Mr. Speaker, I think we are all at the point of exhaustion with this piece of legislation. For a year and a half we have debated the issue of the gasoline additive MMT. To say the least, we have debated the issue enough that by now the Liberals I think should be embarrassed, but we drag along while more pressing issues remain.
Since the bill was first introduced in May 1995 by the former minister of the environment, arguments have been made on both sides of the House, round and round. The government states that MMT should be banned from being used in gasoline in order to protect the environment as well as the health of Canadians. Yet this bill does not directly ban MMT. It merely bans the importation and the interprovincial trade of MMT.
When one bans something from being allowed to enter the country does it necessarily mean that it is harmful? What about prohibiting something from being moved across the country freely? If it is harmful should not banning it once be enough?
When a particular substance is harmful to our health or to the environment there is a regulatory authority in place to take care of such a problem. It is called the Canadian Environmental Protection Act, better known as CEPA. Within CEPA there is a schedule of substances that have been deemed to be hazardous either to our health or to the environment. CEPA is in place to protect Canadians. In fact, this government is responsible for making amendments to CEPA in order to place added protection on our already fragile environment.
However, if we take CEPA and look at the back of the act in the schedule section, MMT is not to be found nor will it ever be found in that section. Why? It is not harmful to our health nor is it harmful to the environment.
For a substance to be placed on the schedule under CEPA it must first be declared hazardous by Health Canada. I believe the public has a right to know how Health Canada views MMT. Anyone who has listened to any of the debate on this bill over the last year and half is well aware of the December 6, 1994 Health Canada report entitled "Risk Assessment for the Combustion Products of MMT".
Even though the following statement is on the record, I feel it is such an integral part of the issue that it should be read again. The study states:
All analyses indicate that the combustion products of MMT in gasoline do not represent an added health risk to the Canadian population.
I suppose it appears that MMT is no more harmful than benign dust on the ground.
On October 18, 1995 a Health Canada official appeared before the Standing Committee on the Environment and Sustainable Development and concurred that the 1994 report remained the position of the department.
Therefore I want to urge all members of the House not to include in their speeches during this third reading stage any reference that the removal of MMT will improve health quality. I heard several government members make mention of this during second reading. It is false and inaccurate information. A member may make an unprecedented or unpredicted mistake; however, in this case the evidence gives very clear direction.
I want to bring up one more revelation from Health Canada. It has to do with MTBE, of which Environment Canada officials say could be a replacement for MMT.
On October 18, 1995 Mr. Rod Raphael, the chief of the monitoring and criteria division of Health Canada, appeared before the environment committee with the following revelation about MTBE:
We have concerns with respect to MTBE. MTBE was on the CEPA priority substances list, an evaluation was done under a particular scenario, and that is the present use and containment situation for MTBE. Should MTBE be added to Canadian fuel as a replacement for MMT? That exposure scenario changes for us and we are in the process of evaluating it at the request of the Canadian General Standards Board which is considering MTBE as part of gasoline formulation. We are also concerned about MTBE because of new data that is now available but was not available at the time of the original CEPA evaluation. There is a long term cancer study now available and it needs to be evaluated and brought into the assessment.
From the very beginning, Reformers have unequivocally stated that they would support the banning of MMT if the government could prove through independent scientific tests that MMT was harmful to automakers onboard diagnostic systems in cars or to the health of Canadians and the environment.
Let us talk a bit about these OBDs. Onboard diagnostic systems simply monitor the emission control systems on most late model automobiles. It needs to be reiterated that they do not reduce emissions directly. In fact, if the OBD system were removed from the automobile completely it would make absolutely no difference to the exhaust coming out of the tail pipe.
The OBDs were set to be installed in the 1996 line-up of automobiles. The former environment minister had assured the automakers that this bill we are talking about today would be quickly passed in 1995 in time for manuals to be printed up and the OBDs to be hooked up. Well, such was not the case.
