Evidence of meeting #44 for National Defence in the 44th Parliament, 1st Session. (The original version is on Parliament’s site, as are the minutes.) The winning word was interference.

A recording is available from Parliament.

On the agenda

MPs speaking

Also speaking

Jody Thomas  National Security and Intelligence Adviser, Privy Council Office
Mike MacDonald  Assistant Secretary to the Cabinet, Security and Intelligence, Privy Council Office
Jordan Zed  Interim Foreign and Defence Policy Adviser to the Prime Minister, Privy Council Office
Karen Hogan  Auditor General, Office of the Auditor General
Nicholas Swales  Principal, Office of the Auditor General
Chantal Thibaudeau  Director, Office of the Auditor General

11:50 a.m.

National Security and Intelligence Adviser, Privy Council Office

Jody Thomas

I think you've seen that the RCMP is doing an investigation to understand what's going on from the criminal perspective and who those sources could be and whether there was an exchange of money, so that investigation is going on. As well, CSIS is constantly looking at foreign actors and state actors and their activities in Canada.

11:50 a.m.

Conservative

Pat Kelly Conservative Calgary Rocky Ridge, AB

Thank you for clarifying that you're not denying the report. We have heard this from the government, you know, that the news story in The Globe and Mail was false and that kind of thing, so you're—

11:50 a.m.

National Security and Intelligence Adviser, Privy Council Office

Jody Thomas

What I've said is that the Globe story was there. I have no evidence that says there were 11 candidates who received money.

11:50 a.m.

Conservative

Pat Kelly Conservative Calgary Rocky Ridge, AB

All right.

In your opening statement, you talked about briefing the Prime Minister on situational awareness. We have a damning Auditor General's report that talks about the looming obsolescence of nearly every bit of kit we use to manage domain awareness in the Arctic, especially our satellite surveillance. We have a nine-year gap projected in the replacement of that system.

How does that affect domain awareness in the Arctic and your ability to brief the government, to brief the Prime Minister, on situational awareness?

11:55 a.m.

National Security and Intelligence Adviser, Privy Council Office

Jody Thomas

I think domain awareness is a critical element of the NORAD modernization that's been described to you and certainly was announced earlier this year. The approach that has been taken to domain awareness is a system of systems, so that there is not just one source of information—

11:55 a.m.

Conservative

Pat Kelly Conservative Calgary Rocky Ridge, AB

I have less than a minute left. How are you going to deal with the nine-year gap? What's the plan B on the nine-year gap?

11:55 a.m.

National Security and Intelligence Adviser, Privy Council Office

Jody Thomas

We're working with the Department of National Defence and—

11:55 a.m.

Conservative

Pat Kelly Conservative Calgary Rocky Ridge, AB

There's no plan yet—

11:55 a.m.

National Security and Intelligence Adviser, Privy Council Office

Jody Thomas

No, I'm not saying that. I'm not in the Department of National Defence. That is their responsibility and they are actively ensuring that there is no fail in our ability to have domain awareness in the Arctic.

11:55 a.m.

Conservative

Pat Kelly Conservative Calgary Rocky Ridge, AB

How are you going to do that when there's going to be a nine-year gap between the projected failure and the new system?

11:55 a.m.

National Security and Intelligence Adviser, Privy Council Office

Jody Thomas

There are alliances we can have and other satellites in space in rotation where we can obtain information—

11:55 a.m.

Conservative

The Vice-Chair Conservative James Bezan

I have to cut you off there. We're out of time. I appreciate the answer.

Mr. May, you have the clean-up for the last five minutes.

11:55 a.m.

Liberal

Bryan May Liberal Cambridge, ON

Thank you, Mr. Chair.

Thank you to our witnesses today.

I wanted to bring us back to focusing on the Arctic a little more here, given that is the topic we're supposed to be talking about.

Back in 2018—we already discussed this—China released its official Arctic paper, in which it declared itself a near-Arctic state. Most of the allies I have spoken to chuckled, but there are serious consequences to drawing that distinction. Within that document, China talks about the economic possibilities that the region offers, but it also talks about China developing military projection capabilities that would extend into the Arctic region.

Can you share the implications of China's Arctic policy on Canada's sovereignty in the Arctic?

11:55 a.m.

National Security and Intelligence Adviser, Privy Council Office

Jody Thomas

China's interest in the Arctic is threefold, I would say.

