Mr. Speaker, I am very pleased on behalf of the Canadian Alliance to bring this debate back to the intent of parliament to have honest interaction between the parties debating the issue as opposed to the type of extremism being experienced by the House due to the Liberal speakers on this issue.
The Progressive Conservative Party has brought forward its supply day motion with regard to transportation issues in Canada. I have to agree this is an important issue that we should be debating. The reason for that is that the federal government and the provincial governments across the country have not been able to manage their moneys to the point of being able to keep our basic infrastructure, primarily roads and rail, in a condition that our economy can continue to flourish. As a result we find that we are approaching a crisis situation with regard to roads across the country, not only in western Canada.
As I go through my speech I think we will find that what is giving rise to this crisis is not the lack of money. As a result of the taxation of the Liberal government this place is awash in money. It is the problem of how the Liberal government is spending the tax dollars it is taking from Canadians.
Transportation is the fabric and the economic lifeblood of the country. It is of such importance that it should not be let to slide as the government has done through its heavy taxation and not returning taxation dollars to the provinces with regard to road programs, which has caused us to lose a certain level of competitiveness. One good example of that lack of competitiveness is in our international grain trade where some of our major customers like Japan and the Asia-Pacific rim countries have found that we cannot deliver our grain to port on a basis that would give them confidence that we are suppliers that can be totally trusted.
The reason I bring that forward is that it has to do with rail transportation. The government on this very day has the opportunity to fix our rail transportation by bringing in a commercial competitive contract based system of rail transportation. However, what we find is a continuation of the very highly regulated, top down, government driven transportation system which all parties have found to be inefficient, unaccountable and incapable of supplying our customers with the amount of grain they need at the time they need it.
The government bears a lot of the fault for our transportation system being in the state it is and our now having to debate it in the House to try to give the government suggestions as to what can be done.
Besides exports, interprovincial transportation is of vital importance. We consume and sell many product between provinces. We only have to drive from Manitoba to northwest Ontario to see a road that is virtually incapable of carrying with any efficiency the amount of goods that move between Manitoba and Ontario and east to west.
It is obvious that this national highway, which the federal government has responsibility for, has not been upgraded over the course of time.
In my riding of Selkirk—Interlake we have export companies such as Gerdau Steel. Many of our agriculture products have to be exported both by rail and by road to different countries. We also export fresh pork products by air to places such as Russia and Asia.
If road, rail and air transportation are not kept in good shape our economy will continue to suffer because of a lack of direction in spending by the federal government.
People ask: “The government is spending. The Canadian Alliance is advocating more spending on roads. Where would the money come from?” That is one of my favourite questions. With the amount of money that comes into the federal government, there is plenty enough for health care, roads, rail transportation and whatever else is needed with respect to transportation.
The reason there are not sufficient moneys, aside from the patronage appointments and waste and abuse that we see in HRDC, is the spending. I would like to give some examples. I will not belabour the point because these things are disgusting for people to hear. In Manitoba $15,000 was spent to hang dead rabbits in trees as an art exhibit. Our local humane society did not even see fit to condemn this artist or the fact that federal money was being used for the exhibit. That can only be classified as waste. In Paris, foreign affairs was setting up what could only be called a call girl situation in the embassy. People from France could go into the embassy and engage a woman dressed as a prostitute. Once again, federal tax money was spent. I could go on and on with these disgusting examples of government waste, of money that could have gone into our transportation system.
The importance of rail transportation to the economy is important for those of us who are here today. However, as members of the Parliament of Canada, we are supposed to be doing everything with reasonable prudence and forethought for the benefit of our children, our grandchildren and their children. That is not happening because of the high taxation policy of the government, which is being abused. Instead of the money being left in municipal and provincial coffers to be used for roads, it is taken away and used for a lot of useless things.
I would like to give a couple of facts. Federal gas tax increased over 500% between 1985 and 1995, from approximately 1.5 cents to 10 cents per litre. The argument for fuel taxes was that the money would be used to keep our infrastructure and roads up to snuff.
Ottawa spends only 5% of its $5 billion in gas tax revenues on highway renewal. I assume that I can use the word deceptive. The people of Canada have been deceived into believing that if they pay their fuel taxes they will be able to drive on roads that are safe and an efficient mode of transportation.
These billions of dollars flowing to Ottawa, sent by Canadians to be used for our roads, are not being used for our roads, but are going into general revenues.
Ottawa increased the federal gas tax from 8.5 cents to 10 cents per litre in 1995 as a deficit reduction measure. The deficit is gone, but the tax remains, to my knowledge. Once again I ask, is this deception? Is it mismanagement? What is the reason for this? Maybe we will hear it from the government.
The government is also taxing taxes. That is a most vile situation. The GST is charged on the full pump price, gas taxes included. It is a tax on a tax. It looks to me like the government has no intention of spending the fuel tax on roads and in fact is just using it as a tax grab.
Gas prices in Canada are a big issue in all parts of the country. According to facts which were compiled, without provincial and federal taxes our gasoline prices would actually be cheaper in Canada than in the United States.
The problem we are facing has a solution. It is a problem that has been made primarily by the actions of the federal government, which has been in power for two terms, so it cannot say “We would fix it if we had time”. It has had since 1993 to come up with a national road program, to increase funding, to cut waste and to use that money for road and rail transportation.
In essence, all the money for roads and other modes of transportation comes from the public purse. Some people would argue that if we put a toll on a road, that is not a tax. However, I would point out that tolls on roads are a tax the same as any other user fee. Roads are for the use of everyone and when we impose a toll we are in essence imposing a tax.
I once wrote a letter to the revenue minister asking him why fuel taxes could not be dedicated to road construction and repair. He wrote back, clearly stating that the government does not believe in dedicated taxes; that is, identifying a clear problem or issue for spending every year. There should be road spending every year throughout the life of this country. The government refuses to acknowledge that it has a responsibility for the infrastructure of the country, including transportation and, in particular, roads. Until we get the government to admit there is an ongoing need for funding for roads we will be up against the same crisis year after year.
It has been mentioned that Manitoba, Saskatchewan and Alberta will receive some $175 million as offset compensation for the lack of rail transportation which is due to the abandonment of branch lines by the railways. Farmers are incurring greater costs to haul their grain to the main terminals.
Once again, that money is inadequate. The $175 million will be spread over five years and over three provinces. I do not know how much good that will do in repairing some of the roads. It certainly will not build new ones.