in good condition. It wanted the citizens to help but then abandoned them. That is regrettable.

In closing, we will support Bill C-23 if amended. I am certain that we will hear more from the member for Windsor West. He will be presenting some good ideas in committee in order to obtain our support for Bill C-23.

[Mario Laframboise, Bloc, Argenteuil—Papineau—Mirabel, QC]

Mr. Speaker, I am pleased to rise today to speak on behalf of the Bloc Québécois about Bill C-23, An Act to amend the Canada Marine Act, the Canada Transportation Act, the Pilotage Act and other Acts in consequence.

I would like to begin by saying that the Bloc Québécois supports Bill C-23 in principle. Obviously, we will have the opportunity to improve it in committee and to call witnesses. We hope—and I am choosing my words carefully here—that this bill will increase the competitiveness of the St. Lawrence by maintaining and improving the port infrastructure required to develop the St. Lawrence—Great Lakes trade corridor, which will also promote intermodal transportation and benefit the environment.

Why do I say that this is what we hope? Because at first glance, we have to be careful. Our Liberal colleague mentioned that when the Liberals were in power, they promoted the Pacific Gateway. The Conservatives, in the person of the parliamentary secretary, said earlier that they have invested hundreds of millions of dollars in the Pacific Gateway. They are preparing to announce a major investment in the Atlantic Gateway and Halifax. Yet we never heard any mention of the St. Lawrence—Great Lakes trade corridor in the speeches given by the parliamentary secretary and the Liberal member.

That is why I say that the Bloc Québécois hopes that the bill before us will lead to the development of the St. Lawrence—Great Lakes trade corridor, which is as important as the Mississippi is to the United States. This waterway, which flows directly into the heart of the Americas, must be taken into consideration. We hope that this bill will address part of this problem.

The primary goal of Bill C-23 is to amend the current borrowing system. Those who are watching us and are not familiar with this should know that currently port authorities are entities, independent corporations that have charters allowing them to borrow money up to a certain limit. As the parliamentary secretary was saying, the goal is to increase or eliminate the borrowing limit for large ports with a view to allowing them to develop.

I will give the example of the port of Montreal. It has become less important under the Liberals as well as since the Conservatives came to power, but it is nonetheless considered one of Canada's major ports. The port of Montreal does not do any borrowing at all. Introducing a bill to increase the borrowing capacity of the port of Montreal when it already does not borrow anything, is not going to help it develop.

As far as access to funding is concerned, it is true that port authorities currently are not able to receive subsidies. Just like airport authorities, they have to pay their own way and bill their clientele for expenses. Marine companies obviously have to pay fees to use ports. That is how ports generate revenues. They can contract loans in order to finance improvements made to the ports. That is the current situation.

Now, this bill would allow them access to funding. That is well and good, but I want this to be fair for all ports across Canada. When we talk about the Conservative government's investment in the Pacific gateway, we have to realize it was not for infrastructure within the confines of the ports, since this was not permitted by law. It was funding for improvements to railway lines and access points so that they could provide as many services as possible, to ship and receive merchandise outside the port limits.

Personally, I would like them to receive subsidies today. But if all the money always goes directly to the Pacific ports and there is nothing for the St. Lawrence-Great Lakes trade corridor, this bill will just create an even greater imbalance.

To date, the Pacific gateway program implemented by the Liberals and maintained by the Conservatives still has no equivalent in the St. Lawrence-Great Lakes corridor.

The Conservatives announced that the Atlantic gateway would be in Halifax, but once again, there is nothing for the St. Lawrence-Great Lakes corridor, which is, I repeat, the largest and most beautiful gateway in the Americas. That was the goal when it was created, but I will talk about the history later on. If the Bloc Québécois members are not vigilant, if all the money goes to the west and the Maritimes and there is nothing for the St. Lawrence-Great Lakes corridor, this bill will not have achieved its goal.

I will repeat some of the reasons. The port of Montreal does not borrow any money. Obviously, it is not money that it needs. All the investments should be made outside the limits or boundaries to facilitate intermodal and other types of transportation. However, if we do not end up seeing any of that investment and if the goal of this bill is to help the Pacific and Halifax ports, we will have failed.

I would like to clarify certain aspects of governance. Obviously, there is a need to review how port authorities and corporations are administered—and I think this is good for everyone. For the Bloc Québécois, it is also important that these investments be evenly distributed to all regions of Canada and that, among others, the St. Lawrence-Great Lakes trade corridor receive its fair share for once. This was not the case under the Liberals and has not yet been the case under the Conservatives, as we have seen.

We want to make something clear in this House: the St. Lawrence River has always been a major asset to Quebec's development and closely linked to the economic development of all its regions. Eighty percent of Quebec's population lives on the shores of the St. Lawrence and over 75% of its industry is found there. The strategic location of industries in relation to the St. Lawrence River means it can be used for nearly all international trade outside the United States.