Within the auto industry it is no secret that the technology surrounding the OBD systems is new and full of bugs. In the United States where MMT is not currently being used widely in gasoline-although I might add that a recent court decision has allowed MMT to be sold-OBDs have been found to malfunction.
This poses the question: Is it MMT that is causing the problem or is it simply the fault of the new technology malfunctions? If I happened to be a betting man I would go with the latter.
In response to these malfunctions in the U.S., automakers have a bevy of scapegoats that they are using to justify the problems: altitude, temperature, sulphur, poor fuel quality, road conditions, customer driving habits and extreme weather conditions. However, in Canada according to the automakers, there is only one reason for the OBD malfunctions, namely, MMT.
What is wrong with this picture? The government and our two environment ministers have been hoodwinked into believing that keeping MMT will cause catastrophic events to occur. Sadly they have convinced many of their colleagues into thinking the same. However, what is interesting is to see how the Liberal cabinet is split on this whole issue.
The Minister of Industry stated that he hoped for a uniform standard in fuels between the U.S. and Canada only to see this all crushed with a U.S. court decision permitting the sale of MMT. The Minister of Natural Resources has been particularly quiet on this whole issue because she knows what the costs will be to refineries in her Edmonton riding should the bill pass.
Then there is the Minister for International Trade who on February 23 of this year wrote a strong letter to the Minister of the Environment urging him to put the bill on the shelf for good. The trade minister stated "the claims of the automotive and petroleum industries conflict markedly with common ground between them". The minister went on to say that the bill "could have many adverse implications for Canadian trade, without compensating environmental benefits".
These are only three ministers that have declared their frustrations publicly. It would not surprise me if many more ministers are expressing doubts about the validity of this legislation behind closed cabinet doors.
The Reform Party's position is very solid. We want protection for Canadians with respect to their health. We also want to keep our environment clean and free from harmful pollutants. The Reform Party will support this legislation if the government can prove that MMT is harmful to our health and to our environment. Otherwise we are totally opposed. Ours is a reasonable approach as there are environmental benefits for the use of MMT.
The Minister of the Environment has a choice and the choice is rather simple. Withdraw the bill from the Order Paper and conduct a series of third party independent tests to prove without a shadow of a doubt the effects of MMT. Canadians do not want to see tests from the automakers nor do they want to see tests from the oil companies. We know how tests can be skewed to reflect the views of those paying to have the tests done and I think this is what has happened so far. There needs to be a fair process and it needs to be done by someone not connected with either of the interested parties.
The minister is going to have MMT as his political legacy and the legacy will not be favourable. He inherited the environment portfolio from a minister who acts before she thinks. Bill C-94 came into being because the Deputy Prime Minister reacted to one lobby group without knowing all the facts. Now the same minister has covered herself in the flag, not realizing how much trouble she is in.
I want to encourage the environment minister to do the right thing, withdraw the bill and instead proceed with tabling legislation that will really bring protection to our environment, namely, changes to the Canadian Environmental Protection Act and bring forward a new federal endangered species act.
In closing I want to read two letters that pertain to Bill C-29. My colleague for Esquimalt-Juan de Fuca recently read to this House several letters from provincial environment ministers who opposed the passage of Bill C-29. Further to this I want to read a letter
written to the Prime Minister from the chairman of the board of the Federated Co-operatives Limited based in Saskatchewan. It was addressed to the Prime Minister with copies to three cabinet ministers on September 23 of this year:
We were very disappointed to learn that Bill C-29, an act effectively banning the use of MMT in gasoline in Canada is again being considered.
Federated Co-operative Limited (FCL) owns Consumers' Co-operative Refineries Limited (CCRL), which operates a petroleum refinery in Regina. CCRL produces gasoline and diesel fuel for co-op members and other customers.
On behalf of our members, we oppose any legislation that would ban the use of MMT as a gasoline additive until an adequate technical evaluation has taken place. We have used MMT for 18 years with no consumer complaints. MMT has allowed the production of high quality gasolines from our refinery at a lower cost and with lower environmental emissions that would have been required without MMT.
