Debates of Feb. 3rd, 1998

Helicopters

[Art Eggleton, Liberal, Minister of National Defence]

Mr. Speaker, this is based on good equipment for our Canadian forces. We went through a very fair and rigorous process. This is the helicopter that best meets our needs at an affordable price.

What the hon. member's colleague was trying to do earlier in his $200 million calculation or miscalculation was to compare apples and oranges, to compare a contract with a company that was for an incomplete helicopter versus the contract with that company today which is for more of a complete, operational and certified helicopter that meets our search and rescue needs.

[Deborah Grey, Reform, Edmonton North, AB]

Mr. Speaker, we are talking about helicopters here, not fruit. This whole thing has been a total mess from the start and the government knows it. The search and rescue helicopter saga from the beginning has been an absolute nightmare. Today the government tells us “Trust us. Now we are going shopping for shipbornes”. Nobody in the country can trust the government.

I want the prime minister to stand right now and explain one of the biggest botch-ups since he took office in 1993.

[Art Eggleton, Liberal, Minister of National Defence]

Mr. Speaker, the botch-up clearly comes from the previous Conservative government.

This government inherited a $5.8 billion contract that the Canadian people could not afford. It was much more than we could afford and much more than we needed.

We have reviewed the needs and have come back with 15 search and rescue helicopters at a lot cheaper price and at a time when we can better afford it.

With a $42 billion deficit we could not afford that $5.8 billion boondoggle. The government has taken its position on this matter in a very responsible fashion.

The Environment

[Bernard Bigras, Bloc, Rosemont, QC]

Mr. Speaker, last November an Environment Canada study on climatic change predicted more natural catastrophes, such as the Saguenay flood and the flooding of the Red River in Saskatchewan, as well as the ice storm that has just affected almost half the population of Quebec.

My question is for the prime minister. What concrete action has the government taken to follow up on this study, whose predictions were unfortunately accurate?

[Christine Stewart, Liberal, Minister of the Environment]

Mr. Speaker, the federal government considers the issue of climate change to be very serious. Since our meeting in Kyoto, Japan, I and the Minister of Natural Resources have spoken on several occasions with our colleagues.

Last Friday in St. John's, Newfoundland I met with my environmental counterparts from the provinces and territories. We are working with them to develop a national plan to mitigate the very worst effects of climate change. We believe that the measures we can take together co-operatively will be good for Canada, for our environment and for our economy.

[Bernard Bigras, Bloc, Rosemont, QC]

Mr. Speaker, if this government is so concerned about recent events that have affected Quebec and Ontario, how does it explain that it is devoting ten times less per capita to renewable energies than the amount announced by the President of the United States on the weekend?

[Christine Stewart, Liberal, Minister of the Environment]

Mr. Speaker, the federal government is looking into investing more in renewable energies both in research and development and in our own energy consumption.

My own department, Environment Canada, has invested in renewable energy for our facilities in Alberta. We will do more. We are working very aggressively not only with our government counterparts but with municipalities, business and industry.

We will have to do a lot of work to inform the Canadian public about the measures we must take to mitigate the worst effects of climate change.

Banking

[Dick Harris, Reform, Prince George—Bulkley Valley, BC]

Mr. Speaker, the events of the last 10 days have given us the impression that it is the finance minister's billionaire buddies at the banks who are pushing the financial sector policy of this country, so we would like to let him clear the air. We are going to give him a chance.

Will the finance minister guarantee today to Canadians who are concerned about less competition that not one bank merger will take place until the government has changed the Bank Act to allow an open skies, open competition policy in the banking business in this country?

[Paul Martin, Liberal, Minister of Finance]

Mr. Speaker, we have already opened up Canadian borders to foreign banking. We have done more in the last couple of years on this issue than any government. We will continue to do that, precisely because what we want is a great deal more competition. In rural Canada we want competition for small and medium size business. We have already made that very clear.

[Dick Harris, Reform, Prince George—Bulkley Valley, BC]

Mr. Speaker, the finance minister knows very well the amendments that are required to the act to create completely open competition in the banking industry. He knows very well what I am talking about.

Yes or no, will he guarantee that there will not be one bank merger until we have a complete open skies competition type banking industry in this country?

[Paul Martin, Liberal, Minister of Finance]

Mr. Speaker, what in heaven's name does the member think the purpose was in setting up the task force on financial institutions? What does he think the purpose was in having a great public debate? What does he think the purpose was in negotiating at the WTO all the changes in financial services?

Very clearly if there are going to be any changes in the financial structure of this country, they are going to be ones which will ensure that there are adequate services, low charges and full competition available to Canadians. That is what it is all about.

Ice Storm

[Stéphane Bergeron, Bloc, Verchères, QC]

Mr. Speaker, last week, Bloc Quebecois and Progressive-Conservative MPs from the Montérégie and regions of central Quebec that were affected by the ice storm sought an emergency meeting with the Minister of Human Resources Development in order to discuss the qualifying period and overpayment of unemployed workers who were victims of the storm.

Does the Minister of Human Resources Development intend to follow up on this request as early as possible in order to meet the glaring needs of storm victims?

[Pierre Pettigrew, Liberal, Minister of Human Resources Development]

Mr. Speaker, I had the opportunity to speak with a great number of MPs in the Liberal caucus. I spoke with several members of the Bloc Quebecois and with all the Conservative MPs who asked to speak with me. I was extremely available.