I will repeat this, because it is important to understand. When considering the St. Lawrence Seaway in the North American context, the importance of its economic impact becomes even more obvious. Indeed, the St. Lawrence River provides privileged access to the heart of North America. It not only allows access to 90 million inhabitants and the industrial heartland of the United States, Canada and Quebec, but it also provides a shorter route for major European carriers. The distance between Montreal and Rotterdam is 5,813 km while the distance between New York and Rotterdam is 6,154 km.

This corridor allows faster entry into the heartland of the Americas. The St. Lawrence Seaway is underutilized, however. The total amount of goods transported via the St. Lawrence dropped from 130 million tonnes in the early 1980s to approximately 100 million tonnes 10 years later, only to hover around 105 million tonnes since. Thus, since 1980, the ports of the St. Lawrence have received less merchandise than the 150 million tonnes they are currently receiving in 2007. It was 25 million tonnes less than what was being transported on the St. Lawrence in the early 1980s.

Once again, while some ports have seen increased traffic, neither investments nor Canada's management of the ports file have allowed this important development tool to be used to full advantage. We do not want to hear that this tool is the same everywhere or that it underutilizes goods transportation. For example, over the past 30 years, carriage of goods by ship has grown by 600% worldwide. While traffic on the St. Lawrence dropped from 130 million tonnes in the 1980s to 105 million tonnes, maritime shipping increased by 600% internationally. Closer to home, the Mississippi River system, which competes directly with the St. Lawrence, saw traffic increase from 450 million to 700 million tonnes. Seaports on the east coast of the U.S. have also seen steady increases in traffic.

This is why I have just as much trouble understanding my Liberal colleague's point as I do the message we are getting from the parliamentary secretary who talked about economic activity, China and that fact that they are the ones asking for it.

Even so, I would emphasize that the east coast of the U.S. has seen a major increase in shipping, which did not happen on the St. Lawrence. What does that mean? It means that Canada has not paid attention to one of the most important trade corridors, the Great Lakes-St. Lawrence Seaway, which borders Quebec, Ontario and the United States.

A similar trend is affecting traffic going through the St. Lawrence Seaway. After reaching a high of 70 million tonnes, the quantity of goods being transported via the seaway stabilized around 50 million tonnes per year. Once again, the seaway leads to the Great Lakes. As I said earlier, the shipping trade dropped from 130 million tonnes to 105 million tonnes on the St. Lawrence, and on the seaway that leads to the Great Lakes, it dropped from 70 million tonnes in the early 1980s to 50 million tonnes. Once again, this is due mainly to the fact that the St. Lawrence Seaway is not competitive, and this is because of Ottawa's failure to pay attention to marine infrastructure in Quebec, particularly along the Great Lakes-St. Lawrence trade corridor. That is the harsh reality of it.

When the Liberals were in power, they decided to put all their eggs in one basket, the basket known as the Pacific Gateway, and neglected the Great Lakes-St. Lawrence trade corridor. The Conservatives are making the same mistake. They added the extra money needed for the Pacific Gateway and decided to establish an Atlantic gateway in Halifax. The money will go to Halifax and, once again, there will be nothing for the Great Lakes-St. Lawrence trade corridor.

This bill, which allows the ports to borrow more money, will not solve the problem. All of the money invested in the Pacific Gateway is going outside the port areas per se in order to improve the flow of goods by rail and road.

The same should be done for the ports along the St. Lawrence Seaway and the Great Lakes. The same treatment, the same energy should be given to all these gateways by making the same kind of investment in them. What is being permitted today is investment within the area governed by each port authority. They are told that they can borrow more and that, henceforth, the government may provide direct subsidies.

Given that monies for gateways were given only to the Pacific Gateway—and now to the Atlantic Gateway in Halifax—there is nothing for the Great Lakes-St. Lawrence corridor. If that is the purpose of this bill as well, then they have missed the mark.

That is why the only party to raise this in the House is the Bloc Québécois. We are proud to live in Quebec and proud of the St. Lawrence, which has always been the backbone of all Quebec and Canadian industries. We cannot help but notice the major retreat by the Government of Canada from making investments along the Great Lakes-St. Lawrence corridor.

I would like to give a brief overview of the Great Lakes-St. Lawrence corridor. The concept of the corridor is based on an obvious fact. The ports along the St. Lawrence must establish a common strategy for facilitating the most efficient transport of goods possible amongst themselves and towards the destination markets. It is also based on a second obvious fact. The competition is no longer among Montreal, Quebec City, Sept-Îles or the other St. Lawrence ports, or even those on the Great Lakes, for their share of global marine traffic. They are competing against the American ports, and that is the competition they must face.

The message I want to send is that we are not in competition with the east coast, the west coast, Halifax or Vancouver. As I was saying earlier about distances, it is shorter to get from Rotterdam to Montreal than from Rotterdam to New York. That means we have an obvious advantage: we are able to serve the heart of North America, the United States among others, Quebec and Ontario too. We are able to do so with this corridor if we work together, just a little, and if all the ports along the St. Lawrence to the Great Lakes work together.

