Energy Costs Assistance Measures Act

An Act to authorize payments to provide assistance in relation to energy costs, housing energy consumption and public transit infrastructure, and to make consequential amendments to certain Acts

This bill was last introduced in the 38th Parliament, 1st Session, which ended in November 2005.

Sponsor

Ralph Goodale  Liberal

Status

This bill has received Royal Assent and is now law.

Summary

This is from the published bill. The Library of Parliament often publishes better independent summaries.

Part 1 of the enactment authorizes the making of payments to families who are eligible for the National Child Benefit Supplement, and to seniors who are eligible for the Guaranteed Income Supplement and Allowance under the Old Age Security Act, in order to deliver one-time relief for energy costs.
Part 2 authorizes payments of up to $500 million for the period beginning on April 1, 2005 and ending on March 31, 2010 to provide assistance for reducing housing energy consumption. It also authorizes additional funding of up to $338 million for the EnerGuide for Houses Retrofit Incentive Program.
Part 3 authorizes payments of up to $400 million for each of fiscal years 2005-2006 and 2006-2007 for public transit infrastructure.

Elsewhere

All sorts of information on this bill is available at LEGISinfo, an excellent resource from the Library of Parliament. You can also read the full text of the bill.

Energy Costs Assistance Measures ActGovernment Orders

November 1st, 2005 / 12:25 p.m.
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Conservative

John Duncan Conservative Vancouver Island North, BC

Mr. Speaker, I am going to be splitting my time with my colleague from Saskatoon--Humboldt.

I had a short conversation with my Liberal colleague, the Parliamentary Secretary to the Minister of Finance, who asked me if my speech would have anything to do with Bill C-66, which is the energy package. I said it certainly would. He said that he assumed I might want to talk about the Gomery report because that is the issue of the day and people are primarily focused on it. It is not my intention to do that. I do want to talk about Bill C-66, the energy bill.

I did find it rather inventive that the parliamentary secretary, in his question to his other Liberal colleague who just spoke, did try to suggest, in a strange fashion, that the Bloc would somehow run this scheme along the same lines that the sponsorship scheme was co-opted by the Liberal Party of Canada, which fleeced the Canadian taxpayer and contributed to the largest scandal in Canadian history. I do not think there is any analogy there whatsoever.

It is typical of the Liberals right now to try to invent any excuse to diffuse attention away from what should be, in any setting, in any democracy anywhere, the demise of the government and the demise of the party. Instead, we have a Prime Minister and a government hanging on by their fingernails, refusing to leave and pretending that all is well when all is very bad indeed. Our international reputation and stature are going down the drain over and over again.

Energy Costs Assistance Measures ActGovernment Orders

November 1st, 2005 / 12:15 p.m.
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Bloc

Bernard Bigras Bloc Rosemont—La Petite-Patrie, QC

Mr. Speaker, I am happy to rise in this period of questions and comments on Bill C-66, a bill which, as I remind the House, the Bloc Québécois supports in principle.

We have had a number of representations in recent weeks from people who have told us that Bill C-66 is a step in the right direction. However, there are some gaps and omissions. Two groups in particular have sent us a number of e-mails and have come to our offices.

First, there are the elderly. The hon. member is right when she states that elderly people who receive their guaranteed income supplement will be eligible for the additional benefit. There are, however, many elderly people who are not receiving the guaranteed income supplement, who do not have astronomically high incomes, and who would like to receive this additional payment.

In my riding, Mr. Jean-Paul Leblanc came to see me in my office and we spent 45 minutes discussing the gaps in this program. He said he was frustrated to find out that he would not be able to receive the payment because he was not receiving the guaranteed income supplement.

The middle class is also affected. In many, many cases, this middle class and these elderly people live in underprivileged areas of Montreal and use oil for heating. There are no provisions to encourage the conversion of our systems from oil to electricity, particularly in Quebec, which would have the effect of reducing greenhouse gas emissions.

I would like to ask the hon. member the following question. How can she claim, today in this House, that Bill C-66 will help the elderly, when she knows full well that some of them do not have high incomes, and do not receive the guaranteed income supplement? They will, in short, be penalized by Bill C-66.

I would also like to ask the hon. member what she would say to the fact that, in many cases, the list of people eligible for the guaranteed income supplement is inaccurate. The campaigns conducted by the Bloc Québécois are intended to ensure that more and more elderly people receive the supplement and are eligible for benefits.

Energy Costs Assistance Measures ActGovernment Orders

November 1st, 2005 / 12:05 p.m.
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Liberal

Maria Minna Liberal Beaches—East York, ON

Mr. Speaker, the Minister of the Environment was very impressed with the Solar Laundromat and the big plans Alex has for designing and introducing sound environmental solutions.

Neighbourhood Link-Senior Link, for example, is using Alex's technology to heat a new affordable 25 unit home for seniors it is building at Danforth and Main. This is a great project because it is housing with which the Government of Canada is assisting, combined it with energy savings.

Plans for the new building include a green roof and courtyard garden. The building will also have significant environmental features, including solar thermal collectors, energy efficient lighting, heating, cooling and appliances, and reduced flow bathroom fixtures. It is a project that will be a model for future energy efficient affordable housing initiatives.

Just last week Alex's company announced that it had been retained by Neighbourhood Link-Senior Link to generate renewable thermal energy for the domestic hot water needs of its 64 suite seniors residence located at 11 Main Street and at its 44 suite residence at 680 Kingston Road. The two buildings are currently joined by a common hot water heating system.

The company owns and maintains a system of 80 flat plate solar thermal collectors with a total area of 160 square metres. The collectors are expected to displace 18,600 cubic metres of gas annually, reducing carbon dioxide emissions by 37 tonnes annually. The emission reduction equates to 221 kilograms per occupant, representing almost one-quarter of the federal government's one tonne challenge for the residents of the buildings.

Eco-entrepreneurs like Alex Winch are an integral part of the project green, an initiative announced by the federal government earlier this year, which includes investments in the order of $10 billion between now and 2012 for the climate change programming.

Our plan provides new resources, instruments and incentives for business, industry and all levels of government to support action on climate change. It incorporates a range of measures including: encouraging the development of renewable energy and green technologies; collaborating with industry and setting an effective, fair reduction target; preserving Canadians' health and quality of life through cleaner air and greener communities; and using tax incentives and programs that range from fostering small hydro production to cleaning up brownfields.

Project green encourages the development of new environmental and energy efficient technologies and practices such as those pioneered by Alex Winch. It also uses market based approaches that will offer monetary incentives to encourage greener and cleaner industry. Together these efforts will honour our Kyoto commitment by helping Canada reduce its greenhouse gas emissions by 270 megatonnes.

These are success stories in this one riding alone. We also have in our riding a building that has a solar wall which will again reduce the energy costs from the grid. This gives the example of just one corner of our country. I presume a great deal more is happening across the country.

Industry Canada's technology support programs have supported the development of new fuel cells that we may soon see in our homes, cars and in public transit use. Indeed, this kind of commitment to energy innovation has made Canada a world leader in this important new sector.

Looking further ahead, the government is supporting companies with demonstration and early adoption of projects involving hydrogen and related technologies. This is through the h2 adopters program, and it looks to be the way of the energy future.

In addition to all that, the government is investing heavily in public transit and infrastructure. It is absolutely clear that to cut down the emissions, we need effective public transit in the country. The Government of Canada has been committed to this for a very long time. In fact, in many ways we need the partnership of our partners, both in the municipalities and in the provinces, to stop the urban sprawl that has taken place in many parts of our country.

The development of urban sprawl has not taken into consideration the need for energy efficiency in public transportation. We know some of the suburbs cul-de-sac streets are not friendly to public transit. It makes it extremely difficult to provide public transit in some of these places. It is important that we increase the density of housing, although in some places we still have not done that.

We need the partnership of our municipal and provincial governments to increase the density and to plan new communities with energy efficiency. Public transit is part of the development. Not only that, we have to take into account public buildings and institutions because it is a fantastic way to save energy. If public buildings, especially the new ones, whether they be federal, provincial or municipal, take into consideration solar energy and other energy efficiencies, we can go a long way, just like the little not for profit organization in Beaches—East York has done.

We also should be retrofitting as many public institutions as possible. I would love to see hospitals and nursing homes, as is being done by Alex Winch, retrofitted to reduce the costs of energy, overheads and public dollars. That money could then be used for health, for seniors and for other uses. We are not taking advantage of the tremendous amount of potential in this area.

Also, I believe very strongly that we have to take trucks off the highways. We have talked about the fact that the Government of Canada has invested in infrastructure since 1993 in collaboration with the Federation of Canadian Municipalities. Green energy always has been part of that component. However, we also have to look further down the road. We need to look at trucks. How many of us have been surrounded by huge trucks on the highways? Not only do they affect the environment, but they also ruin our roads. It is important to build up our railway system and put trucks on the railways. That would go a long way in cutting back on emissions.

Bill C-66 is a very important part of a much larger agenda for our government, as I have been trying to elaborate. It is the part of the agenda that enables us to meet the immediate needs of our fellow citizens who are most severely affected by rising energy prices. It is part of the agenda that enables the government to help people who face real challenges with few options for addressing them easily.

Bill C-66 would enable us to expand our programs that already have done so much to make it easier for Canadians to identify how they can save energy in their homes and then do precisely that. This is not a new set of actions. It is part of an effort to give consumers the tools to help them adapt in a marketplace where prices are rising. This is part of an effort to encourage the private sector to develop new technologies that would help reduce our dependence on ever more costly petroleum based sources of energy.

That is a sensible approach. It is a forward looking approach. It will bring real and long lasting benefits to consumers by dealing realistically with a problem that will be with us for many years to come. It is not something we can put aside and not deal with immediately.

