First, the introduction of a 500‑kilometre interswitching zone would be extremely harmful to the Canadian rail industry. That would mean that the compensation paid to the railways would be based on costs, whereas all railway expenditures are based on a commercial market value. We pay our employees at a commercial value, and we pay for our gas and equipment at a commercial price. Remuneration based on a cost that is below market would result in a subcompensation that would ultimately lead to a reduction in the quality of service and safety.
Second, it's important to note that, as we mentioned in our opening remarks, the measure that regulates the revenue cap that Canadian railways can receive for grain transportation provides a 30% advantage over other commodities in Canada. Also, it applies to all producers who are covered in the Prairies.
The idea of extending this measure or extending the interswitching distance is a bit perplexing to us. The Canadian agriculture industry already has an advantage that no other Canadian shipper has.