Merchandise should be transported as quickly and efficiently as possible. If there need to be transfers by road or by rail, the same service being provided in the Vancouver area should be provided in the Great Lakes-St. Lawrence corridor. These same advantages have to be given to the Great Lakes-St. Lawrence corridor so that the world's entire marine transportation market can benefit all the regions of Canada, which still includes Quebec.

We cannot help but notice that both the Liberals and the Conservatives have completely forgotten this large-scale corridor, the Great Lakes-St. Lawrence trade corridor.

I do not want to keep repeating myself, but the bill introduced here in this House would provide the port authorities an advantage by giving them borrowing powers or allowing the government to give them direct subsidies, which was not allowed before. Again, there is the example of the port of Montreal. It does not borrow money and it does not have any debt. So, it is not the port of Montreal that asked for this. However, if there are subsidies, it wants to benefit from that as much as all the other ports in Canada.

It is very important that the government understand that because the stated goal is to give direct subsidies within the perimeter administered by the port corporations, namely the western gateway and the Pacific gateway, in the Vancouver area. The Maritimes gateway in Halifax will probably get subsidies as well. In any case, this money has to be allocated in a balanced way across Canada. I am not convinced that is the government's intention.

The Bloc Québécois will be in favour of this bill because it believes that the St. Lawrence-Great Lakes trade corridor is one of the most under-used marine corridors, considering its proximity and ability to serve Quebec, Ontario and the central United States. We believe that the corridor is under-used, that previous successive governments here in Ottawa were negligent and did not make the required efforts or investments to promote this development. Moreover, this St. Lawrence-Great Lakes corridor will also enable intermodal transportation, or more specifically cabotage, which is probably the greatest strength of the St. Lawrence-Great Lakes corridor right now.

We hope to be able to develop cabotage and intermodal transportation. We would like to be able to cover the short distance between Montreal and the Great Lakes and between Montreal and Sept-Îles. We would like to be able to use this vast corridor, as the Americans use the Mississippi, and ensure that all the required government investments will make it possible for all the infrastructure and ports along the St. Lawrence to the Great Lakes to be able to fully develop intermodal transportation.

If that is not the government's intention, the Bloc Québécois will have the chance to ask questions of the government and the minister. It is all well and good to introduce a bill, but if it was done simply to develop the Pacific gateway, they should say so. They should be honest and say if there is a lack of money, if the ports of Vancouver and the Pacific can no longer borrow money, if they require direct investments and subsidies. They must say so because there will be an imbalance between the Pacific and Atlantic ports. We are creating our own competition, and there is nothing worse than that.

This is not the first time the Liberals and the Conservatives have made a mistake on this file. They adopt policies on the fly and they try to fix problems in the short term by putting one fire out and lighting another two. The Bloc Québécois wants to avoid doing that. We agree that ports should be allowed to change their borrowing regimes, which would enable large ports to borrow money in order to support their own development. We agree that there should be some funding now, which was not allowed before, and subsidies via infrastructure programs to help port authorities if they are in too much debt. All the same, we want to be fair to the west coast, the east coast and the Great Lakes-St. Lawrence corridor.

If we do not say that in this House, that is what the Conservative Party will do. That is what the Liberal Party started to do by investing in the Pacific gateway. In the end the Liberals did nothing. The Conservatives are feeling a little uncomfortable and seem to want to invest. They announced funding for the Pacific gateway, but they did not give anything to Atlantic ports or Halifax.

That means zero minus zero plus zero for the Great Lakes-St. Lawrence corridor. Absolutely nothing. Obviously, that will be very bad for Quebec's economy, as well as Ontario's, and it will also limit what we can do to develop trade with the United States.

[Joe Volpe, Liberal, Eglinton—Lawrence, ON]

Mr. Speaker, I am delighted to join in this debate, especially since the parliamentary secretary invited us to reflect upon credibility and leadership on the international front. Leadership and credibility is generated by not just some of the actions that are presented to us today for digestion, but by some of the consequences of other things that we do or do not do in life.

I want to refer back to that and take advantage of the fact that he is accompanied today by the Minister of International Trade. The Parliamentary Secretary to the Minister of Foreign Affairs is here as well. Perhaps they will want to listen to what I say a little later on and reflect on it by way of a response.

I would like to continue in the other official language. Today, we have focused on the fact that there are bills and programs that are very important for Canada, for the entire nation. I was pleased and privileged to be a member of the government which introduced these programs and bills.

Perhaps other parties in this House, who today are complaining about the Conservative government, regret that we accomplished something important for Canadians.

I too am disappointed that my party is not in power. However, when we were in power, we accomplished things that are enabling this government to establish a much broader program.

What should the government be doing? I want to indicate from our side that we too feel that transportation issues are basic to the principles of country building, of nation building. I say that because we take this issue seriously. We have taken it seriously. We laid the groundwork to ensure we would have a network of transportation, of infrastructure that would permit this fabulous country to realize its fullest economic potential.