Some statements earlier made reference to the problem of reaching the population, seniors especially, who are receiving the guaranteed income supplement. It is important to note that the Government of Canada in the last couple of years has had an aggressive campaign to reach as many, if not all, seniors who should receive the guaranteed income supplement but who are not, or who were not aware of it and had not applied for it.

In fact, the government went further. When seniors file their income tax, if they qualify for the guaranteed income supplement, they will receive in the mail an application that has already been filled out. All they have to do is sign it and send it back. In addition to that, through senior files, the renewal of the application is done. Instead of having to renew again, it is automatically done through that process. This is an example to show how important it is for us to ensure that all the seniors who qualify for the guaranteed income supplement in fact do receive it.

There are probably others who still have not heard the message. It is important to communicate in different languages. It is important to get the message across. The government has been very involved and very engaged in this area. The government has reached not 100% of those eligible, I would say, but very close to 100%.

I have spoken a great deal about many different aspects of our program, but most important is the fact that not only is it important to make sure that people who are paying extra money for gas and energy this winter are assisted, it is also important to ensure that in the long term our environment and the future of our children in fact are protected. The earth we live on needs to be protected.

I have given some examples of what is going on in my little corner of Beaches—East York. I know that there are thousands of other examples all around the country. We have mentioned Prince Edward Island with wind power and so on.

I encourage the House to support Bill C-66 because it is forward looking.

Energy Costs Assistance Measures ActGovernment Orders

November 1st, 2005 / 11:55 a.m.
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Liberal

Maria Minna Liberal Beaches—East York, ON

Mr. Speaker, I am pleased to rise today in support of Bill C-66.

Every hon. member in the House knows that rising energy prices have an impact on Canadian consumers and on our economy. The bill demonstrates our government's commitment to action that will make a difference for Canadians, and in particular, Canadians who live on low incomes. It demonstrates our attention to the needs of people, such as many of our seniors who we know are feeling the pinch of high energy prices.

Bill C-66 is the result of listening to Canadians and looking at the evidence. Bill C-66 is about making responsible choices with public dollars that allow us to identify how we can do the most good for Canadians who need it the most.

Our government and, I am sure, many of us as parliamentarians have heard from organizations, such as the Consumers Association of Canada and Option consommateurs in Quebec. We have heard from many business groups, community organizations and individuals. They have pointed out the many ways that rising energy costs affect us all in terms of fuel costs for cars and trucks, in terms of the oil and natural gas that Canadians use to heat their homes and in terms of the cost of making and shipping products from farms and factories.

Their stories are important but hearing from these groups and from citizens is only part of making effective policies. We also need statistical evidence on issues, such as energy prices and impacts, which Statistics Canada has in abundance. We need evidence on consumer patterns, which Industry Canada is able to provide with its Consumer Trend Report.

That is the difference between being in government and being in opposition. In government we need to listen and use the evidence that finds those places where we can actually make a difference, not just a headline. That is the reason an across the board tax cut in some area is not at the top of our list. It would do little to help the people who are facing the biggest challenges today. That is the reason massive intervention in the energy marketplace is not on that list either. In today's global market it simply does not work and only triggers negative impacts for our economy.

On the other hand, the energy cost benefit would provide the kind of targeted assistance that three million low income Canadian seniors and low income families with children need. That is real action, not rhetoric.

We know that a lasting way to help a lot of families control rising energy costs is by making their homes more energy efficient for the long term. This is not new to us. Our government has launched many programs to help consumers choose wisely when buying products that use energy or when they buy fuel. Programs, such as the new ENERGY STAR program, are helping consumers every day. They are making it easy for Canadians to choose the most efficient electrical products and appliances in the marketplace.

The same is true for the auto fuel consumption data that Natural Resources Canada publishes annually based on information collected by Transport Canada. In that way consumers can choose vehicles that are the most fuel efficient.

I am sure my hon. colleagues know that our government has also put in place the EnerGuide program and programs to assist consumers to conduct energy audits of their homes. Those audits are already enabling Canadians to cut their heating and cooling bills in the most cost efficient way possible. If consumers act on the recommendations of these energy audits by making energy saving investments in their home, they can look forward to as much as $150 of the cost of the audit being refunded. This is already in place for Canadians.

The legislation would enable our government to go even further to help Canadians with a focus on assistance to help pay for items such as draft proofing, improvements to heating systems and the replacement of windows under the new EnerGuide program for low income households.

As I believe members know, the bill would enhance market transparency and accountability. It would do this through the new office of petroleum price information, which is a very important office.

If we were taking these actions, all would be important steps ahead. However, we have been getting ahead of the curve. We have been taking actions that are designed to reduce the dependence of Canada on conventional energy sources. I am speaking of initiatives like support for demonstration projects that are producing ethanol from crops such as corn, straw and other forms of cellulose. We aggressively are pursuing alternative energy sources such as wind power and solar energy.

I am a member of the finance committee and it is in the process of doing prebudget consultation hearings. I believe tomorrow, Thursday and Friday the committee will be in Toronto.

During the panel on the environment, some fantastic presentations and recommendations were heard. One of them was on wind power. In fact, the presenter stated that we would be able to provide all the energy requirement for remote and small communities in our country through wind power in the near future. I think that is a fantastic way to look at our society. It is a way of dealing not only with the environment but with the cost of energy.

There are many other examples that were presented at that hearing. Europe has a great many to offer us already. If I am not mistaken, Germany already provides 6% of its energy through wind power. We need to go in that direction.

In September our government's Atlantic Canada Opportunities Agency contributed $3.6 million to help establish the Canadian Wind Energy Institute at North Cape, Prince Edward Island. We are moving ahead ourselves quite aggressively in that direction.

The Prince Edward Island wind-hydrogen village project is in operation to test ways to use wind energy as a primary energy source. That project is exploring how to use wind energy as a way to produce hydrogen to provide backup and primary electricity for industrial, farm and household needs, not to mention hydrogen fuel for transportation.

We are doing that and a great deal more. Solar energy was another one.

My corner of Beaches—East York is doing its part. I was proud to be at Glen Stewart Park a couple of weeks ago to plant trees in memory of the late Bob Hunter. As I pressed the sapling into the soil, I could not help but reflect on the positive difference Bob had made with his life. Greenpeace International put it well on its website when it said, “Perhaps more than anyone else, Bob Hunter invented Greenpeace. His death on May 2 nd 2005, of cancer marks the passing of a true original, one of the heroes of the environmental movement...”

We have one of our own eco-warriors in Beaches—East York. Ours is one of the most environmentally conscious ridings in metro Toronto. We have in our midst some eco-pioneers of whom Bob Hunter would be very proud today. Take Alex Winch of the Beach Solar Laundromat on Queen Street East, for example. When I brought environment minister Stéphane Dion to meet Alex this spring, the minister was very impressed with the solar laundromat and of the--

Energy Costs Assistance Measures ActGovernment Orders

November 1st, 2005 / 11:25 a.m.
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Liberal

Judy Sgro Liberal York West, ON

Mr. Speaker, I have not been here that long and I still consider myself to be a new member, but clearly my hon. colleague has been here even less time.

Nothing moves that quickly in government. It has to be carefully thought out. The government was able to pull together Bill C-66 so quickly and it needs to be applauded for its fast action. I was surprised at the government's ability to do it so quickly. The government should be applauded rather than criticized for doing that.

When we talk about the money going to cities, the money that we are investing in the new deal for cities is a new direction for this government. Clearly, the opposition does not support it anyway. Part of the $800 million that we talked about earlier will be going into the very city that the member represents. It might be possible to have additional discussions to help move that agreement along and get it signed. Many other cities are signing the agreements and one would have to question why it is not getting done in the member's city. I do not know if it is the MP who is not moving the discussion along, but I think we would want to see that money invested as quickly as possible.

Energy Costs Assistance Measures ActGovernment Orders

November 1st, 2005 / 11:25 a.m.
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Conservative

Joy Smith Conservative Kildonan—St. Paul, MB

Mr. Speaker, clearly the government is on life support. It is one thing after another.

Although Bill C-66 has some good intentions, it has a lot of loopholes in it. I heard the member opposite mention that 10 years ago a report was done on rising gas taxes because the government wanted to fast track it. The member opposite also talked about investing in our cities and all the things that are coming forward, such as infrastructure money and so forth. That was an election promise a year and a half ago and my city of Winnipeg does not have a signed agreement.

When I look at the bill I see so many loopholes. Many people will not be receiving this money. I hear members across asking what is wrong here and saying that we need to do more.

Would the member opposite please answer why has it taken more than a decade and a crisis for the government to implement a bill? Why has it taken this long to be alarmed at what is happening right now? Does the government not have any predictions for what is happening?

Throwing a bill together with some good intentions is fine, but it will not address the problem.

Energy Costs Assistance Measures ActGovernment Orders

November 1st, 2005 / 11:20 a.m.
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NDP

Brian Masse NDP Windsor West, ON

Mr. Speaker, I appreciate the opportunity to ask my colleague a question on Bill C-66. It is important to note that the bill does not really deal with the systemic issue of the oil and gas industry in the Canadian industrial as well as consumer driven society.

Despite the testimony we heard before the industry committee on this issue, there has not been a progressive approach to dealing specifically with the issue of refining capacity. The testimony before committee stated that 95% to 97% is done in Canada. At the same time, we do not have the oil and gas industry making the investments back into the system which is necessary to solve this problem.

Currently, the federal government provides tax incentives and subsidies of $1.4 billion annually to the oil and gas sector as well as having a corporate tax reduction, which will fall significantly over the years. It will fall from 28% in 2000 to 21% in 2007 at a time when we have had record profits at the pump as well as record prices at the pump.

Does the hon. member agree that this is the best way to go or should we actually be taking that money away from the oil and gas industry and investing it back into alternatives which will be more successful for our future?

Energy Costs Assistance Measures ActGovernment Orders

November 1st, 2005 / 11 a.m.
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Liberal

Judy Sgro Liberal York West, ON

Mr. Speaker, I was not sure whether you were going to be able to get a word in edgewise in order to continue the debate.

