Madam Speaker, I am responding to the hon. member's question of March 17.
The WGTA reform will have a major impact on our grain handling transportation system. The Ministers of Agriculture and Agri-Food and Transportation, in consultation with all stakeholders, have developed plans and strategies to assist farmers in making the transition to a new market environment.
This will include a legislative and regulatory framework which will assist in the achievement of efficiency gains. For example, the provision of the National Transportation Act will help to foster competitively priced grain transportation services and cost savings for farmers and shippers. A system will be put in place to ensure the provision of necessary information, monitoring and review processes. These in turn will be used to track system revenues, costs, efficiency achievements and an appropriate sharing of benefits. In other words, provision has been made to pass efficiency savings on to the farmers.
Regarding the hon. member's concerns related to the government's ex gratia WGTA payment, it is important to note that the transportation subsidy had an impact on land values. With the elimination of the subsidy, the payment addresses the subsequent changes in these land values.
In addition, the payment is decoupled. This means it will be market neutral with respect to future production and marketing decisions of producers. It is also in keeping with Canada's international trade obligations.
It is important to note the government's assistance is not limited to this payment. Saskatchewan will share in a $300 million adjustment fund.