Those are not just words as the parliamentary secretary indicates. They are the basis upon which one builds programs. Ports, marine ports in particular, because that is what is being addressed by the legislation, are fundamental to an outreach that we must establish to the world everywhere if we are to develop trade that will enhance the opportunity of every Canadian man and woman to access the bounty that is resident in our natural resources and then to move that bounty across borders and oceans to markets that can utilize them for value added or indeed for direct consumption. They are basic to the infrastructure of Canada's economy.

What did we do? Members will be surprised. Being a veteran of this House as I am, you will recall, Mr. Speaker, that in 1995 we began to establish a coordination of all of the assets that we had in marine ports. In 1998 that resulted with the establishment of a Canadian network of marine ports and the legislation to mandate their establishment, to coordinate these sometimes divergent and sometimes even counterproductive divergencies in our marine ports.

That was followed up with a review in 2003 of that legislation to see how it worked. All good things need some time in order to jell. We know what happened. After 2003 there was a series of studies. I thank the parliamentary secretary for recognizing that these studies were done by the department at the behest of the government. It was not his government, but I thank him for acknowledging that nonetheless.

The thrust of those reviews was designed to ensure that we could make all these ports economically competitive and efficient in an environment that would see the global market changing literally on a daily basis. When we undertook the initial study, the concept of gateways, Pacific gateway, Atlantic gateway, central continental gateway in the Great Lakes, were things that were not even part of the language of the day. Also not a part of the language of the day was the absolutely booming business taking place on the west coast.

We had one port that was doing some business and others were not or not that much. Now we are talking about ports resident in British Columbia, whether they be in the North Fraser, Vancouver or Prince Rupert, or Nanaimo, or Port Alberni. All these ports are very much a key to the economies of the Orient, whether it is Southeast Asia or Northeast Asia. We have to ensure those economies ship all their goods into North America through our ports and to generate an economy through the infrastructure that feeds into those ports to make it much more efficient and capable for all those provinces that sit in the middle of our continent to get their goods and commodities out to market.

The same principles apply to the marine ports in Atlantic Canada. The government of the day, through its studies, assumed and deduced that we needed to make a greater investment in the coordination of these ports. The Liberals came up with something called Bill C-61. This is a resurrection of Bill C-61. I am pleased to witness the revival of all good things. The parliamentary secretary may see us supporting a bill that highlights those very important issues.

As I said, we need to reinforce those principles upon which good, sound transportation policy is built; that is, the movement of goods and people efficiently, swiftly and economically around the country and abroad.

We wanted to create, and I imagine that this bill proposes to do the same, a common purpose and to permit the development of a plan or of a vision for growth in this country. I did not hear the parliamentary secretary say that, but I am assuming that was his intention because that would certainly be the reason why we would support this bill.

We need it to establish an infrastructure that is cohesive and coherent. Too often that infrastructure is seen as localized to a particular port. However, we need to think in terms of the avenues of building, whether it be rail, whether it be air, or whether it be roads, that feed into all of these ports that are the final terminus for the movement of many of those goods that need to be advanced outward, and that speak of Canada and the productivity of its citizens. That is what this bill was supposed to do.

And so, we see in it, as the parliamentary secretary has indicated, portions that talk about governance because we want to have continuity. We want to have, on the board of governors of these port authorities, personnel who are experienced and expert in the local economy, but still consistent and at one with the national objectives of a federal government that is dedicated, that should be dedicated, to ensuring that these ports fulfill the needs of Canadians everywhere.

The governing structure is extremely important. However, it is important as well to ensure that those port authorities go beyond simply being able to draw revenues from the movement of goods. They must be an economic entity on their own and they need to have the authority to ensure that the assets which they manage are part and parcel of the governance structure of these port authorities. And that could be in land, it could be the improvements on the land, or it could be any of the other factors, for example, leases, whether they be short term or long term.

If anybody wanted to have some umbrage or some difference with the government on any of these, we would eliminate it right away if that were not included in the bill.

However, more important, it is the issue of having an understanding, that we wanted to bring forward, of giving port authorities the opportunity to access government programs that give those ports the opportunity to have some of the funds that are available either for the development of some security issues that have developed since 9/11 or indeed for any of the infrastructure programs that this current government has continued. They were introduced by the former Liberal government, again as I said, of which I was privileged to be a part, to ensure that these port authorities would be seen as a continuity, a continuum of the infrastructure of our country's economic asset and the network that brings people together and that brings goods to market.

The parliamentary secretary will probably wonder where we go on a question of credibility and leadership. The question of credibility is seen on what we do to enhance these. He talked about trade and international relations. Those things are not all done simply by the work that we do at each one of these ports, but by some of the other things that we do with respect to the way that we deal with people who come within our territories.

This is not a deviation from that principle, and I am glad that the parliamentary secretary introduced it. We have had the misfortune of witnessing various tragedies in this country over the course of the last several months. I think by now most people are familiar with the case of the tasering of the young man at Vancouver airport and how we missed an opportunity to be decisive, and to act swiftly to ensure that any injustices be immediately remedied.

Now we have a situation where the Government of Canada's image worldwide has suffered, so much so that the government of Poland has asked for an inquiry. These are part and parcel of the kind of infrastructure that draws people to our shores and drops people into our midst.