I am very pleased to speak in favour Bill C-66 and how important it is. When oil prices were rising, a lot of our constituents, especially those who earn minimum incomes, were really alarmed. They wondered how they were going to manage during the coming winter with the high cost of fuel. They wondered how they were going to heat their homes. I applaud the government and the fast action of our Prime Minister in coming forward with this bill. It is hoped that with the support of members in the opposition we can get this legislation passed as quickly as possible in order to help those people who most clearly are going to find themselves in a very difficult situation this winter.

I would like to speak for a few minutes on behalf of my constituents in the riding of York West and on behalf of a lot of Canadians who are concerned about this very issue.

Canadians clearly are concerned about the recent increases in energy costs and they have looked to their governments to take concrete action. They understand that we do not control the price of the crude oil or the price of gas, but when they are in need they still look to find a way to resolve the issue and offset some of the expenses.

Bill C-66 proposes a comprehensive package of short term and also longer term measures to help Canadians deal with the high energy costs. Thank goodness that energy costs have now come back down to a more reasonable level, but we have to be very aware that there could be a spike at any time.

The energy cost relief plan consists of a three-pronged approach starting with short term relief in the form of direct payments to millions of low income Canadians who were very worried about how they were going to heat their homes this winter. It is another opportunity for redistribution of our tax dollars to those most in need.

Longer term relief consists of measures to reduce energy costs for Canadians by improving energy efficiency which will bring lasting environmental benefits. Clearly, that has been a long time target for us beginning with the Kyoto plan. We want to work with homeowners and business owners to ensure that everybody takes advantage of the opportunity to get more energy efficient windows and doors to prevent the escape of that very expensive heat.

The government's approach consists of actions to improve energy market transparency and accountability. Our party has talked about that for a very long time, how to make sure there is transparency and that games are not being played. Canada continues to have one of the lowest costs when it comes to gas in and around the world. When I was in Europe recently, a litre of gas cost $3. That is very expensive. We have to be very aware of what is happening around the world, and not just what is happening in Canada.

This inclusive and very effective plan will provide direct financial assistance called an energy cost benefit to more than three million low income seniors and low income families with children. We will also pledge to help families lower their future household heating costs in a variety of areas. We will make more and better pricing information available to consumers while taking legislative steps to deter anti-competitive practices. I believe it was about 10 years ago that the current Parliamentary Secretary to the Minister of Foreign Affairs and the committee produced a report on competitive pricing and the whole issue of gas prices.

We will also fast track money to municipalities for public transit. We all know how important public transit is when we talk about the smog, quality of life, and the traffic gridlock that is happening in our major cities. It is important for us to invest in public transit. Freeing up that money much faster and investing in our cities is critically important for everyone.

This comprehensive approach provides timely, short term relief to millions of low income Canadians while also setting the stage for meaningful and lasting benefits through greater efficiency and conservation. Again, helping us to meet our obligations to the environment and the Kyoto commitments. Making our homes and buildings more energy efficient is a key way for Canadians to offset higher energy prices.

The incentives we are providing will help Canadians save energy and money, as well as reduce greenhouse gas emissions that contribute to climate change. These measures also support project green, the Government of Canada's action plan to build a more sustainable environment.

We heard our former minister of the environment speak earlier about how important many of these initiatives are and how important it is that we meet our obligations. Yes, there is a lot we could still do, but we do have a plan and we are going in the right direction with these initiatives to help improve the quality of life throughout this country.

Given the impact of higher energy costs, our government believes that these types of measures are a priority. That being said, we also remain steadfast in our commitment to balance budgets. This expenditure will not jeopardize our fiscal position, which is something that I believe we as Canadians and as a government are very proud of and clearly have no intentions of doing anything that would jeopardize that for us and for Canada.

These new energy initiatives will help reduce energy costs by an average of 30% per household while making housing more affordable. We are taking steps to make our cities and communities more healthy and sustainable.

When I was the chair of the Prime Minister's caucus task force on urban issues, there were several recommendations made which I would like to share with my colleagues in the House this morning. The task force called on the Government of Canada to consider creating a national building retrofit strategy to encourage and facilitate energy efficiency, which could possibly involve several things. One was providing tax credits to homeowners and businesses that undertake energy efficiency retrofits, as well as supporting a national community-based home retrofit advisory service network.

I am pleased to say, on behalf of my colleagues who also sat on the task force over that 18 months and met with many people across this country on what was important from an urban perspective to ensure the urban sustainability of our cities, that this recommendation has since become government policy. This is proof that our government is constantly listening and taking action to improve the lives of Canadians.

Those were a few of the recommendations. Overall, there were 52 recommendations in that report and all 52 have either been implemented or are in the process of being implemented. That says a lot for the government's response and the work that gets done in many of the task forces that the government sets up.

I would also like to speak today about the long term effects of this bill, particularly the environmental benefits. This is something that cannot be fixed overnight. We all know that, but we need to recognize the opportunity to ensure that our children and grandchildren can have a clean and healthy environment to grow up in. The government has taken action through significant investments in the environment and in sustainable infrastructure in Canadian communities.

We should listen to our children who have already become much more environmentally conscious than probably most of us for a variety of reasons, one being the programs they watch that talk about having clean air and a healthy environment. They are probably doing more.

Look at how smoking has decreased and how many times children go up to adults, and ask why they are smoking and polluting their environment. Twenty years ago nobody would have thought of saying that, but our children are very well educated and moving very positively along with these right ideas, and they are moving in the right direction.

Since 1997 the government has committed more than $13 billion in new funding for environmental measures, putting Canada on the path as a leader to a sustainable economic future.

Some of these investments include over $6 billion toward measures to address climate change; $3.5 billion to help clean up the many contaminated sites across this country in order to use them for a variety of services, from community centres to housing to many other uses, because these sites are sitting there not being used at all; funding to design, implement and enforce framework legislation such as the Canadian Environmental Protection Act and the Species at Risk Act; and support for the development of environmental technologies.

We have done much more and we will continue to do more to help improve the environment for all Canadians. The main objective of the government's environmental initiatives is to have the most impact where it matters most in the places that Canadians live, work and play.

Canada depends on its cities and communities to attract the best talent and to compete for investments with the rest of the world. They are also vibrant centres of commerce, learning and culture. Canada's cities and communities must continue to be healthy, safe and beautiful places to live. It is very important that we continue our competitive edge, continue to be the very best place in the world to live, and that we be a healthy, clean environment for people to want to come to this country and enjoy the riches of it.

That is why, building on current financial support for infrastructure programs and the full rebate of the GST, budget 2005 committed $5 billion in gas tax revenues over the next five years to support environmentally sustainable infrastructure for cities and for communities. We all recognize how critical that investment is and how important it is that we ensure our cities are moving into the 21st century, and have the support and the tools that they need to compete as well.

Bill C-48, which passed this summer, included environmental measures that built on the budget 2005 initiatives by providing funding for public transit as well as $100 million over two years for a low income energy retrofit program. I would remind hon. members that the initiatives in Bill C-48 are contingent on surpluses of $800 million over two years. May I repeat that we do not intend to go into debt, as I indicated earlier, and we intend to continue to be good financial managers.

This brings us to Bill C-66, the bill before the House today. This bill complements the government's previous initiatives by taking action to help families lower their future household heating costs by making their homes more energy efficient. Again, we are reinvesting tax dollars into our very communities where this money comes from.

It fast-tracks, extends and increases five-fold the low income energy retrofit program which will support grants of up to $5,000 per low income household, or about 130,000 homes. Without that help, many of those households will continue to consume huge amounts of energy. That is not a good thing for us, nor is it a good thing for them.

Further, hon. members will recall that in order to encourage further action by Canadians, provinces and territories, budget 2005 allocated $225 million over the next five years to quadruple the number of homes retrofitted under the EnerGuide for houses retrofit incentive program. That is some $40-plus million a year to help retrofit homes. That is a huge help to homeowners. Bill C-66 enriches this program, so that almost 750,000 home will be retrofitted by 2010, instead of the 500,000 originally projected in the budget.

Furthermore, Bill C-66 strengthens the financial incentives to encourage Canadians to upgrade to energy efficient oil and gas furnaces. It also provides corresponding incentives for households that heat with electricity. Bill C-66 also increases retrofit incentives for public sector institutions such as hospitals, schools, municipalities and provincial governments.

My constituents in the riding of York West will truly benefit from the government's responsible course in this and in many other areas. Specifically, many of my constituents will benefit from the energy cost benefit program, a total of $565 million which will be paid out to 3.1 million low income families and seniors who will receive anywhere between $125 to $250 per household. These payments are a first down payment on further tax relief being introduced over the next five years.

I also mentioned the sharing of $5 billion of gas tax revenue to help municipalities with infrastructure needs, for public transit, for example. In recognition of the immediate need for improvements in public transit, Bill C-66 proposes to make certain and fast-track money to municipalities for investment in public transit infrastructure, with $400 million to be made available this year and $400 million in 2006-07.

Canadians look to their government to develop sound policies that will help improve their quality of life. At the same time, they want action that is practical, effective, reasonable and responsible. In other words, they do not want their government to put Canada's solid fiscal situation at risk. Bill C-66 meets that challenge head on.

Given the impact of higher energy costs, the government believes that this balanced package containing aspects that address market transparency and longer term measures to reduce energy dependence along with some limited short term relief is a priority. At the same time we remain committed to balanced budgets.

This is an important bill for Canadians. I look forward to its swift passage and call on parliamentarians from all sides of the House to support the legislation as it will improve the life of all Canadians.

Energy Costs Assistance Measures ActGovernment Orders

November 1st, 2005 / 10:45 a.m.
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Conservative

Cheryl Gallant Conservative Renfrew—Nipissing—Pembroke, ON

Mr. Speaker, as the member of Parliament for Renfrew--Nipissing--Pembroke, I am pleased to participate in this debate on Bill C-66, an act to make a special payment to some voters in time for the next election.

