Debates of May 5th, 2004

Gilles Duceppe Laurier—Sainte-Marie, QC

Mr. Speaker, the price of gasoline is exploding. People cannot take it anymore and the Prime Minister is still doing nothing to rein in the oil companies, which are raking in excessive profits.

Instead of taking the side of the oil companies, as he usually does, will the Prime Minister finally act in the public interest and create the petroleum monitoring agency called for by the Standing Committee on Industry?

Paul Martin Prime Minister

Mr. Speaker, the hon. member should be aware that we, on this side of the House, are very concerned about exactly the same subject.

The hon. member must also know that the Competition Bureau will, as it has in the past, look into the situation, and if anything can be done, it will do it.

Gilles Duceppe Laurier—Sainte-Marie, QC

Mr. Speaker, “as it has in the past”? But it has done exactly nothing in the past. The rise in the price of gasoline is due in large part to the disproportionate profit margins of the oil companies at the refining stage. We are talking about profit margins of 17.5¢ a litre, while the oil companies would be already doing well with 6¢ a litre. Refineries are a federal responsibility, and the Prime Minister refuses to intervene.

When will the Prime Minister stop thinking like a shareholder, concerned with profits, and impose some discipline on the oil companies by creating the petroleum monitoring agency?

R. John Efford Minister of Natural Resources

Mr. Speaker, let me tell the hon. member, the leader of the Bloc, exactly what has been happening in Newfoundland and Labrador for the last 10 years. We pay 89¢ a litre. That is the cheapest gas one can buy in Newfoundland and Labrador. There has been a pricing commissioner in Newfoundland and Labrador for the last five years. It has made absolutely no difference.

The Prime Minister is exactly right. If there is a problem, the Competition Bureau will deal with it. There is no way an individual can go out there and control the price of gasoline across the country.

Paul Crête Kamouraska—Rivière-Du-Loup—Témiscouata—Les Basques, QC

Mr. Speaker, according to the Association québécoise des indépendants du pétrole, the market is too concentrated, there are too few players in the industry and these players are maintaining their stocks very low, thus creating an artificial shortage. Consumers cannot take it anymore and the government is not doing anything, when it could launch an inquiry on competition in the oil industry.

Why is the government not doing anything when it could?

R. John Efford Minister of Natural Resources

Mr. Speaker, maybe the hon. member is not knowledgeable about the free world and business and the free enterprise system. When the price of oil goes up to $35 U.S. a barrel, as it is today, naturally the price will increase accordingly.

Does the hon. member expect every time the price goes up or goes down that we will tell the oil companies exactly what to do? If there is a problem with the pricing of oil, if there is any unfair pricing going on, the hon. member should write and complain to the Competition Bureau.

Paul Crête Kamouraska—Rivière-Du-Loup—Témiscouata—Les Basques, QC

Mr. Speaker, I do know what happens to consumers' money. I should point out that the responsibility of conducting one of the government's inquiries on competition was given to the Conference Board, which includes major oil companies.

Why not ask for a bona fide inquiry on the lack of competition in the oil industry? The minister has the authority to do so. He must order such an inquiry.

Lucienne Robillard Minister of Industry and Minister responsible for the Economic Development Agency of Canada for the Regions of Quebec

Mr. Speaker, let us be very clear. I do not think that anyone in Canada likes the current skyrocketing oil prices, and this includes consumers and business people of all kinds.

To be sure, we are very concerned about the situation. Parliamentarians themselves looked into this issue in May 2003. We all concluded that there is no collusion in the market right now.

Having said this, the Competition Bureau is always there to monitor the activities—

Paul Martin Prime Minister

Mr. Speaker, the acting leader of the NDP does well to raise this issue. This is an issue which has horrified civilized people around the world. It is absolutely ghastly and is totally unacceptable.

I was delighted to see the statement by the President of the United States and his abhorrence of what happened. There is no doubt that in the fight against terrorism we have to remember that our values are why we are fighting terrorism and that this kind of thing just must not happen and that full investigations must take place.

Bill Blaikie Winnipeg—Transcona, MB

Mr. Speaker, I did include in my question an inquiry as to whether the Prime Minister had conveyed his concerns to President Bush prior to this morning. Perhaps the Prime Minister would like to respond to that.

Further to other questions that we have raised in the House this week about the inclination of the Liberals toward privatizing things, we notice that the Minister of Transport recently made a speech in which he talked about the commercialization of passenger rail in this country.

I want to ask the Minister of Transport, will he tell the House whether the government has any plans to privatize VIA Rail, or will he do the right thing and get up and say that the government has no intention of privatizing VIA Rail?

Rahim Jaffer Edmonton—Strathcona, AB

Mr. Speaker, the former finance minister created over $9 billion worth of foundations which he deliberately excluded from parliamentary oversight.

One of his largest foundations, the millennium scholarship fund, just gained the reappointment of Arthur May to its board for another five years. His reappointment was made without any referral to Parliament and in direct contradiction to the Prime Minister's promise to eliminate the democratic deficit.

Why is the Prime Minister so afraid to give Parliament its say in these appointments?