As a matter of fact, as I said, thank heavens for the representatives of the other ministries. Earlier today, the government of Italy called in Canada's ambassador to speak about a similar situation that took place on September 20 when an Italian citizen died in a jail in Quebec City. So far there has been no response from Quebec government nor the Quebec police but, worse, nor response from the Canadian government.

All that people want is an opportunity to be able to access continuity, to understand what happens when people deal with Canadians on a question of strong international leadership, but let our actions speak at least as loudly as our words. Let us at least give people a response.

Until recently, we hid behind the fact, for example, that there was no hard, fiscal infrastructure on ports and then we hid on the soft issues, that is to say, where we were not dealing with bricks and mortar, on the fact that there were competing jurisdictions. How do we deal with countries that want a response from us?

We could always say that it is not our problem, that it is the problem of other provinces, that it falls within others' jurisdiction. If we have the political will to put in place a bill such as the current Bill C-23, we must also have the same political will to do other things.

I would like to say a few words in Italian, if my colleagues are agreeable to it.

[Member spoke in Italian.]

[French]

I will repeat it in English.

It is inconceivable that we would not give an answer to a foreign government that asks us why one of its citizens met with such a fate here on Canadian territory. For example, the young gentleman who died on September 20, Castagnetta, did he or did he not suffer his fate at the hands of police that were using tasers? There was an autopsy done and there are no results yet. Why not?

Let us talk about leadership not only on the international front, not only on the transportation side, but a comprehensive leadership that understands where the government should be taking this country. Where it should be taking it is in the place that says that goods and people are moving efficiently and effectively in a competitive environment, but everyone is accorded the dignity that is accorded all human beings who come here and call this place home. Even visitors would have access to Canadian law and due process. It is inconceivable that a family would have to wait, so far, two and a half months for a response. It is incredible.

The government is not doing anything. Maybe it will act more swiftly on hard infrastructure issues like this one. I can tell the parliamentary secretary as the official spokesman for the party on this side of the House that Liberals are prepared to support these kinds of initiatives in Bill C-23, just as we are prepared to provide the kind of support that the government needs to project a positive image of our country abroad. Without that, all of us are working at cross purposes and that should not be the intention of any member of Parliament.

[Brian Jean, Conservative, Parliamentary Secretary to the Minister of Transport]

Mr. Speaker, I am very pleased to present to the House today a proposal that will support a more commercial operating environment for Canada Port Authorities.

This proposal is a two-pronged strategy. It includes amendments to the Canada Marine Act, which is of course the legislative framework that governs ports, in combination with several policy measures. It is an approach that is responsive to industry concerns. It recognizes the importance of promoting strategic investment and productivity improvements, yet protects port lands for future transportation needs.

In relation to the Canada Port Authorities, the national marine policy of 1995 emphasized the elimination of overcapacity, promoted cost recovery, mandated self-sufficiency, and instituted a consistent governance structure for all major ports.

I am pleased to report that those objectives of the national marine policy relative to ports have largely been met through the Canada Marine Act, the legislation that introduced a commercial approach to managing the national ports system and marine infrastructure. CPAs have undertaken their management responsibilities in a sound and fiscally responsible manner and ports are well managed today as a result of that.

Budget 2007 positioned modern transportation infrastructure as a core element of our agenda. We have launched a national gateway and corridor approach which recognizes that transportation systems that enable us to move goods and people with world class efficiency are absolutely essential to our future prosperity.

Specific initiatives, such as the Asia-Pacific gateway and corridor initiative, the Ontario-Quebec continental gateway and trade corridor, and the Atlantic gateway initiatives are tailored to geographic and transportation opportunities in specific regions.

These initiatives recognize that transportation infrastructure investment requires the cooperation of many parties. That is right: this government works in cooperation with many parties across the country to get what Canadians want: better results.

These include Canada Port Authorities, representatives from all modes, all levels of government, and private investors. Each of these initiatives will provide concrete measures to contribute to a more productive economy and a stronger competitive position for Canada in international trade. Let us face it, we are a trading nation, and trade is very important to our future.

There are 19 Canada Port Authorities in the national port system. These CPAs are located in each of the regions in which gateway and corridor initiatives are being developed.

Efficient marine transportation and modern port infrastructure are key elements in reaching our government's goals. Indeed, Canada's ability to compete on the world stage is highly dependent on the efficiency of our ports and the availability of port infrastructure. This is particularly true for our gateway ports that are of specific strategic importance to this country.

While the national policy and the legislative framework governing ports are sound and have met their intended objectives overall, these instruments need to be modernized to ensure that our ports can respond and take advantage of the significant opportunities in the current global markets. We have all heard the stories of Asia and the emerging markets in that area. Canadians need to take advantage of that in order to continue to have the best quality of life in the world.

We must make sure that the Canada Marine Act is not a barrier either for ports or for the federal government. Instead, we must make sure that the Canada Marine Act supports the government's ability to make funding decisions in the public interest and to position Canada advantageously within changing global supply chains.

