Mr. Speaker, I am pleased to have the opportunity to add my voice in support of Bill C-5.
All members of the House know that nuclear energy is important to Canada's energy supply. Three provinces produce electricity from nuclear power. Ontario, Quebec and New Brunswick have safely used nuclear power for many years in their energy mix.
Nuclear power contributes 15% of Canada's electrical generation. Fifty per cent of Ontario's energy needs is nuclear. Nuclear is a clean greenhouse gas emissions-free technology and it is part of our energy security. It is also extremely important to our commitment to reduce greenhouse gases in Canada.
The debate should not be about alarming people, but the NDP seems to have taken that position. It should be about assuring Canadians that our energy future is safe and secure. We have generated electricity in Canada using nuclear power for more than 30 years, and we have done it safely and without mishap.
We fully expect that the nuclear industry's fine safety record in Canada will continue for many more generations and as technology improves, so should safety. As my colleague just pointed out, it has been 40 years since the debate begun on the issue of nuclear liability and the Nuclear Liability Act and has represented several generations of nuclear technology. It is time to update this act.
The government is also being realistic and responsible in its treatment of nuclear power. In the unlikely event that there should ever be a problem, we intend to be properly prepared to help Canadians. This is an important reason why the liability legislation is now being modernized.
The 1976 Nuclear Liability Act established a compensation and civil liability insurance framework to address damages resulting from a nuclear accident. It applies to Canadian nuclear facilities, such as nuclear power plants, nuclear research reactors, fuel processing plants and facilities for managing used nuclear fuel. The proposed nuclear liability and compensation act improves the claim compensation process for potential victims and requires nuclear plant operators to maintain financial security sufficient to cover potential liability.
We are modernizing Canada's nuclear liability legislation to give us nuclear legislation comparable to that of other western countries. We believe that Canadians deserve that protection.
The proposed new legislation will increase the amount of compensation available to address civil damage, broaden the number of categories for which compensation may be sought and improve the procedures for delivering that compensation.
The monetary limit in the proposed legislation for operator third party liability has been increased to $650 million from $75 million in the present act. Under Bill C-5, the operators will be required to carry at least $650 million in financial security to cover potential liability. This is in line with current international standards.
It is important that I correct something the NDP has been saying this morning and the impression it has been leaving.
In the United States individual operators are responsible for a limit that is very similar to what we are proposing in Canada. They are required to carry $330 million in primary insurance on their individual operations and $100 million secondary coverage for each reactor on the site. Therefore, the $650 million is within the range of what is happening in the United States.
The government is also prepared, through the legislation, to provide coverage for certain risks for which there is no insurance and it will cover smaller facilities through an arrangement with approved insurers. Under proposed Bill C-5, claims for compensation will be pursued through the operator and the insurer and such claims may be settled through the courts and a tribunal system, which we will establish through the bill. As I mentioned, the bill provides for an administrative regime, a nuclear claims tribunal, if deemed necessary by the government.
Since the Nuclear Fuel Waste Act was passed in 2002, almost $1 billion has been invested in trust funds by nuclear energy corporations for eventual use for the long term management of used nuclear fuel. When combined with modernized legislation, Canadians can be assured that the operators of Canada's nuclear facilities will be able to meet all of the financial costs associated with both long term waste management and potential liability. Unlike some industries, Canada's nuclear operators manage the effects of their own nuclear operations. This should address some of the concerns the Bloc has had on this issue.
Modernizing the legislation will ensure the highest standards for nuclear power in Canada. The new bill reflects the Government of Canada's commitment to taking clear and decisive steps to protect the well-being of Canadians and our future needs for power.
Our discussion today has focused on the issues of liability and compensation, but I want to assure Canadians that the emphasis on insurance does not mean we have become somehow more vulnerable. The fact is a Chernobyl type accident is not possible at a Canadian nuclear power plant. This has been the conclusion of a number of studies made of Canadian reactors to assess the degree of risk associated with their use. My colleague from Edmonton Centre mentioned two of these studies earlier this morning to make that point.
We have a number of inherent safety factors built into Canadian nuclear power plants, safeguards that would prevent the significant off site release of radioactive material.
Dr. Kenneth Hare was commissioner of an Ontario ministry of energy study. He said:
—if a shut-down system with the capability of a CANDU shut-down system had been available to the operator of the Chernobyl reactor, the accident would not have occurred.
The government is acting responsibly in regulating Canada's nuclear industry. Nuclear energy is vital to Canada's economic and environmental well-being. It is a clean emissions free technology and it will add substantially to our collective efforts to reduce greenhouse gases.
Bill C-5 would create the legislative infrastructure for the orderly development of this energy source to benefit all Canadians. The bill merits our support and I look forward to the support of the other parties in the House.