Mr. Speaker, I will be splitting my time. I am pleased to discuss in the debate on Bill C-11 the background of Devco for a moment. I want to address perhaps some of the background from where I come from in Nova Scotia and from some of the issues I have dealt with in the House of Commons in terms of regional development grants and so on. I also want to talk a bit about the litany of problems involved in the amount of money that government throws at situations, with no particular outcome in mind but really to keep people in certain parts of Canada quiet.
There is a saying that goes something like this: a government that robs Peter to pay Paul can always depend on the support of Paul. This is quite like the philosophy I see over there: it is okay to take from taxpayers around the country and drop the money into a certain area regardless of whether or not the project is viable. Then they can count on a certain number of votes and say “We are looking after you and this is how it is going”.
I will run through a bit of the background on the Devco situation, but I think it epitomizes what this philosophy is doing in certain parts of our country. We just cannot dole out dollars to projects that really are not viable in the end result and expect to have anything but calamity in the final analysis.
I will comment as well on the manner and the nature of debates and the priority in the House of Commons on debates. I find it more than interesting that the government has allowed a little over five hours debate on Devco today. Yet the official opposition had four and a half hours debate allotted to it for the Nisga'a agreement. The Nisga'a agreement has ramifications constitutionally. It has ramifications on many other issues of all Canadians, including a referendum that has been denied the people of British Columbia. Yet we get four and a half hours debate on that issue. We are expected to come in here and be quiet about having five hours debate on another issue. It just escapes me.
I will give a little background about Devco. In 1966 the Donald report commissioned by the federal government recommended a downsizing of the Cape Breton coal industry with 1980 as the target for production to cease. Let us just think about that. In 1966 politicians said that the coal mining industry in Cape Breton had to be downsized and that hopefully by 1980 they would be into other productions, other issues, manufacturing or some other opportunities that should and could arise in Cape Breton.
Here we are in 1999 and we are struggling after $2 billion plus being thrown at that project. The government is still sitting in the House of Commons debating what to do next. It should resonate throughout the country that the government in 1966 should have said, therefore, that if it was to downsize by 1980 these were the following alternatives that it planned to undertake so that as it downsized it increased or upsized industry in other alternative areas.
No, it waited till 1980, as I will show, threw more money into the project, did not know where it was going, did not look at alternatives, and then said in 1998 that it had to be closed down. It said it would sort of close it down. Now the employees are saying that they were propped up since 1966 and are now being thrown out in the cold.
What are the options? Look at Cape Breton. Ask the people of Sydney if the government has invested in lots of other opportunities. The answer is no, no long term sustainable opportunities.
That is what they get when they rob Peter to pay Paul and count on the support of Paul. I think Paul's support over there is running very thin. That is precisely why in Cape Breton they no longer have Liberal MPs. They have given up on the idea that they will just keep propping them up with money, keep helping them out, but they will not give them anything in the end.
In 1966 as well Prime Minister Pearson and Nova Scotia Premier Robert Stanfield announced a $55 million package to phase out coal mining in Cape Breton over 15 years. The province agreed with it, it was going to phase it out, and then phase out money was put in place in 1966. In 1967 Devco was formed. That incorporated the Dominion Steel and Coal Company and the Nova Scotia Steel and Coal Company.
All of a sudden in 1970 we saw an expansion in Cape Breton in the coal industry. The Prince and Phalen mines were opened. Some mines were opened. That was good. It kept them going, but four years before they were to be downsized and closed.
In 1989 Ottawa announced a Devco subsidy of $30 million per year to the end of 1995. Where in the name of blazes is the plan over there? What is wrong with them? Do they not think, all five of them who are here? It is amazing how all of a sudden the Liberals come back into power and say they knew they were to phase it out but, gee whiz, they have not thought about anything else those folks can do down there. Then they dream up some more subsidy money and keep it going, prop it up until the end of 1995.
Then they said the company, Devco, would sink or swim on its own. They said that in 1966. They said that in 1970. They said that in 1978. Here we are today in 1999 with all four of these guys sitting here trying to listen. Where the heck is the government?