Mr. Speaker, I am honoured to have the opportunity to debate this important bill which was introduced by the member for Pickering—Ajax—Uxbridge.
The Competition Act was designed to promote competition and efficiency in the Canadian marketplace. It sets out a basic code of conduct for businesses in this country and covers criminal offences such as conspiracy, discriminatory and predatory pricing, price maintenance, misleading advertising and deceptive marketing practices.
However based on what I have been hearing from my constituents in Cambridge, the Competition Act is not protecting consumers in the case of the gas industry. Very real concerns remain about what has been happening in this sector. In fact these concerns have been growing. There has been much debate over the issue of gasoline pricing. Independent gas retailers and many consumers believe that the major oil companies are using their dominant position in the marketplace to set out prices which adversely affect competition.
During a town hall meeting in my riding of Cambridge, consumers, trucking companies and independent retailers all expressed frustration over fluctuating gas prices. We know that across the country gas prices prior to long weekends and during summer vacations go up and in midweek they go down. Sometimes retail outlets owned by the major companies charge less for their gas than the independent retailers purchase it for but the price mysteriously goes up again.
The major companies say that this practice is because of the low supply of gasoline, production problems and of course the refinery shutdowns. I do not believe that Canadians, including myself, buy that argument. When there is a frost in Florida the price of oranges does not go up only over the weekend.
I was a member of the Liberal committee on gasoline pricing which travelled throughout Canada. Time and time again we heard from independent gasoline retailers how truly difficult it is to stay in business when the supplier they are competing against is the same person who sets the cost at which they are going to receive the supply.
Mr. Speaker, if a supplier wants to increase his market share at your expense or the Canadian taxpayers' expense, it is not hard to predict that the independent retailer will be out of business in a very short time. This is the story of the bully on the block who is bigger and stronger.
Many complaints have been filed with the Competition Bureau about unfair practices. Unfortunately we hear from the Competition Bureau that it does not have the tools to resolve these ongoing complaints. We must give the bureau those tools and this bill is doing exactly that.
The holes in the Competition Act have been identified by others. We know that in 1986 the Restrictive Trade Practices Commission recommended that the federal government take steps to determine the limits of appropriate pricing in the specific dual distribution context of the petroleum industry.
The New Brunswick all-party committee also looked into the operation of the petroleum industry. In 1997 it issued a report which stated that the Competition Act has little effect in preventing discriminatory pricing or predatory pricing.
We know from the committee when it was travelling that consumers and independents in New Brunswick and Newfoundland have been squeezed out. Surprise, surprise.
Mr. Speaker, I am aware that I have another minute but I could go on and on.
I would urge all members of the House to support this bill.
Again I congratulate the member for Pickering—Ajax—Uxbridge for his tireless work in this area. I urge the House and members to be responsible to their constituents.