The crisis many Canadian families will face this winter with the cost to heat their homes is a made in Canada crisis of the government's making.

While the Prime Minister would like to blame external events, the energy crisis in Canada is a direct result of the Prime Minister's dithering on the environment. That dithering resulted in Canada signing onto the Kyoto accord without any plan on how to live up to the obligations of that international treaty. Anything to deflect attention from the Gomery inquiry into Liberal Party corruption is the only priority of this scandal ridden government.

The absence of any plan to deal with the economic fall out from the Kyoto accord means that Canadians who heat their homes this winter with natural gas could see the cost rise by as much as 50%. In time for a federal election, the Liberal Party response is a special bribe or payment.

For the benefit of Canadians who are following this debate, I want to clear up any confusion regarding the Liberal Party and the term “special payments”. The special payment being proposed is not the same as the special payment that is paid to non-registered Liberal lobbyists who lobby for special favours. It is not a special payment that is made to Liberal Party ad men.

This also is not the same special payment that was collected by the Prime Minister's company, Canada Steamship Lines, in the form of grants from taxpayers to the tune of $161 million. This is not a special payment in the form of registering company assets in a foreign tax shelter to avoid paying over $100 million in Canadian taxes, similar to what the Prime Minister did with his personal family company, Canada Steamship Lines, when the Prime Minister, as finance minister, used the Barbados tax shelter so it would be there when he needed it. That special payment is better known in the boardrooms of Liberal Party supporters as a corporate dividend paid out to the principal shareholders, in this case the Prime Minister's family after he was caught and forced to transfer ownership to other family members.

This special payment is designed to get the current government through the next election in the face of voter fury over the high cost of energy, including the cost to heat their homes, and to deflect attention from the Gomery inquiry into Liberal Party corruption.

The bill has three main parts.

Part 1 of the bill outlines who would receive a payment and how much. The payment would be sent to the following groups: $250 to families entitled to receive the national child benefit supplement, NCB, in January 2006; $250 to senior couples where both spouses are entitled to receive the guaranteed income supplement, the GIS, in January 2006; and, $125 to single seniors entitled to receive the guaranteed income supplement in 2006.

Part 2 of the bill would increase and expand federal assistance and programs for houses and housing projects that make heating system upgrades, improve windows, engage in draft proofing, et cetera. All this assistance would be delivered over five years.

Part 3 of the bill addresses public infrastructure specifically. It states that $400 million, previously provided for under Bill C-48, will be freed up by Bill C-66 in each of the next two fiscal years for municipalities to boost investments in urban transit infrastructure.

Parts 4 and 5 of the bill are housekeeping measures.

I acknowledge that there is a problem with perception in Canada. Consumers believe there is price fixing in the oil and gas industry, no matter how many investigations are conducted. The industry can and should do more to explain price setting and price fluctuations.

Since apparently the federal government has not had the time to monitor or publish an energy policy or reports on gas prices, private companies such as MJ Ervin & Associates have stepped in to fill the void. Now that the government is collecting this information, some could argue that it will be subsidizing the oil and gas industry, the main users of such information.

MJ Ervin & Associates has estimated that the average price of home heating oil has jumped to its highest level on record, 93¢ a litre. The best guess is that homes heated with oil can expect to pay 32% more this year, while homes heated with natural gas can expect to pay 48% more. Electricity bills will also rise, but not as drastically.

In Ontario the Ontario Energy Board approved a rate increase for Enbridge gas that will increase natural gas bills by about $123 a year. Union Gas also sought and received a rate increase. Sixty per cent of Ontario residents rely on natural gas for heating. Bill C-66 provides payment to some Canadians if they are lucky enough to qualify.

The Conservative Party supports measures providing relief for low income families. Parliament has an obligation to represent and support those who have much less than the average Canadian. The government estimates that 3.1 million low income families, or 10% of Canadians, will receive these rebate cheques. I am pleased some effort is being made to try to assist low income Canadians. These Canadians should not be left to struggle against rising energy costs on their own.

The problem is that the delivery method chosen by the Liberals will miss a great many Canadians who need help in paying for their heating and paying for gasoline for their cars that ferry them to and from work. Persons with disabilities who claim a disability benefit will not receive a payment. Seniors who qualify for the GIS but do not claim it will not receive a payment.

A Statistics Canada study released on Friday, October 21, 2005 found that 206,800 eligible individuals missed out because they do not claim the GIS. Students will not receive a payment. It will not help poor Canadians who are childless.

Research from Statistics Canada indicates that nearly two million individuals under 65 who fall below the income threshold have no children. These individuals will receive no help.

If anything represents the callous disregard for children and families, it has to be the government's record when it comes to child poverty. I listened very intently to the speeches from the government side regarding the legislation before us today, Bill C-66. While Canadians hear all the usual statements from the party that is campaigning for re-election, let us look at the actual record of the Prime Minister when it comes to children.

Poverty among children in Canada is rising. The government may talk in the billions of dollars it says are being spent, but when questioned directly about the plight of children, the same inability to provide a public accounting for how the dollars are actually being spent, which created the sponsorship fraud, applies to funds that the government says are earmarked for children but end up being siphoned off to other Liberal priorities like bogus ad campaigns.

As finance minister the Prime Minister oversaw a deal in 1997 that resulted in the clawback of the national child benefit supplement from the pockets of some of our neediest children. Set up in 1997 to assist Canadian families with children, it replaced what many Canadians grew up calling the baby bonus. It was introduced as the Canada child tax benefit, the CCTB. It included a basic benefit and a supplement, the national child benefit supplement, the NCBS.

The NCBS program was supposed to be designed to reduce poverty among low income families and children. Negotiations between the federal and provincial governments around implementation of the NCBS resulted in some provinces, Ontario included, deducting the NCBS amount from the benefits received by families on social assistance. This is what is commonly known as the NCBS clawback. In the province of Ontario families who are entitled to receive the national child benefit who are receiving social benefits are subject to the clawback. What that means is social assistance recipients have the amount of the national child benefit supplement they are entitled to receive deducted from their social assistance cheques.

In the absence of any special agreement, the $250 payment that is intended to benefit families with children on welfare will become a financial windfall for the government of Ontario. So much for the federal commitment to assist low income families with children.

This is being done with the full knowledge of the Prime Minister who designed the clawback system when he was Jean Chrétien's finance minister. The Prime Minister was the most senior minister in the Chrétien regime and was the senior minister in Quebec. No decisions involving money could be made without the present Prime Minister knowing. After all, he was the finance minister and he saw all the figures.

The current finance minister is fully aware of the clawback. When questioned in committee the best he could offer Canadians is that the government would encourage the Liberal Party at Queen's Park in Ontario not to claw back this particular payment.

The Minister of Social Development has once again dropped the puck on this issue as well. If the minister spent less time making campaign stops in other members' ridings and concentrated on the issue of child poverty in Canada, maybe child poverty rates in this country would drop.

Energy Costs Assistance Measures ActGovernment Orders

November 1st, 2005 / 10:30 a.m.
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Conservative

Carol Skelton Conservative Saskatoon—Rosetown—Biggar, SK

Mr. Speaker, I rise today to speak to Bill C-66, which is intended to help some Canadians with high and rising energy prices. As I have just said, some Canadians.

While I support the government in its intention to assist those who need it, the legislation really misses the mark. The Conservative Party of Canada believes that tax relief at the source would ensure that all Canadians who pay for energy receive assistance. This bill, by targeting it to a select few, ensures that many who need assistance will get none. In fact, a few who do not need assistance could end up with government help anyway.

It was not too long ago that we heard stories of the dead and the imprisoned receiving special government payments. Also, many Canadians do not know that the rebate program the government ran last time took over four years to get a cheque into the hands of those in need. Canadians cannot afford to wait four years for help. Many are already struggling with rising gas and utility costs.

My main concern with the legislation is the people who need it and who are in need but who will not receive a dime of help. The only ones who will receive help are those receiving the national child benefit or the guaranteed income supplement. Therefore anyone who is not a low income parent with dependent children or one of the few low income seniors, they will get nothing. In fact, 300,000 seniors who are eligible do not receive the GIS.

My main concern is for disabled Canadians on fixed incomes. This group is 3.6 million strong. Most disabled Canadians, employed or not, have many expenses that other fellow Canadians do not. They do not have extra money. In fact, quite often we find them the poorest of the poor, something we Canadians should be very ashamed of. This Liberal plan does nothing for the disabled. Those on a Canada pension plan disability do not qualify automatically. These are people who are hard-working Canadians who now find themselves in need of extra assistance. They too will not get any help under this plan.

There are many other Canadians who will not get help either. They include those with a high dependency on fuel to do their jobs and run their businesses.

There will be no help for taxi drivers. Most are self-employed and already face skyrocketing repair and maintenance costs. They will not receive a cent of help from the government. Their extra gas money will have to come out of their salaries.

There will be no help for couriers. While we all know the large companies, most couriers are local independent operators. They are the ones who deliver our flowers, our pizzas and other local deliveries. They face a huge increase in their single largest expenditure category.

There will be no help for bus services. Most of the extra costs for fuel for the buses will be passed on directly to the consumer. Unfortunately, the consumer of bus travel is often too poor to afford anything else. These travellers cannot afford a price increase of any significance at all.

There will be no help for truck drivers. Truckers are constantly having to absorb extra costs that did not exist 10 years ago. First it was all the extra repair costs as the provincial and federal governments let the highways deteriorate. Next it was all the extra paperwork and delays associated with tougher border standards. Now it is the crushing cost of fuel. Some truckers can pass on these costs but many are in long term contracts. Even if the costs are passed on, it will only make their products more expensive. I can only imagine what fresh groceries will cost next February. The bill would not help the truckers or their consumers. In fact, I recently saw one hitchhiker with a sign offering to help pay for the gas.