The Department of Human Resources Development did an exceptional job on the ground and I can say that I would still be very pleased to meet with all members. But confusion must not be spread about the issue of qualifying period. We were able to put cheques directly into the hands of the unemployed in affected regions two weeks ahead of time.

Canadian Armed Forces

[Judi Longfield, Liberal, Whitby—Ajax, ON]

Mr. Speaker, my question is for the Minister of National Defence.

On last week's tour of military bases in western Canada, the defence committee heard shocking testimony about many of our military personnel living in substandard housing, unable to properly provide for their families.

To the sea of families who fear that the committee's report will be shelved and forgotten, what assurances can the minister give that the report will be taken seriously and acted upon in a timely fashion?

[Art Eggleton, Liberal, Minister of National Defence]

Mr. Speaker, this study that the committee is conducting is a very high priority for me. I believe that our armed forces personnel and their families are entitled to a decent standard of living. Their social and economic needs should be met.

They are people who put their lives on the line, people who gave such exceptional service to their fellow Canadians in the ice storm. We should ensure that they in fact have a standard of living and a quality of life that is no different from the people they serve in this country.

Aboriginal Affairs

[Mike Scott, Reform, Skeena, BC]

Mr. Speaker, less than a year ago, the minister of Indian affairs invited aboriginal Canadians to write her with their concerns. Bruce Starlight of the Tsuu T'ina Nation took her at her word and wrote her a letter. Within days that letter was in the hands of Chief Roy Whitney, the very person Mr. Starlight had written to complain about.

Mr. Whitney just happens to be a former Liberal candidate, a well connected Liberal and a golfing buddy of the Prime Minister. How in the name of all that is just and fair can this minister justify this betrayal of Bruce Starlight?

[Jane Stewart, Liberal, Minister of Indian Affairs and Northern Development]

Mr. Speaker, as I have made clear, it is of great concern to me that this letter has been written and is in the hands of Mr. Whitney. I made it clear that the letter was not conveyed through any official means and that in fact we have identified and I have requested that an investigation be done to follow this letter through my department.

[Mike Scott, Reform, Skeena, BC]

Mr. Speaker, all we get from this government is investigation after investigation and excuse after excuse.

Can the minister tell aboriginal Canadians who have been betrayed by this action why they should ever trust her or this government again after this action has been taken against them?

[Jane Stewart, Liberal, Minister of Indian Affairs and Northern Development]

Mr. Speaker, certainly I would hope that aboriginal people in this country do feel that they can trust this government.

I have been very proud on behalf of this government to offer to aboriginal people in Canada a statement of reconciliation, a very broad response to the work of the Royal Commission on Aboriginal Peoples and to say to individual aboriginal people that for once their voices are being heard. We are going to build a new beginning together.

Banks

[Lorne Nystrom, NDP, Qu'Appelle, SK]

Mr. Speaker, my question is for the Minister of Finance.

This afternoon in the House in response to questions on bank mergers, the minister played hide-and-seek behind his task force, which studied the financial sector.

Is he now prepared to ask the task force and a parliamentary committee as well to look specifically at the proposed merger between the Royal Bank of Canada and the Bank of Montreal right away before it becomes a fait accompli?

[Paul Martin, Liberal, Minister of Finance]

Mr. Speaker, first of all, there will be no fait accompli.

We asked a task force to look at the future of the financial institutions and it intends to do so. Only after the task force has made its recommendations and a debate is held here in the House, a public debate with Canadians, will the government be prepared to consider the merger.

[Lorne Nystrom, NDP, Qu'Appelle, SK]

Mr. Speaker, the task force has not had a specific mandate to look at this merger. I believe that this merger would be a first step toward the sellout of Canadian financial institutions. The one thing that keeps the institutions Canadian is that the banks now are limited. There is a proposition where shareholders can only hold about 10% of every chartered bank. I want to know if the minister will guarantee to the House today that he will not give away the 10% provision that prevents a complete surrender of Canadian banks to foreign owners.

[Paul Martin, Liberal, Minister of Finance]

Mr. Speaker, we have made it clear on I do not know how many occasions that the task force has been asked to look at all these questions. When the task force reports, we will debate it.

The real issue is why is the NDP joining with the banks in attempting to jump the queue? Why is the NDP attempting to hijack the process? Why does the NDP refuse to let Canadians deal with the broad issues?

Mr. Speaker, I will tell you. We are not kowtowed by the banks and we are not kowtowed by this merger. We are going to do our job. We are going to set policy for all Canadians.

Highways

[Bill Casey, Progressive Conservative, Cumberland—Colchester, NS]

Mr. Speaker, my question is for the Minister of Transport.

In September 1995 Doug Young as Minister of Transport signed a government cheque for $25 million to pay for the cost of a highway from Moncton to River Glade. Now Doug Young has switched sides and runs a company that will be charging tolls on the very same stretch of highway. The minister has stated in the media that he is upset with this and he has instructed his deputy minister to make sure it does not happen again. If it will be wrong in the future, it is wrong now. Will the minister act now to stop this deal?

[David Collenette, Liberal, Minister of Transport]

Mr. Speaker, the hon. member and the report in the newspaper took great licence with what I said. I congratulate the hon. member for bringing forward a genuine concern which is how we should adapt our future highway agreements to take into account the possibilities of partnerships with the private sector.

When this agreement was signed there were no such restrictions. I have been assured by the Government of New Brunswick that the federal contribution of $32 million will not be taken into account with the toll pricing mechanism. All of the conditions of the original agreement have faithfully been met.