Industry Committee on Nov. 28th, 2016

[Navdeep Bains, Liberal, Mississauga—Malton, ON]

One of the things the Prime Minister has really done effectively is he's really changed the tone, the tenor of this place. He's really created a sense of collaboration. To highlight that point, as I mentioned in my remarks, for the first time in 12 years, I met with my provincial and territorial counterparts to create a table on innovation and economic development. So much effort is put forward by the different provinces and territories around skills development, on infrastructure, on how to deploy broadband initiatives.

We have to do a better job of aligning that. That spirit of co-operation is reflected overall with all the jurisdictions, but I must confess there's a really unique model that we have in Atlantic Canada. That model really speaks to not only the ministers I work with directly but also the premiers. Along with my 32 MPs, again, regardless of their political affiliation in Atlantic Canada, I've actually worked with all of them, including the four ministers, to put forward an Atlantic growth strategy.

This is really a partnership with the premiers of the different provinces to focus on areas of growth and what we can do to better align our resources and better grow the economy in those regions. One area that was identified by businesses and governments was immigration. I know that immigration has a different lens or perspective across the country, but particularly in Atlantic Canada, they are looking for immigration, obviously for population purposes. It's an aging population; it's potential customers. Immigration is such a key element of the economic plan going forward, and how we retain immigrants in Atlantic Canada.

Along with my colleague the Minister of Immigration, we launched a pilot project. It's a project that, again, as part of the Atlantic growth strategy, would speak to how businesses can step up, and government would help facilitate, and bring forward new Canadians, immigrants to Canada, to really help make those business investments, to deal with challenges in the job market or labour market, and to provide more support for the aging population in that area.

That's a really clear example of how the provinces, the federal government, and businesses have come together to tackle a very important issue. I must confess, and I don't want to say too much in advance, that hopefully in January we'll be launching other initiatives as part of the Atlantic growth strategy to really highlight that partnership.

[Frank Baylis, Liberal, Pierrefonds—Dollard, QC]

It's a very impressive aspect, and then when you turn around, one of the beauties of our great country is, for example, with FedNor, in northern Ontario. I know you were just up in Sault St. Marie, working there. They have completely different needs. How do you make that transition to look at somewhere, for example, like northern Ontario, with FedNor?

[Navdeep Bains, Liberal, Mississauga—Malton, ON]

I'm glad you asked that question, because I have outstanding colleagues in the House of Commons, from all political parties, but I must confess I see some of my colleagues a bit more often, the seven MPs, including Minister Hajdu, whom I sit in cabinet with.

We talk a lot about those challenges and opportunities. I even met with some of the large urban mayors from northern Ontario to talk about the unique opportunities. It's urban, and a lot of smaller and rural communities.

We're looking at, again, how to work with them on a range of issues from infrastructure to investments in aboriginal communities, to focusing on young people, to helping with succession planning. There's a range of initiatives and investments that we're making through FedNor, and it really is done in collaboration. It's a bottom-up approach. We deal directly with clients. We deal directly with communities to better understand their needs to make sure we diversify the economy in a manner that allows them to grow and succeed for the long term.

It really is a bottom-up approach, and that's really the success of our agencies. In particular, FedNor is a great initiative, where we're seeing a lot of that success come forward.

[Frank Baylis, Liberal, Pierrefonds—Dollard, QC]

Can you talk to us briefly about the Economic Development Agency of Canada for the Regions of Quebec? I know you're involved in that work.

[Navdeep Bains, Liberal, Mississauga—Malton, ON]

That's right. I'm proud

to be part of such a strong team in Quebec, 40 MPs. We're working very closely with DEC. We have launched a range of projects, especially in rural parts of Quebec, really speaking to those diversifications and challenges around the forestry sector, for example. That's an area where we understand there are a lot of challenges. We're making investments in additive manufacturing. We're focusing a lot on, again, young people. DEC has been really instrumental. We've deployed those funds in a very timely manner and the response has been very positive.

[Frank Baylis, Liberal, Pierrefonds—Dollard, QC]

Thank you.

[The Chair, Liberal, Dan Ruimy]

Due to time constraints, here's what's going to happen. Mr. Jeneroux, you have your five minutes. Mr. Massy, you will have your two minutes, and then we'll end it there.

Go for it, Mr. Jeneroux.

[Matt Jeneroux, Conservative, Edmonton Riverbend, AB]

Thank you, Chair.

Thank you, Minister. I'll jump right into it. Thank you for staying a bit longer as well.

The situation in western Canada, particularly in my home province in Alberta.... You're a member of Parliament from Mississauga. That's all right, but you do represent a significant portion of western Canada.

We have been struggling significantly since your party took office. Our unemployment rate has doubled. I'm not saying that's because of your party, but there has yet to be some hope and help come towards western Canada.

Of all the money that you announced you're spending across the country—we heard about the Ontario amount—what types of ideas, what plans do you have to get people back to work in western Canada and particularly in Alberta? We're in a situation that's at a crisis point. We have started an Alberta jobs task force because there doesn't appear to be a plan from this government.