The bill would not help cities meet the rising costs of transit, emergency services, public works or any other department. While the federal government rolls around in more and more budgetary surpluses, the local governments are desperate to continue their existing services. The cost of providing transit alone has increased significantly. At a time when the federal government is expecting everybody else to reduce pollution, it is making it more expensive for cities to provide an environmental alternative.

The bill would do nothing to help cities.The bill also would do nothing to help rural Canadians. Rural seniors are especially hard hit because of the expense of travel and the rise in cost of heating fuel and general necessities.

Those living in rural areas usually have lower incomes than those in the cities to begin with because of the types of jobs available. Compounding the problem is the fact that their fuel costs are often much higher as they have to drive long distances, driving their kids to school, shopping for groceries, travelling to work or appointments with doctors. Rural Canadians will not be getting any help with Bill C-66.

Rural Canadians who definitely will feel the gas crunch but who will be unable to afford it are our farmers. Farm input costs have skyrocketed in the last several years. At the same time, commodity prices have dropped. Fuel increases for farm equipment will remove any chance for farmers to make a profit. We have just come through the harvest season and it has cost farmers $1,500 to $2,000 a day to fuel combines. That is just combines and not trucks, tractors and all the other necessities of taking off the harvest.

Making a profit is a very relative term as most of these farmers are heavily in debt from years of struggle and inaction by the government. In 1948 a farmer could fill up his truck for $5 and wheat's final price was $4.50. In 2005 the same tank of gas has cost $80 plus and the price of wheat has dropped to $2.50.

Some farmers will be able to pass along the increased fuel cost to the local consumers. Our exporting farmers already are competing with heavily subsidized foreign competitors. Many of the countries that our farmers compete with do not rely on fuel as much as we do. Cheap labour is their constant competitive advantage. Our farmers will feel rising fuel costs more than any other nation's farmers. Unfortunately, our farmers will not get a single dime of assistance under Bill C-66.

As we can see, millions of Canadians will not get the assistance for which they were expecting or hoping. Furthermore, those who rely on fuel the most, those that are the hardest hit, will get nothing.

If the government had taken the advice of many Canadians and the Conservative Party, it would have cut taxes at the pumps. If taxes had been cut at the pumps, it would have ensured that those who used fuel the most would benefit the most. The relief would have been instant. Canadians could have been pumping cheaper gas and buying cheaper home heating fuels for over a month now.

Instead, the payment system proposed in the bill will ensure that nobody gets help in the near future. This will be the paper pushing project designed to employ Liberals for years to come.

I urge the Liberals to take a moment and seriously ask themselves who needs the help and if they will get any under the bill? I then urge them to look at their constant budgetary surpluses and ask if they need to keep overtaxing Canadians like this. Canadians are not looking for free fuel. They do not want to be paying so much in taxes when the Liberal government gets such a boost and such a surplus. It is time for fairness.

Business of the HouseOral Questions

October 27th, 2005 / 3:05 p.m.
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Hamilton East—Stoney Creek Ontario

Liberal

Tony Valeri LiberalLeader of the Government in the House of Commons

Mr. Speaker, the hon. member, unfortunately, takes the opportunity every Thursday to ask the same question, knowing the answer will be exactly the same because it is factual.

The opposition days will begin the week of November 14, and I indicated that some weeks ago to the opposition House leaders. At that point, I thought the matter had been dealt with and that we would focus on the agenda, which is important to Canadians.

We will continue with the second reading of Bill C-67, which is the surpluses bill. Should this be completed, we would then return to the second reading debate of Bill C-66, the energy legislation. We do not sit on Friday. On Monday we will commence the second reading debate of Bill C-68, respecting the Pacific Gateway. We will give priority to these bills over the next week.

On Tuesday evening there will be a take note debate on cross-border Internet drugs.

If debates on the major bills that I have referred to are completed by late next week, we will then turn to report stage of Bill S-38, respecting the spirits trade, second reading of Bill C-47, the Air Canada bill, Bill C-50, respecting cruelty to animals, second reading of Bill C-44, the transport legislation, second reading of Bill C-61, the marine bill, reference before second reading of Bill C-46, the correctional services bill, report stage of Bill C-54, the first nations resources bill and other bills that will perhaps come back from committee that we would like to get into the House for further debate.

In order to bring about that take note debate on Tuesday, I move:

That a debate pursuant to Standing Order 53.1 take place on Tuesday, November 1 on the subject of cross-border Internet drugs.

Energy Costs Assistance Measures ActGovernment Orders

October 26th, 2005 / 4:55 p.m.
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NDP

Brian Masse NDP Windsor West, ON

Madam Speaker, I thank all parties for allowing us to split our time today as it is a very important debate.

There are some good things in Bill C-66 which the New Democratic Party supports, especially the introduction of some of the interventions in fuel efficiency and economies for our homes to help us kick our dependency on oil. We support that. However, there are some weaknesses which we will touch upon, but it is a step forward.

The great disappointment the New Democrats is this will do nothing to address the systemic problem of dependency, speculation and fluctuations in the oil and gas industry which impact on the Canadian economy, consumers and our sovereignty.

Energy pricing is something that affects every industry as well as almost every consumer. With the wild fluctuations that can take place, it literally can drive people out of business. It also can cause people to make choices in buying prescription drugs to treat their health, or paying the rent, or buying food or getting their kids to and from school.

Canadians face these significant problems. When there are wild fluctuations and prices go up, there is often little time in between to deal with it and budget for it. Too many Canadians now are dealing with issues related to home income costs and being unable to afford the things that are necessary for them to prosper. The bill does not address that issue.

I want to touch briefly on what is happening with the industry in general. First, heating oil prices have risen by a third over the last year and natural gas prices have nearly doubled. World production of oil and gas continues to meet world demand, but three apparent physical factors are the main contributors to the problems that we are facing today.

First, we have a growing demand from industrialized countries like China and India, as well as a growing demand from North America. Because of NAFTA, our market is integrated with the United States. As well, the massive industrialization of China and India is usurping resources not only in the oil and gas industry, but also in other industries, for example, steel, where it will have a significant impact upon Canadian companies as well as on our ability to compete.

Some of those countries, and I point to China in particular, subsidize those industries and have lower working and environmental standards that allow them to compete at a lower wage. This is affecting Canadian jobs.

Second, we have increasing prices and demand. OPEC countries are uncertain about their reserves and ability to increase production for the long term. The statements that came out of OPEC after Katrina identified that it could do little to keep oil prices down any more because refining capacity was so restricted. Although it pulled more barrels of oil out of the ground, it had little opportunity to move that into refining to keep the price down. That is very important to note.

During our hearings in the industry committee, we heard testimony from the industry as well as outside industry which identified that Canada's refining capacity was at 95% to 97%. At the same time a company like Petro-Canada was closing the Oakville refining. It decided not to invest in the improvements and upgrades of that facility or to build a pipeline to Montreal to increase refining capacity. The end result was it lost half of its refining capacity. Now we will be importing oil from another company to offset that lost refining capacity. That vertical integration is very critical on the market.

Last, another threat to future supplies and increased demands is related to the political uncertainty in certain countries where exploration has taken place. There is the potential of tapping into those markets because of the environment and political instability. We witnessed the retreating of plans to expand or to get into those markets. For example, Petro-Canada had to leave an opportunity behind most recently.

The industry committee convened a meeting over the telephone because of the price spikes related to Katrina and the effect upon Canadian consumers and society. There has not been enough talk about the industry, its profits and what happened during that time period.

Recently, the Canadian Centre for Policy Alternatives released an independent study on gas pricing entitled “What's Behind High Gas Prices”. The study proves that Canada's oil and gas industry has reported record profits of $16 billion in the last year alone, according to Nickle's Energy Group.

Michael Ervin, a leading industry insider and consultant himself, described the industry's recent profit margins as spectacular.This would not have been so bad if it were not for the expense for Canadian consumers or if it were down to simple market forces, as had been advocated by the industry. However, it is not. There is clear evidence of price gouging by the Canadian oil and gas industry, particularly during the period of the recent U.S. hurricanes.

Continuing with that study, it was able to conclude that the price of crude oil rose by $10 U.S. per barrel between June and September. If the industry had kept its other expenses constant, that should have led to an increase at the pump of just 70.9¢ per litre. Instead, the average increase was 15¢, with some communities paying significantly more. Over Labour Day weekend, the average increase was 40¢ on the June price alone. According to a report from the CCPA, the price of Canadian gas should never have gone above $1 per litre.

The gas industry was engaged in clear gouging, taking advantage of public fears over Hurricanes Katrina and Rita. For every penny per litre the gas rises, the industry takes an additional $1.1 million per day. This means that the point of peak gouging, when the difference between a justified crude oil increase and pump price was as much as 45¢, the industry was raking in $15 million of excess profit every day.

Regarding the industry and its refining capacity, the evidence presented by experts at committee was that the profit zone was spectacular. That came from its own advocates.

We need to talk a bit about what is happening with the industry and what it is getting from the Canadian citizen. The Auditor General did a report and analysis of the industry. She found that the fuel sector received more than $40 billion in federal subsidies over the last 30 years. What we have is record profits at the pump, record prices at the pump and the industry continues to get massive subsidies from the Canadian government. This is incredible. Canadians would be shocked.

The Pembina Institute recently stated the industry had $1.4 billion annually in grants and subsidies. It is based on lowering the cost to producers, not to consumers. The industry gets tax deductions in terms of forgoing tax revenue, due to industry specific tax concessions.

It also is important to note that the industry will receive a general corporate tax reduction under the government. There has to be a sense of balance in this. That is not happening in terms of the debate. We will see, with this legislation, that some Canadians will benefit to a certain degree by a few hundred dollars. They will be able to put that money toward the increased cost that they have incurred and will incur in the future related to the price of gasoline and natural gas for heating their homes.

