Mr. Speaker, it is with pleasure today that I rise to speak to Bill C-248. The need to strengthen the Competition Act has never been greater in Canada. I congratulate the member for Pickering—Ajax—Uxbridge for his continued hard work and vigilance in defending the underdog, in many cases smaller companies, and consumers in the long run.
A competitive marketplace is a requirement and a requisite for an effective market in Canada. We in my party are supportive of a free market economy, more consistently perhaps than members on the other side. However, a free market economy can be successful and functional only if we ensure the continuation of a competitive marketplace. Clearly we need to strengthen and amend the Competition Act to provide for that.
The rules need to be strengthened. I will focus on one particular area, the Canadian airline industry. The Competition Bureau needs to be given the teeth to ensure monopolists pursuing predatory policies are stopped in their tracks before they destroy smaller competitors.
We have seen many examples in the last couple of years, particularly with Air Canada. We have seen the Competition Bureau not take immediate actions to order Air Canada to cease and desist the predatory trade policies that have ultimately destroyed competition.
By the time the Competition Bureau has done something we have seen companies like CanJet, a Nova Scotian company, destroyed. In more recent weeks we have seen Canada 3000 destroyed by the predatory trade and pricing practices of Air Canada. Historically we could go back even further.
Instead of using business practices to strengthen its profitability, Air Canada has focused on market domination not just to the detriment of the Canadian air traveller and individual Canadians but ultimately to the detriment of its own company. Air Canada has not focused on strengthening its profit position. It has focused on market domination to the detriment of both the Canadian traveller and ultimately Air Canada's shareholders.
Clearly we need to strengthen and amend the Competition Act to ensure that cease and desist orders can be placed and enforced immediately. We need to impose multi-million dollar fines on companies like Air Canada that choose to pursue predatory pricing practices and destroy competition unfairly.
An interesting poll was done recently of Canadian corporate leaders. Rarely have we seen Canadian corporate leaders supporting greater levels of government intervention.
When polled about the need to have a more functional Competition Bureau and more functional policies under the Competition Act, Canadian corporate leaders pointed to Air Canada and said clearly that government must have a more active role in Canadian airlines if we are to ultimately have competition that will benefit individual Canadian travellers and Canadian business.
I assume part of that comes from the fact that many Canadian corporate leaders are frequent travellers. They can attest to the near toxic levels of arrogance emanating from the CEO of Air Canada, the boardrooms of Air Canada and the policies of Air Canada, as can any of us. Its policies effectively say that if any company anywhere in Canada has the gumption to stand up against Air Canada it has the God given right to run that company into the ground.
The government has failed to create a more competitive environment. It has failed to give Canadians the security in air travel that they deserve.
Clearly we need to radically improve our Competition Act. We need strong amendments. The best place to find the impact of weak competition laws and a virtually unenforceable Competition Act is the airline industry. For years the government has claimed to be trying to deliver a more competitive environment for air travel in Canada. It has failed not because it has not put enough money into the airline industry. It has failed because it did not address issues in the Competition Act and amend it far earlier, as it should have done.
If the government had acted earlier to amend the Competition Act and give the Competition Bureau teeth to make the rules enforceable we would still have companies like CanJet providing a wider range of services at more competitive rates between Atlantic Canadian destinations and other parts of the country.
In Canada we have seen companies like WestJet survive and do fairly well against all odds. It is a miracle for an independent airline in Canada to compete against Air Canada and succeed. WestJet is the exception to the rule. I commend WestJet on the fact that it has remained competitive with Air Canada.
However where WestJet has succeeded against Air Canada many others have failed. They have done so not because they were poorly run airlines. If poorly run airlines failed in Canada, Air Canada would have failed a long time ago. They have failed because Air Canada has continued to abuse the principles of the Competition Act and dodge the bullet every time. They have failed because we have not given the Competition Bureau the teeth to enforce the rules that would have protected competitors and ultimately provided a better, more competitive and value oriented marketplace for Canadian air travellers.
I commend the hon. member for Pickering--Ajax--Uxbridge for his continued attention to some of the deficits in our competition policy. He should realize there is a great deal of support on this side of the House for strengthening competition policy in Canada such that our marketplace continues to be a vibrant one that ultimately delivers the best possible services on an ongoing basis to Canadian consumers whether they are airline travellers, purchasers or consumers of petroleum products.
I have not always supported every initiative the hon. member has promoted in terms of competition policy, but I agree with the general thrust and direction of his initiative in terms of creating a greater level of competition and, ultimately, better goods and services at more competitive prices for all Canadians.