If you could comment on that it would be very helpful to me and to the people who live in my province.

[Navdeep Bains, Liberal, Mississauga—Malton, ON]

Thank you very much for that very thoughtful question. I do share your concerns about the plight and challenges of Alberta in particular, and about the impact that has not only on Alberta but on the Canadian economy as a whole. We're seeing the challenges to our GDP, and it's an impact that we all feel, in all parts of the country.

As you know, there are a lot of employees in Ontario and Atlantic Canada who worked in Alberta. It is an issue that is of national importance to us. That is why, recognizing the challenges in that region, we immediately provided a stabilization fund of $250 million to deal with the the direct challenges that Alberta was facing in particular.

As you know, the issue was compounded by Fort McMurray. We worked along with yourself and other colleagues to provide a matching contribution to the Red Cross. As the minister responsible for Western Economic Diversification, I had the opportunity to visit and meet with officials there to get an update, and to continue to make sure that we don't neglect Fort McMurray. We'll focus on how we continue to rebuild that very important community and—

[Matt Jeneroux, Conservative, Edmonton Riverbend, AB]

I'm sorry to interrupt, Minister. It's not just Fort McMurray either. There are a lot—

[Navdeep Bains, Liberal, Mississauga—Malton, ON]

I know. I'm just highlighting some examples. I just wanted to make sure. That was an important investment. That was an important challenge that we faced and that Albertans faced, and I did not want to miss the opportunity to talk about that.

Of course, my colleague, Minister Sohi, the minister responsible for infrastructure, made significant investments in infrastructure in Alberta, particularly in public transit. That will create short-term jobs and also set us up for success going forward.

[Matt Jeneroux, Conservative, Edmonton Riverbend, AB]

Perhaps I could jump in on some of the infrastructure discussion, just because you brought it up, Minister.

We've only had one project that's actually broken ground in western Canada. That's not creating the jobs that we need. There are a number of initiatives that could be done by your government that would help to create those jobs. We're not seeing that right now. With all the money that you've put into Western Economic Diversification, how many jobs have been created from that money?

[Navdeep Bains, Liberal, Mississauga—Malton, ON]

On the jobs front, and on infrastructure, my colleague Minister Sohi highlighted in the House of Commons and talked the different investments that he's made and the jobs that have been created. The one that I can speak to is business development. That's a portfolio that I'm responsible for.

We worked very closely with the Alberta government to inject an additional $500 million for small businesses in particular. As you know, the backbone of our economy is small and medium-sized enterprises. For our small businesses, and for individuals who have lost their jobs and are thinking of starting their own business but need access to capital, we provided that injection of $500 million. Through WED, we've invested in 46 projects worth roughly $60.5 million. We're really focused through economic development—

[Matt Jeneroux, Conservative, Edmonton Riverbend, AB]

Did you get the jobs number? I saw your deputy pass you a note. Is there a jobs number with that?

[Navdeep Bains, Liberal, Mississauga—Malton, ON]

Some of them are maintaining jobs. Some of them are creating jobs. Some of them potentially can create more jobs. The idea is that there are different aspects to this equation. Investments in infrastructure, as I mentioned, are significant. Investments through BDC are significant. The stabilization funding, supporting challenges through transition—

[Matt Jeneroux, Conservative, Edmonton Riverbend, AB]

I'm going to have to cut you off, Minister. I only have about 30 seconds and I want this last question—

[Navdeep Bains, Liberal, Mississauga—Malton, ON]

I'm just highlighting all the different initiatives.

[Matt Jeneroux, Conservative, Edmonton Riverbend, AB]

I appreciate that.

Regarding Canada 150 grants, you said that decisions were to be made within 90 days from October 26.

Doing my math, there are still people wondering where their grant money is.

Can you comment on Western Economic Diversification, Canada 150 grants?

[Navdeep Bains, Liberal, Mississauga—Malton, ON]

Yes. Again, sometimes we receive individual requests and sometimes they're in batches. We're very mindful of the feedback that we need to give to potential organizations, clients, and individuals. If they haven't received a response—

[Matt Jeneroux, Conservative, Edmonton Riverbend, AB]

Yes, but a date, though, Minister, when they'll find out.

[Navdeep Bains, Liberal, Mississauga—Malton, ON]

If they haven't received a response, they will shortly. I know that my deputy—

[Matt Jeneroux, Conservative, Edmonton Riverbend, AB]

Shortly, defined by an hour?

[Navdeep Bains, Liberal, Mississauga—Malton, ON]

—asked me for some timelines, but again, based on what I have here, they should receive a response very soon.

[The Chair, Liberal, Dan Ruimy]

Thank you very much.

We're going to move on.

Mr. Masse, you have two quick minutes.

[Brian Masse, NDP, Windsor West, ON]

Thank you, Mr. Chair.

With the automotive innovation fund, the supplier fund, and the other funds you mentioned, does your government believe that they should be non-taxable or grants?