That money will be shifted over to the industry. There is nothing in the legislation that does anything to have a significant overview as well as accountability that will ensure the gouging does not continue. At the same time we will have a settling of prices.

I understand and appreciate the fact that we are moving to more sustainable practices, but that has been done out of crisis. Once again the bill, which will be administered over five years, looks to address some of those concerns, but it is not aggressive enough.

I would point to the auto sector. I represent a significant auto sector strategy. We are trying to work toward getting more energy efficient vehicles on the road, while at the same time creating Canadian jobs. The government has yet to come forward with a national auto policy on that. We should have incentives on the front end and at the same time ensure that the technology is based in our country. This will help to create jobs. We will have cleaner, more efficient vehicles on the road that produce less pollution. More important, it will take our dependency off a system that creates far too much vulnerability for ordinary citizens and does not have a great accountability in terms of the environment and where are country will go.

Energy Costs Assistance Measures ActGovernment Orders

October 26th, 2005 / 4:25 p.m.
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Bloc

Paul Crête Bloc Rivière-Du-Loup—Montmagny, QC

Madam Speaker, we should have been celebrating today, because we are debating Bill C-66. For years now, the Bloc Québécois has been calling for the Competition Act to be amended, to include investigative authority among other things. We are finally going to have amendments, which the Standing Committee on Industry, Natural Resources, Science and Technology will be considering tomorrow.

We were also calling for a petroleum monitoring agency. Unfortunately, the government truncated the agency's mandate, but it is nevertheless going ahead, in part, with the Bloc's idea.

But the place where the government's and Prime Minister's plan disappoints us the most and needs the most improvement is with respect to Bill C-66.

We have before us a bill in reference to the sudden spike in oil prices, which will compensate for the related loss of buying power and will target those in greater need. The problem is that not everyone who is in need was included, only those who could be administratively included.

For example, seniors who are receiving old age pension benefits under the guaranteed income supplement program will be entitled to compensation. Seniors have experienced price increases following the hike in oil prices, whether or not they have a car. Those who do not have cars have to take cabs to go places. Their heating costs are going to increase as well. As far as I am concerned, this kind of compensation is fully justified. This was requested by the Bloc Québécois and it was part of the action plan that we presented in early September, a full month before the government tabled its action plan.

The bill also provides for people with children to be entitled to similar compensation. We are in favour of that as well. However, the budget for all of these measures will be $550 million, while the Bloc Québécois had estimated the amount required at $1.5 billion.

Why did the government not put forward a measure for women, people living alone or certain categories of workers? For example, someone came to see me on Saturday. The man told me that he was earning minimum wage and had to drive about 10 kilometres to work and back. At his income level, he will not be entitled to any form of compensation.

This means that workers will be worse off. People who are at the lower end of the middle class and those who are poor, even though they have a job and try to earn their living as best they can, will not get any help.

The government has given us only one explanation. The minister told us that the government had looked at how to address this. He also said that the government has decided to set aside those for whom there is no existing administrative mechanism for compensation. It does not make any sense. The government will absolutely have to review its plan of action on this and ensure that everyone is covered by the proposed plan.

I will given another concrete example. There is a music school in La Pocatière, a municipality in my riding, that hires teachers, who quite often are from out of town, from Quebec City, Montmagny, Rivière-du-Loup, from all over the region. They are often young people who have just finished or are finishing up their music degree. Now there is a major problem. These young teachers no longer want to come because of the high cost of gas, which cuts into the little bit of income they earn from giving lessons.

These people from the remote regions are not included in the plan in any way. This is true for the young music teachers in my example, but it is also true for everyone who has to travel in the region.

This morning a press conference was held here by older workers aged 55, 56, or 58 who have been laid off by companies in the regions. These people from the clothing and textile industry often do not earn $20 or $25 an hour. They need to carefully consider how much it will cost them to get to work and to look for work since they often have to travel 10, 20, 30 or 40 kilometres away to find work, which costs money. Looking for work then becomes a problem since the individual has to cover 100% of the cost, only to earn a modest salary. This, in effect, slows the economy.

Yet, there is one economic sector, the oil industry, that is raking in exorbitant profits. The federal government is refusing to help people in need for two reasons. First, it has not found good administrative mechanisms to meet the needs. Second, it does not dare take a sizeable bite out of the oil industry profits.

In its action plan, the Bloc Québécois had provided for an increase of approximately $500 million or $550 million, with a tax on additional profits. Last week, we saw these profits skyrocket. This morning, in the news, there was a report on an oil company whose profits did not increase that much. However, executives received $93 million on shares that they sold during the last period. This gave the impression that profits had not increased as much as expected.

The government program should be improved considerably. The government must ensure there is enough money within the contingency fund provided for in the budget. It must demand an additional contribution from oil companies to put an end to the diversion of wealth that the last increase has created.

This increase is not only the result of the forces of nature. In the last 10 years, North America has been experiencing a significant reduction in its refining capacity. This reduction has been orchestrated so that, as soon as an event has changed the speculation issues, the tap has been closed and prices have been able to skyrocket. If the petroleum monitoring agency had already been able to take action in such a situation for a few years, we could have taken measures to correct it. However, the government did not do so during the last crisis. Let us hope that the current agency's mandate, which is inadequate, will be expanded to an inquiry mandate.

So we can see that the government has shunted numerous groups aside. To give a few more examples, as well as the people living alone, there are the independent truckers. One in my riding told me recently that, after a long work week, he managed to bring home $800 to his family once all his expenses were paid. With the huge jumps in gasoline prices we have had already, and are still experiencing, that money has disappeared. He does not bring home enough, sometimes nothing at all. When things were at their worst, he had no money for his family; everything went into operating the truck and keeping the economy running.

These categories of people needed help when speculation hit them hard in the pocket-book. The impact did not take three weeks or a month to make itself felt. As soon as the speculative price hike took place, these people had to bear the brunt of it. We believe it is the government's responsibility to make sure that enough of the increased profits made by the oil companies get back into the pockets of these people.

As well as the truckers, there are the farmers, particularly the maple syrup producers. They use a great many oil-fired burners in their operations, so their profits are dwindling because their production costs are increasing, the result of higher oil prices. The total loss to Canadian agricultural activities is $250 million. Our farmers have had a hard time of it in recent years; they do not need anything else.

We believe that the government would have the means to compensate them so that their operations and the economy can continue to progress without their having to add to their already substantial debt load.

Those are all examples of segments of the population that deserved a hand up from the government but are not included in the bill at present.

As for the taxi drivers, there was a pre-fabricated solution available for them. For a number of years, the Government of Quebec has had a tax credit for taxi drivers. All that was needed was to extrapolate from this model and to apply it to all of Canada. This would also have decreased the effects of inflation. The rise in inflation is solely due to the rise in fuel costs. Its effects are just beginning to be felt.

People who had protected contracts will no longer have one. Taxi drivers will receive normal increases to cover their operating expenses so they can drive their cabs. But ultimately consumers will pay the price of this increase. The federal government should have ensured that they would get assistance too.

The same is true for independent foresters. These days, people no longer use small chain saws to cut down trees, but rather multi-purpose machines costing hundreds of thousands of dollars that consume lots of gas. There is no assistance for these people. Often, in rural areas, people struggle to pay their bills every month and save a few pennies. As a result, the recent increase in gas prices is preventing people from making ends meet every month. Some of them are forced to hand the bank their keys, because they can no longer operate their business.

We have seen the danger for consumers, in the past, when gas prices rise, and I hope no one forgets it. It is always the same old story. Prices shoot up, then they drop a little, and the hope is that the public will forget, after which prices shoot up again, a little later.

The price increase has nothing to do with allowing for environmental costs or ensuring energy diversification. It is so the oil and gas companies can increase their profits. This is important. We should talk about this to make sure that we are paying the actual cost, not just the production costs, but the environmental costs too. I think that everyone agrees we should pay the actual cost of gasoline.

However, we should not have to pay the prices following speculation, which could have been prevented if the right tools had been put in place. Right now, we are doing crisis management. Costs have increased significantly for some people. So, we need to consider to whom we can give this assistance. We are talking about seniors and parents, and so much the better.

However, there is no money for other people who need it just as much as those two categories, but who are not getting anything, simply because no administrative process was provided. But the Bloc Québécois had, among other things, proposed a refundable tax credit that would have been paid to all families with an income of less than $30,000. This initiative would have cost $1.5 billion, but the money would have come from the reserve provided in the budgets and from the additional levy imposed on oil companies.

So, the government must assume its role in the distribution of wealth. Wealth is something that is generated, but there are artificial factors that come up and result in oil companies making undue profits. Why not find ways to give that money to those who are feeling the effects of the current price increase?

It is clear that many people were forgotten by the government. This does not mean that we should reject this bill. We are talking about the very principle of giving back to the public a part of the greater profits made by oil companies, which are the result of this major short term price increase triggered by speculation. As regards this principle, we are pleased that the government agreed with it after our presentation.

Remember what the Minister of Transport said a few months ago: market forces rule, we cannot do anything, we cannot make a move, we must stay put. However, the Bloc Québécois reacted by proposing a plan and by asking questions. In the end, the Minister of Transport stuck to his position, but the government agreed with the principle that there should be a form of compensation.

This type of compensation is provided for in the legislation in principle and we support it. However, it is grossly inadequate. At various stages of consideration of the bill, we absolutely must be able to amend it in order to expand on who will be entitled to this type of income. There currently are not sufficient types of assistance for everyone who needs it, who deserves it and who had to pay the price for higher fuel costs.

I will give another example of a sector where we should have taken action. There is no incentive in the bill nor in the government's current policy for consumers to buy more fuel efficient cars. We are told, “The high price of fuel will encourage us to develop other types of energy”. However, to do so, there needs to be incentives. We also need to elaborate on the polluter-pay principle, which the government did not follow through on. It has not provided any help for consumers to buy more fuel efficient cars, which would have been an excellent way to contribute to improving the environment and alleviating the pressure on the price of fuel.