We are responsible for determining the role of the federal government and identifying gaps where other levels of government or private investors cannot provide the level of investment required to support these projects, and projects that are in the national interest and so important to Canadians.

The landscape has changed. The new context calls for an updated policy framework, as I said, for national ports through a combination of legislative amendments and targeted policy initiatives. The proposed legislative amendments are wide-ranging. They focus on the following areas.

First is financial flexibility, which is so important even in private business.

Second is port access to infrastructure funding, which is important for the future.

Third is environmental sustainability, which is the cornerstone of this government's policy and is on every Canadian's mind.

Fourth is access to security funding. We want to keep Canadians safe, because without that we will not enjoy any future.

Fifth is a commercially-based borrowing regime for larger ports.

Sixth is supporting amalgamations and governance at ports if required and if in Canadians' best interests.

This means targeted policy initiatives focused on a modernized national marine policy as it relates to ports, a streamlined mechanism for borrowing, and flexibility in the management of port lands for the future.

Today we face unprecedented growth in trade with Asia-Pacific countries, as I mentioned. This is resulting in tremendous pressures on the west coast. These pressures are starting to be felt in other areas of Canada, for instance in the Great Lakes and the St. Lawrence Seaway system and on the east coast, where we recently announced an Atlantic gateway initiative.

Our challenge is to find ways to promote new investment in the marine sector while encouraging it to behave as commercially as possible in the best interests of Canadians. Some of the larger Canada Port Authorities have made extensive infrastructure investments to address capacity constraints but cite barriers such as their current ineligibility for most federal funding as an impediment to further growth.

We are proposing to amend the CMA to provide these Canada Port Authorities with access to federal contributions for, first, capital costs for infrastructure, which is so important for the future; second, environmental sustainability; and third, security projects.

This is great news for Canadians. This approach would put CPAs on an equal footing with other transportation modes that have access to contribution funding. It would make them competitive.

We are not proposing the creation of a new funding program. Instead, we are proposing the establishment of a framework to allow CPAs to apply to contribution programs related to infrastructure, environmental sustainability and security projects.

Do members see a theme here? That is right. These programs that either currently exist or future contribution programs that may be developed in the future are the key.

In all cases, the ports would have to present a strong business case that fits specific criteria and that ultimately is in the public interest to warrant receiving public moneys. We are going to make sure that they remain accountable.

For example, these amendments could facilitate access to funds for the exploration of ways to address environmental concerns through new technologies to improve emission controls. They would also ensure the continued access of CPAs to any available security contribution funding.

Without this amendment, as of the end of November 2007 contribution funding for the implementation of security enhancements will no longer be available to CPAs. That is why this is so important.

We are also proposing that Transport Canada work in close collaboration with the Department of Finance and the Treasury Board Secretariat to implement a two-tier approach to borrowing that would provide for a commercially based borrowing regime, with accountabilities for larger ports with gross annual revenue generation above $25 million-- just for the big guys--at the same time streamlining the process for the smaller ports seeking changes to their borrowing limits. We want to make sure they remain accountable, but we want to make sure as well that they remain competitive.

There are other concerns related to the use of port lands. Some key ports are now facing encroaching residential developments and capacity limitations, an added pressure on the preservation of critical transportation lands in urban areas.

At the moment, there is little incentive for ports to retain lands for future transportation corridors. It is important to find the right mechanism to maintain ports as important economic generators for national, regional and local economies, as it is so important on the ground in these local communities that have these ports.

It is absolutely critical that we find ways to encourage our ports to invest in land holdings for long term port development. We are not talking about next year. We are talking about 100 years or 200 years down the road, but we need to be ready today for that growth that we expect and know is coming.

To promote the preservation of transportation lands, these opportunities would be given to CPAs by way of new policies implemented through supplementary letters patent. This would expand allowable uses for land that CPAs lease or license to third parties and assist CPAs in increasing revenues generated on those lands until such time as that port is ready to develop the property for port purposes.

However, Canada Port Authorities are not proposing to be less vigilant in regard to these lands, and all permitted activities will need to be compatible with port operations. For instance, we would not allow condos to be built on those particular lands. They have to be ready for the future.

Other amendments that will further benefit the Canada Port Authorities are those associated with future amalgamations, similar to the one under way in the lower mainland of British Columbia. We are proposing to incorporate provisions that would put in place a consistent approach, which is so important for certainty, to facilitate potential future amalgamations.

We want to work toward what is in the best interests of Canadians and at the same time make this a good governing instrument to do so. Some key governance amendments are proposed that would be more responsive to Canada Port Authorities' needs and would promote a more sustainable, more stable and more long term management framework.

There is also a complementary set of amendments being proposed that are more technical in nature and which clarify the wording of the act and harmonize certain provisions with other pieces of legislation. This is an important piece of legislation, but it does have to work with other pieces of legislation in the government regime.

Finally, with these changes in place, we propose to modernize the national marine policy as it relates to ports to ensure that the policy context for future decision making takes into account the emerging trade and the global business environment and that we remain competitive with it.