One is economic, absolutely. It has shorter shipping routes from Europe and it will save them significant money.

Two is that it is expansionist. That's the determination of themselves as a near-Arctic state, but they have a voracious appetite for hydrocarbons, for rare earth minerals and for fish, so they see it as a critical element of their sustainability as a nation, and we have to ensure that the rich resources that are in the Canadian Arctic are protected.

Even science is always a huge issue when we're talking about national security. Yes, that need to share science for the benefit of all is critical, but we also have to be aware of and careful about what's being collected on science missions in the Arctic when they send icebreakers to the Arctic.

Understanding what is being done when they are there and ensuring that we have some management of it, those are the critical elements.

11:55 a.m.

Liberal

Bryan May Liberal Cambridge, ON

In your conversations with our allies, what is their view of China's Arctic policy paper?

11:55 a.m.

National Security and Intelligence Adviser, Privy Council Office

Jody Thomas

I would say it is absolutely in-line with ours.

11:55 a.m.

Liberal

Bryan May Liberal Cambridge, ON

Are they taking different steps? What are they doing to respond to that Arctic paper?

11:55 a.m.

National Security and Intelligence Adviser, Privy Council Office

Jody Thomas

You have seen that the United States has announced its Arctic foreign policy, which Jordan can speak to in some detail, if you're interested.

We're seeing the U.S. Coast Guard and the U.S. Navy each having an Arctic strategy now. The U.S. is renewing its icebreaker fleet, particularly the large icebreakers, for the exact same reason that we are. Our co-operation with the United States is, of course, seamless.

11:55 a.m.

Assistant Secretary to the Cabinet, Security and Intelligence, Privy Council Office

Mike MacDonald

If I may add very quickly, there are dedicated bodies in which Canada and the U.S. work exclusively on Arctic intelligence issues. It's also discussed in Five Eyes bodies when we look at policy issues and operational issues, specifically focusing on the Arctic.

That's where the greatest strength comes from. It's the long allegiance of intelligence co-operation.

Noon

Liberal

Bryan May Liberal Cambridge, ON

I have a minute and a half left, and I want to hear from Jordan.

However, in your response, can you include not just the U.S. response but what Canada is doing to curb attempts by China to assert itself in the north?

Noon

Jordan Zed Interim Foreign and Defence Policy Adviser to the Prime Minister, Privy Council Office

I have a couple of points to pick up on.

The first is to say that there are a number of initiatives within the Arctic Council that continue to be pursued, even as Russia is not involved in those. Many of them don't involve Russia. They involve the full range of Arctic states, so it is important to reiterate that a lot of the work on research, on environmental sustainability and on the importance of drawing on and understanding the role of indigenous peoples and communities is all ongoing. That's work that continues to happen across all of those areas.

I would say that, in addition to the Arctic Council members, apart from Russia, there are a number of other bodies. There are security meetings that have taken place. There are defence conversations in various configurations, bilaterally, trilaterally and, obviously, working closely with Norway as they assume the role of chair going into next year.

Noon

Liberal

Bryan May Liberal Cambridge, ON

I have 10 seconds left, which I will take to thank you for being here with us today.

Thank you, Mr. Chair.

Noon

Conservative

The Vice-Chair Conservative James Bezan

I want to thank our witnesses as well.

Ms. Thomas, could I just ask you to provide a written response back to committee? One thing I'm very concerned about, as a member of this committee, is that we're going to be spending tens of billions of dollars in upgrading our north warning systems, satellites, NORAD modernization, signals and communications. There was the story about what happened to the RCMP procurement and Hytera being investigated for espionage in the States. We went through the Huawei debacle and everything, surrounded with our Five Eyes partners.

Perhaps you can get back to us on what procurement changes are going to happen to ensure that we're not going to be caught in this situation again, where Chinese state-controlled enterprises are interfering in our procurement processes. Thank you very much.

Noon

Liberal

Jennifer O'Connell Liberal Pickering—Uxbridge, ON

Mr. Chair, on a point of order, it would have been appropriate for the Conservatives to ask that question during their time. If you seek a written response on a question that was never asked in the allotted time, then we should be able to put forward questions. I would love to have a written report on the Conservative inaction on foreign interference from—

Noon

Conservative

The Vice-Chair Conservative James Bezan

That's not a point of order. You're now into debate. I'm going to move on.

We do have our officials from the Office of the Auditor General waiting to come up next—