We see that there are truly many sectors that have been forgotten that should not have been. There is also the entire issue of green energy. The government could have made sure that for wind power production, which costs roughly 2¢ per kilowatt hour more than conventional energy, this difference is recognized and covered by the WPPI program.

This program should be modified so that the incentive offered is 2¢ per kilowatt hour, that $2.1 billion over 10 years is available and that the ceilings per province is withdrawn from the program. There is currently a ceiling for each province. There is a penalty for provinces that take their own initiative. In Quebec, especially, there is a wave of wind power development. It would have been very beneficial to take this development even further.

This bill represents only part of the action planned by the federal government to deal with the increase in the price of gasoline. There are certain short-term measures in this bill. They are inadequate and fail to help all sorts of clienteles, all sorts of people who every day suffer the financial consequences of the hike in gas prices.

Today some people are saying that there is no reason to complain, because prices have fallen to 95¢ a litre, and that is reasonable. It should not be forgotten that in early January 2005 we were paying 78¢ a litre. That is still an increase of 20% to 25%. Few economic sectors are experiencing this price explosion and can rake in the profits that come with it. It is somewhat as if the rest of the economy had been taken hostage. With the rise of the dollar and the price of gas, the capacity of businesses to make profits has been greatly compromised.

For example, in my riding, there are people in the Rivière-du-Loup region who sell products to the state of Texas. The mere fact of the increase in transportation costs wipes out their profit margin. These people, who are doing their job as they should, making efforts to find and develop markets, have seen the sudden arrival of an additional unforeseen factor, a kind of diversion of profits toward one particular industrial sector. The petroleum sector has to be disciplined, because these convulsions in the economy are not necessarily beneficial for the economy as a whole; we have had a very clear demonstration of that with the most recent hikes.

I also hope that, in the mandate that is finally given the petroleum monitoring agency, there will be a power of recommendation to the House of Commons, as the Standing Committee on Industry, Natural Resources, Science and Technology had recommended almost unanimously. At that time, only the MPs in the Alliance—a party that no longer exists—withheld their consent to this position.

If the government decides to make the agency nothing more than a mirror of the activity, that will be a small improvement, but very far from what we are looking for. What we want is an instrument of action for parliamentarians. Every year, we will have a report on the evolution of the petroleum market. The agency could have made recommendations on changing the organization of that market.

We are not talking about price control, but about a system to guarantee that there will not suddenly be excessive price hikes. All kinds of actions have been undertaken elsewhere, particularly in some U.S. states, where there is a ban on vertical integration, that is from drilling right up to the gas pump. That might help us control the market better, but it would require us to get some information, find out how that works and what solution we could propose to improve the situation.

So the federal government has agreed to bow to pressure, particularly that of the Bloc Québécois, and of the economic situation itself. We had made some concrete proposals. The government's action, however, does not go far enough.

This crisis may be an opportunity to make more progress in distributing the wealth that is concentrated in the oil and gas sector. The economy would also have to be diversified in order to reduce our dependency on oil and gas and to develop other energy sources. It is also necessary to keep an eye on the signals we are giving out.

In fact, the roots of this problem go back a long way. For years, the present Prime Minister—and former finance minister—sent the message that this could not be done, that those were the rules of the marketplace, that it was up to the players to set up the rules of the game and we could not assume any responsibility.

We have felt the effects of that with the increases in fuel prices. We kept on knocking at the door, however, and have managed to get the government to open it a crack. So much the better.

Now we will have to ensure that this bill and the other government actions really achieve something. The first thing to do is to broaden the pool of those entitled to compensation for losses caused by the rise in fuel prices. That is what people expect of government. Corrective measures must be taken and the bill must undergo some major changes. This is urgent.

Energy Costs Assistance Measures ActGovernment Orders

October 26th, 2005 / 4:10 p.m.
See context

NDP

Brian Masse NDP Windsor West, ON

Madam Speaker, I have a couple of questions. The first is with regard to the member's opening commentary on and analysis of Bill C-66. He mentioned how many Canadians actually will be left behind by this bill.

Millions of Canadians will be left behind. It is something that is not addressed in terms of a comprehensive national strategy to deal with the fluctuation in the oil and gas industry and specifically what came about after hurricanes Katrina and Rita, which basically spiked up the levels significantly.

I would like the member to expand upon why it is that we are picking winners and losers from among all of us in Canadian society who have been significantly affected by this.

There is also the vulnerability of certain groups and organizations. I have mentioned seniors and how there is a differentiation with the GIS, which is leaving some people behind. We also know that many seniors are not even registered for the GIS. Recent reports indicate that over 200,000 Canadian seniors are eligible for the GIS but are not receiving it. They will not get any type of relief. As well, the Canada disability pension is an issue that is left out of this equation.

Second, I would like the member to expand upon the Conservative policy. I know that the Conservatives have been advocating for tax cuts as part of their policy to lower prices for consumers. My concern about that is the fact that there have been instances in the past when the industry has soaked up the profits. There is no current mechanism right now to ensure that they would not do so at this time.

I do know that two Conservative provincial governments actually have regulations in place and have policies related to pricing and market determination. I would like his thoughts about having some type of system which would at least prevent this happening and assure Canadians that they are not going to be further subsidizing the industry.

Energy Costs Assistance Measures ActGovernment Orders

October 26th, 2005 / 3:50 p.m.
See context

Conservative

James Rajotte Conservative Edmonton—Leduc, AB

Madam Speaker, it is my pleasure to address Bill C-66.

I want to read the bill into the record and what it is supposed to do, because it is important in terms of analyzing whether or not it actually fulfills the government's objectives in terms of addressing the increasing costs of home heating fuel and gasoline prices for Canadians. The full title of the bill is “an act to authorize payments to provide assistance in relation to energy costs, housing energy consumption and public transit infrastructure, and to make consequential amendments to certain acts”. The bill has three main parts.

Part 1 of the bill outlines who will receive a payment and how much. The payment is targeted to some low income Canadians and will be sent to three different groups: first, $250 to families entitled to receive the national child benefit supplement in January 2006; second, $250 to senior couples where both spouses are entitled to receive the guaranteed income supplement, the GIS, in January 2006; and third, $125 to single seniors entitled to receive the GIS, in January 2006. These are one time payments that will not be issued until the bill is passed.

Part 2 of the bill increases and expands financial assistance and incentive programs for houses and housing projects that make heating system upgrades, improve windows and engage in draft proofing, et cetera. All of this assistance will be delivered over a five year period.

Part 3 deals with public infrastructure. It states that $400 million previously provided for under Bill C-48 will be freed up by Bill C-66 in each of the next two fiscal years for municipalities to boost investments in urban transit infrastructure.

Parts 4 and 5 of the bill are housekeeping measures.

In addition to the measures laid out in the bill, the government has also announced two other measures with respect to energy prices. First, the office of petroleum price information will be created. Second, the government has indicated it will be introducing amendments to Bill C-19 which are intended to strengthen the role of the Competition Bureau in investigating allegations of price fixing in the oil and gas industry.

To begin, I would like to discuss the reasons for various increases in energy costs. Then I will address the issue of payments for low income Canadians and offer an alternative plan to the Liberal plan. Then I will discuss the secondary measures introduced to attempt to offset high energy prices which are outlined in the bill and those announced outside of the bill. Finally, I will discuss energy policy generally under the government.

I would like to briefly outline the current supply and demand issues facing Canadian consumers, Canadian businesses, and our market. There has in fact been a spike in energy prices. There have been a number of contributing factors to the reduction in supply that have caused this spike.

The first obviously is natural disasters. Hurricanes Katrina and Rita have caused considerable disruption in the supply of oil and gas in the Gulf of Mexico and across North America. As of October 11 three refineries were still shut down from hurricane Katrina and four were still shut down from hurricane Rita, obviously taking that supply off the market.

While Canada is in fact a net exporter of energy, we do import a great deal of our refined oil and gas, especially those provinces east of Manitoba.

International issues such as the political troubles in Iraq, Nigeria and Venezuela have created uncertainty in the supply chain. In addition, there have been production declines in the North Sea and Russia, while worldwide spare production capacity is at its lowest level in three decades. Only Saudi Arabia at this point has any spare crude oil production capacity available.

Despite the decrease in supply, demand has remained stable. The 2004 demand increased worldwide by approximately 3%. This growth will likely slow, but will continue to grow between 1.5% and 2% in 2005-06.

At a briefing this week by four of the industry associations involved in the energy sector, it was basically pointed out that over 40% of the increase in the demand for worldwide crude was as a result of the growing economy in China particularly.

This steady demand coupled with the decrease in supply has led to increased energy prices both at home and abroad in every sector.

I must point out, however, that most of the Canadian information on the projected increase in energy prices for the upcoming winter actually comes from the U.S. Energy Information Administration, a statistical agency of the U.S. Department of Energy. It is a shame that similar information cannot be obtained from the federal government through the Department of Natural Resources.

MJ Ervin & Associates, the private sector forecaster and observer of oil and gas prices, has estimated that the average price of home heating fuel has jumped to its highest level on record, 93¢ a litre. The best guess is that homes heated with oil can expect to pay 32% more this year, while homes heated with natural gas can expect to pay 48% more. Electricity bills will also rise but not as dramatically.

In New Brunswick the cost of home heating oil is 5¢ higher than the national average. New Brunswick Power has announced it will request a 10% increase in its electricity rates next year. In Quebec where 70% of the homes are heated by electricity, the provincial energy board will review a request by Hydro-Québec to increase rates by 3%.

In Ontario the Ontario Energy Board approved a rate increase for Enbridge gas that will increase natural gas bills by about $123 a year. Union Gas also sought and received a rate increase. Sixty per cent of Ontario residents rely on natural gas for heating.