In developing this package we have attempted to strike what we consider to be a very reasonable balance between encouraging fully commercial behaviour on the part of ports and leaving the door open for them to compete for contribution funds under general programs like our new building Canada initiative, which again is great news for Canadians on the realm of infrastructure.

Ports in the United States and overseas are competition. They are focusing more effort on and are receiving more government funding for infrastructure, security and environmental initiatives. Long term access to federal contribution funding to spur growth in the new gateways or to implement security enhancements is consistent with the high priority we are placing on security and trade in this government. Two very important issues for Canadians are their safety and their jobs. What could be more important?

Canadian ports compete with international counterparts that receive security funding essentially for reassuring international trading partners. Associations representing the marine sector have requested that the government provide the same level of access to funding for Canada Port Authorities as exists for other transportation entities.

Other stakeholders we have consulted have strongly supported access to infrastructure funding for ports. That is important to this government as well. We have considered several different options to determine which one would provide the highest return for our stakeholders and for the Canadian economy, because this government is going to get the best return on investment for Canadian taxpayers.

We are proposing these changes in order to provide a balanced approach, as I mentioned, one that combines legislative amendments with targeted policy initiatives that will have the highest positive impact on the marine community and the Canadian economy. Yet at the same time, it will continue to require a small payment of rent to the Crown and puts reasonable safeguards around borrowing practices.

On the question of access to government funding programs, we are proposing to put ports and port authorities on the same level playing field as other players in the transportation sector. However, the government also recognizes that the right checks and balances for accountability to the Canadian taxpayer will need to be implemented to make sure that accountability continues. As such, funds provided through contribution programs with clear accountabilities and program criteria would provide excellent controls and reflect the government's current approach to the provision of funding under certain conditions.

We believe the proposed amendments in Bill C-23 are the right thing to do for our ports. They are an important part of the government's overall policies and framework supporting transportation and trade throughout Canada from coast to coast to coast. It is the right time to make these changes for the Canadian economy. This is the best thing for Canadians.

[Tony Clement, Conservative, Parry Sound—Muskoka, ON]

moved that Bill C-23, An Act to amend the Canada Marine Act, the Canada Transportation Act, the Pilotage Act and other Acts in consequence, be read the second time and referred to a committee.

Business of the House

[Peter Van Loan, Conservative, Leader of the Government in the House of Commons and Minister for Democratic Reform]

Mr. Speaker, this week's theme is getting the job done on justice and tax cuts. I am proud to say that our government got the job done on justice yesterday. The tackling violent crime act passed the House at third reading and the bill is now over at the Senate.

The government expects the Liberal dominated Senate to respect the will of this democratically elected House of Commons and quickly pass the bill, certainly before Christmas so Canadians can enter the new year safer and more secure in their neighbourhoods.

Today we will continue to get the job done on tax cuts by debating the budget implementation bill, which grants tax relief to all Canadians, especially by reducing the GST to 5%.

Next week will be economic certainty and prosperity week. Hopefully the budget bill will pass second reading this week so next week will begin with the Standing Committee on Finance considering it. The budget bill is an important part of our plan to provide economic certainty and prosperity for all Canadians.

The government hopes that the committee, once it receives the bill, will quickly review it and report it back to this House so it may proceed through the legislative process and receive royal assent before January 1, 2008. Canadians do not want to lose the reduction in the GST if parliamentarians fail to pass it into law before Christmas.

In this chamber next week we will continue to provide economic certainty and prosperity.

We will debate Bill C-23, to amend the Canada Marine Act, and Bill C-14, An Act to amend the Canada Post Corporation Act.

Both bills will help create jobs and a dynamic Canadian economy.

We will also debate Bill C-30, establishing an independent tribunal to which superior court judges will be appointed, to help resolve specific first nations claims.

This will deliver greater economic certainty for first nations and all Canadians.

We will also debate Bill C-29, which modernizes how loans are made to political parties, candidates and associations and how those loans are treated under the Canada Elections Act. This will create greater certainty by closing a loophole in our current campaign financing rules.

If time permits, we will debate our bill to strengthen the Youth Criminal Justice Act, Bill C-25.

Finally, in response to the question from the opposition House leader, Thursday, December 6 will be an allotted day provided that we have achieved early passage of the budget implementation bill and associated tax reductions.

Tackling Violent Crime Act

[Brian Murphy, Liberal, Moncton—Riverview—Dieppe, NB]

Mr. Speaker, it is my pleasure, at report stage of Bill C-2, to deliver some comments to the omnibus crime bill.

I have had the experience of serving on the Standing Committee on Justice and Human Rights and also the legislative committees that were involved with the former Bills C-10, C-22, C-27, C-32, C-35 and C-23, which is not part of the omnibus bill.

I speak with experience at least with respect to the bills and I understand how we came to be here today to speak about what the bill contains. A lot of discussion took place in the debates of the House and in committee with respect to the direction we should take with respect to our criminal justice.