We do not believe the petroleum refining industry, and ultimately our members and other customers, should bear the costs of MMT elimination unless it can be shown conclusively that there is a legitimate need.
We had believed that if MMT were approved for use in the United States that, in the interests of harmonization of gasoline qualities, the proposed Bill C-29 would no longer be considered necessary. Certainly, a substantial amount of fleet testing and study took place prior to the approval of MMT in gasoline in the U.S.
If further scientific study and testing is to be carried out in Canada, we suggest that it be done in conjunction with the petroleum industry (CPPI), and the Motor Vehicle Manufacturers' Association, (MVMA), under the auspices of the CCME task force on cleaner vehicles and fuels. We believe the banning of MMT without scientific evidence of negative effects due to the use of this additive is premature.
We also wish to emphasize that there is no relationship between the banning of MMT and increased utilization of ethanol. MMT is an octane-enhancing additive and ethanol is a high octane blending material that has both positive and negative effects when blended in gasolines. The refiners preferred route to offset this proposed ban on MMT would be to increase the severity of gasoline processing (at an increased cost). Ethanol considerations are a totally separate issue that our organization is very familiar with.
FCL provides central wholesaling, manufacturing and administrative services to more than 800 locally-owned retail co-operatives across western Canada and western Ontario. FCL is owned by its member retailers, which are in turn owned by an estimated 750,000 individual co-op members. Together, FCL and its member co-operatives are known as the Co-operative Retailing System in western Canada.
Yours truly, E. Klassen, President, Chair of the Board.
Last, I want to read a letter that was sent to the Minister of Natural Resources from the co-chair of the Council of Energy Ministers. It is dated September 20, 1996. It is addressed to the Prime Minister, the Minister of Industry and the Minister of the Environment:
Dear Minister:
During the 1996 meeting of the Council of Energy Ministers in Yellowknife, Northwest Territories, ministers discussed the federal Bill C-29, the Manganese-based Fuel Additives Act, the bill to eliminate import and trade of MMT.
During the meeting, concern was expressed about the lack of effective consultation of both industry and provinces on a proposal which will impose direct costs on industry and consumers and will directly affect provincial jurisdiction.
Additionally, it is apparent that there is no clear consensus from a technical point of view concerning the impact of MMT, and whether or not MMT is, in fact, a significant problem for vehicle diagnostic systems.
Ministers are aware of the very helpful September 11, 1996 proposal to the Prime Minister from the Canadian Petroleum Products Institute and would like to recommend it to the federal government.
In brief, the CPPI has offered that "CPPI member companies will stop using MMT if an impartial review process involving ourselves, the federal government, and any other stakeholders you deem should participate, determine that the product is flawed in terms of impact on human health, air quality, or vehicle compatibility". The CPPI suggests that a credible evaluation process could be completed within a matter of three months.
The CPPI proposal is very constructive. Provincial and territorial ministers in attendance at the Council meeting (Newfoundland, Nova Scotia, New Brunswick, Manitoba, Saskatchewan, Alberta) and the Deputy Ministers and officials on behalf of Quebec, Prince Edward Island and Yukon urge the federal government to immediately announce delay in passage of Bill C-29 to enable the time limited evaluation process suggested by CPPI to be convened to report on technical related issues.
Sincerely, Stephen Kakfwi
Canadians expect government legislation to be drafted following extensive study and scientific reasoning. Canadians expect the best from their government. Passage of Bill C-29 will only show Canadians that changes to regulations can be bought if the price is right. Passage of Bill C-29 will surely be a sad day for the democratic process of this country.
Delay the bill and let the independent science come in. Let the government demonstrate, then legislate, and then we will support to do the right thing, rather than the bidding of special interests. As a country, let us be good neighbours and not violate our international trade promises and also the goal of complete economic union within our Canadian borders.