The British Columbia Utilities Commission just approved a 13.3% increase in natural gas. Even in Alberta, Direct Energy has asked the Alberta Energy and Utilities Board to approve a rate increase that will increase the average home heating bill by more than 20%. The average monthly bill for October in Calgary will be $162.

As we can see, the increase in the cost of heating one's home is affecting Canadians from coast to coast to coast. What has the government done to deal with this massive, broad problem facing Canadian citizens and businesses across the country?

At the heart of Bill C-66 is a payment for some of Canada's poorest citizens. Obviously we in the Conservative Party support measures that provide relief for low income families. We have an obligation to represent and support those who have so much less than the average Canadian.

The government estimates that 3.1 million low income families, or 10% of Canadians, will receive these so-called rebate cheques, although they are actually payment cheques. I am pleased that some effort is being made to try to assist low income Canadians. These Canadians should not simply be left on their own to try to deal with rising energy costs, particularly those on fixed incomes dealing with increases in home heating.

The problem is that the delivery method chosen by the government will miss too many Canadians who need help paying their heating bills and their gasoline bills for their cars to get them to and from work. Persons with disabilities who claim a disability benefit will not receive the payment. Seniors who qualify for the GIS but do not claim it will not receive a payment. A Statistics Canada study released on Friday, October 21, 2005 found that over 206,000 eligible individuals missed out because they did not in fact claim the GIS.

With respect to seniors, we also have a situation where someone whose pension makes them equivalent to someone on the GIS will not in fact receive any sort of assistance under the government's program. Students will not receive a payment.

This program will not help poor Canadians who do not have children. Research from Statistics Canada again indicates that nearly two million individuals under 65 who fall below the low income threshold have no children. Under this bill these individuals will receive no help.

It will miss most farmers who have been hit very hard by the energy price spike. They must not only heat their homes but their barns as well. It will also miss many Canadians who are poor, but not quite poor enough in the government's eyes to qualify for a payment. Of course, it must be noted that this plan does not in any way, shape or form offer relief at the pump nor compensate for the increase in fuel prices.

We in the Conservative Party have an alternative. We have an alternative because too many Canadians will not be assisted by this plan. We have a plan that will help all Canadians. The fact is the government should start by axing the tax on the tax at the pumps. This would give an immediate tax break to all Canadians. Two Liberal members spoke and basically gave the party line as to why the Liberal government does not want to do this.

The fact is it would be a very immediate measurable thing that would impact Canadians by reducing the tax at the pumps. It would obviously reduce it for people who drive their own vehicles but it would also reduce it, as the member mentioned, for public transit. It would also reduce it for municipalities and others who have to pay for school divisions, who have to pay for fuel, who have to ship students to and from school, municipalities that have to subsidize their public transit.

Further to that, if the government wants to help public transit, then it should adopt the plan put forward by our leader this summer in Toronto to allow people who have public transit passes to claim a certain percentage of the cost. It is not one or the other. We can do both at the same time and offer tax relief to more than just a few Canadians in this plan.

The fact is 42% of the cost of a litre of gasoline is federal, provincial and municipal taxes, including the GST. As a comparison, in the United States it is 27%. Currently the 7% GST and the HST are charged on gasoline after federal, provincial and in some cases municipal governments have added their excise taxes.

The fact is the Liberal government continues to overtax Canadians. The government should not profit when people are feeling the effects of these increased prices in their pocketbooks and at the dinner table.

For every 1¢ increase in gasoline prices, the federal government receives about $32 million in extra revenue. That money should be going back into the pockets of Canadians and not into the pockets of the government.

In addition, the Conservative Party will reduce personal taxes overall. That is the second way to immediately address this issue in a broad way. Instead of selectively picking some low income Canadians over other low income Canadians, we could reduce personal taxes overall.

A Conservative government's approach would provide immediate and long term broad based tax relief starting with reducing personal income tax rates and substantially raising both the basic personal exemption and the spousal exemption under the Income Tax Act. Reducing personal income taxes would hike the take home pay and raise the standard of living of all Canadians.

The fact is we have driven the tax agenda in this country for years and we will continue to do so because it is fair. It is fair that Canadians keep more of their own life energy in their own pockets to spend as they best see fit.

I want to move on to the second part of the bill. I want to point out that while part 1 books the expenditures on payments to low income Canadians in the current fiscal year, the expenditures in part 2 are over five years. This is very odd accounting, but as we are finding out more and more with the way the government deals with budgets and finances, it is simply a classic example of Liberal accounting.

What I believe the Liberals are trying to do is to force us to accept spending on the EnerGuide program, spending that could have been announced in past budgets or in the next budget. They want us to accept this by tying it to the energy payment for low income Canadians. There is no reason to put it in this bill.

In fact Bill C-66 includes $205 million from already announced energy efficiency programs, and $100 million which is being moved out of Bill C-48 and into Bill C-66 under the guise of energy efficiency. This is simply ridiculous. This clause of the bill is completely unnecessary. A whopping 43% of the funds set aside for the bill will go to the administration of the EnerGuide program, not toward tax cuts or rebates.

In theory, the EnerGuide program provides financial assistance to homeowners and landlords to help improve energy efficiency. I encourage members to talk to constituents who have actually utilized this program, because I have. The fact is it is an extremely complicated program. It requires a homeowner or landlord to pay for an inspection of their home both before and after renovations to see if they can receive a loan or rebate for the changes they have made to improve the energy efficiency of their own home. Some funding will flow through the Canada Mortgage and Housing Corporation, but will benefit only 130,000 low income Canadians. The same number, only 130,000 Canadians, have used this program since October 2003.

We are spending more than $1 billion on an EnerGuide program that may be only used by 260,000 Canadians. This is yet another example of misguided Liberal priorities.

I would like to move on to part 3 of the bill, which deals with infrastructure. Again, this section of the bill is not necessary. This spending was announced under Bill C-48, the second budget bill, but has been moved to Bill C-66, which is a bad example of tricky Liberal accounting. This is certainly a question that the government should have to answer.

First of all, how can the Liberals introduce a budget by Bill C-43 and, second, declare non-confidence in their own budget, introduce a second budget, say that the funding would proceed once they knew the fiscal figures for 2004-05 and say that spending would commence as of August 2006? I believe that is what the parliamentary secretary told the Senate committee. Then, somehow, the government moved spending from that bill, Bill C-48, to this bill, Bill C-66.

This money does not help rural Canadians, who pay some of the highest energy costs. In addition, it does not provide the stable funding that municipalities are looking for. The money is actually being allocated without any thought as to what it actually might be used for.

The Conservative Party, on the other hand, is committed to developing an infrastructure plan that would not only provide money to municipalities to meet infrastructure needs, but would also provide benchmarks to allow local governments the ability to plan in the long term for their own infrastructure needs.

We have also committed to meeting and even possibly exceeding the amount of money spent on infrastructure by the federal government through the so-called gasoline tax transfer. Such commitments are very much in line with the infrastructure goals of the Federation of Canadian Municipalities.

Moving to the last two sections of the bill, I note that they deal with measures that are rather small measures in terms of costs but large in terms of the federal government.

First, Industry Canada is finally giving more money to the Competition Bureau to allow it to conduct investigations into collusion. The Conservative Party and members of the Standing Committee on Industry, Natural Resources, Science and Technology have been requesting the government to increase funding to the bureau since April 2002. The bureau has indicated for years that it does not have the resources needed to carry out the investigations.

However, we have not seen the amendments to Bill C-19 that would make changes to the Competition Act and allow the bureau more flexibility in its investigations. I am certainly looking forward to those amendments, although I have a bit of a digression here. At committee we have heard witnesses on Bill C-19, which the government is sort of presenting as the answer to increased gasoline prices by saying that if there is any evidence of collusion it will be dealt with by increasing the powers of the competition commissioner.

I can accept the argument that perhaps more resources are needed for the bureau, but the fact is that any six Canadians can write to the competition commissioner and ask her to investigate any sort of a discrepancy they feel is in the oil and gasoline industry. The government's argument that in fact the bureau needs more powers to conduct investigations is actually ridiculous.

The fact is that Bill C-19, according to some very able lawyers across this country, is simply an incredibly flawed piece of legislation. It is in no way an answer to what the government is saying it is in terms of dealing with gasoline prices. Frankly, the government should even withdraw the bill. It should send this back to the justice department and rewrite a proper bill.

Second, to return to Bill C-66, it would create the petroleum price monitoring agency. It is rather ironic that the government is presenting this as an answer, because lo and behold, the current Prime Minister eliminated this in the 1995 budget. I find it a little strange that something that the then finance minister and current Prime Minister eliminated in 1995 is now being presented by him as an answer in 2005.

The fact is that if the natural resources department would act in a practical manner and provide this information we could easily have this information available. The natural resources department and this entire government have languished in developing a long term energy framework and have actually contributed to the high heating costs we will experience this winter.

The Conservative Party has been focusing for a long time on a long term energy framework which would focus on renewable and non-renewable energy sources, take into account outstanding obligations and meet our long term requirements for domestic consumption and export.

We believe that strengthening energy market integration will ensure greater reliability of energy supplies across the country. We will explore ways to reduce barriers to the movement of energy products across provincial and other borders. The fact is that the Liberals have not addressed any of these issues. The Liberals have not had the time to monitor or publish an energy policy or reports on gas prices, which was promised this fall. Private companies such as MJ Ervin and Associates have stepped in to fill the void.

We find that the bill is severely lacking and way too limited in scope in terms of who it helps and that it is misguided in its approach. We will begrudgingly support the bill, as it does help some low income Canadians, but we certainly hope that the government will bring forward another bill. We will certainly be looking forward to committee, where we can actually try to expand this to help all low income Canadians and in fact all Canadians who are dealing with higher energy costs.