It is important for us, as parliamentarians, to consider what we do when we amend the Criminal Code and its corollary acts. We are dealing with the Criminal Code. It is an organic document. It changes with the times. It is copied and exemplified by one of Canada's justice ministers and prime ministers, Sir John Thompson, from eastern Canada. It has certainly changed with the times as has our society.

In the 1890s the crimes that were top priority might have been things like cattle and horse theft, murder and some common ones. However, with the changing times, we have seen a proliferation of gang related violence, e-crimes, things that would not have existed at the turn of the century.

The point of raising that is as our society changes and the code changes, we owe it to this place, to the committees, to the law enforcement official, which include prosecutors, policemen, probation workers, corrections officers, people in the correction system and judges, quite a fraternity of people involved in the criminal justice system, to say that we looked at these various laws. We looked at how Canada was changing and at the end, we did the very best we could to keep track of what tools would be best to tackle the new problems that exist in society. It is not as if we are inventing new aspects of law. Many of these bills represent an evolution or a progression of laws that already exist.

Just briefly on the guts of the bill, if you like, Mr. Speaker, Bill C-10, which is now part of C-2, was of course dealing with the mandatory minimum provisions which were increased by the introduction of this bill, but they were not increased as much as the government had wanted them to be originally.

I would like to thank the hon. member for Windsor—Tecumseh and the opposition Bloc Québécois critic on the committee as well as the Liberal members on the committee who fought very hard to have some sense reign over the debate with respect to the evidence that was adduced at the committee hearings regarding the efficacy of mandatory minimums in general.

A review is in order. Mandatory minimums existed before the Conservative government was elected. Mandatory minimums were in place for serious crimes with the known aspect of repeat offenders and with some hope, which studies will show one way or the other, that there might be a deterrent and a safety to the public aspect of mandatory minimums.

At least on this side we joined with the Conservatives who, I would say, were very sparse in their acknowledgement that mandatory minimums existed before they came into office, but we joined with them and said that these are good tools for the law enforcement agencies and good tools in the realm of criminal justice.

It is a matter always of how far we go. How far do we go in disciplining our children? Do we take away their favourite toy? Do we ban them from seeing their friends for two weeks? Are we less severe or more severe? Many of us are parents and we deal with this every day. It is our form of the justice system that rules in our own house.

With respect to mandatory minimums, it is a question of calibrating to what extent the mandatory minimums are useful, to what extent do they work, and to what extend should they be increased, if at all.

During the debate process we were very successful in getting the government to get off its basic premise, which is if it is good for the six o'clock news and sounds robust, steady and law and orderish, then it has to be good in the Criminal Code. That is where the slip from the cup to the lip occurred, where it was obvious 90% of the witnesses were saying that the severe mandatory minimums that the government side were proposing would be inefficacious.

We can be as tough as we want, but if it does not work, if it does not make society safer, then we have not posited a good solution to the problems that face our community, and that was the case when we looked at mandatory minimums.

The happy medium that exists in Bill C-2 I think will be borne out, but it is very important to remember that this is an organic process and we could be back here some day soon, perhaps, looking at mandatory minimums in general.

How more timely could it be than in today's Ottawa Citizen, a report called “Unlocking America” is reviewed. In this report, it makes it very clear that the mandatory minimums, one of the many tools used by the American government from the 1970s on when it was felt that the rise in criminal activity was abhorrent, was not as effective as the Americans would have hope it would have been. It left the United States with 2.2 million people behind bars, more than China. The nine authors, leading U.S. criminologists, said that they were convinced that they needed a different strategy.

I am happy to report that as a result of the efforts of the NDP, Bloc and the Liberal Party in general at committee, we did not go as far as the Conservative government wanted to, which was close to where the United States had been which now New York State and New York City admits, is ineffective.

The three effects of imprisonment, and emphasis only on imprisonment, at the cost of crime prevention dollars, if you like, Mr. Speaker, is that the heavy, excessive incarceration hits minorities very hard. In the United States, 60% of the prison population is made up of Blacks and Latinos.

We heard evidence at our committee that there is a preponderance, an over-exaggerated percentage, of first nations and aboriginal people in our jail system, according to their population, which is deplorable. It is overwhelming and undisputed that the negative side effects of incarceration outweigh the potential. That is the two bits on Bill C-10,

On the other bill, Bill C-22, the close in age exemption, was never brought up. Despite all the rhetoric from the government, nothing would save Bill C-22. The issue of sexual consent being given by a person of tender years has never been put forward by any member of the opposition while the Liberal Party was in power.

The close in age exemption was never put in there, so for members of the opposite side to say that finally we dealt with the issue of sexual exploitation of 14 year olds is simply not accurate. The close in age exemption, five years between a person of the age specified, will save many relationships that should not be criminalized.

Lastly, I noted that Bill C-23 was not included in Bill C-2. I have to wonder why.

I live in Acadia. And Bill C-23 included many improvements with respect to choosing the first language of prosecutors during a trial. French is the language spoken by most people in my province. That element was very important to us in Acadia, but the government overlooked this fact.

Why did the government turn its back on the francophone people of New Brunswick in this country?