Mr. Speaker, the territories have already become leaders in climate change adaption because of the front-line impact they have already had to experience. It is irresponsible to now ask them to do more when our northern communities are facing many economic and environmental challenges.
According to the Mining Association of Canada, a typical Canadian mine spends about 30% of its annual budget on energy, and thus the impact of the federal carbon price will hit northern mines the hardest. The sole source of power for these northern mines is fossil fuels, and let us not forget as well the thousands of tonnes of resources that must be flown in just to start operations on these mines.
The election of Donald Trump south of the border means that mining operations in places like Alaska and Montana will not be paying an uncompetitive carbon tax but will instead be thriving on a lower tax agenda. How can we expect to help the economy if we bring in an uncompetitive carbon tax that simply encourages mining companies to take investments and jobs outside of Canada?
I should note that we have some of the strictest environmental regulations in the world. Let us talk about the oil and gas moratorium. Just a number of weeks ago, the Premier of the Northwest Territories, Bob McLeod, told the Arctic Oil & Gas Symposium that the five-year ban on Arctic drilling in the Beaufort Sea has created a no-win situation for his territory's plan to develop a strong resource economy. The same has happened all across the Canadian north.
For years, our northern territories have negotiated in good faith to have the power to make their own decisions when it comes to their natural resources, and the Prime Minister has failed on his promise to be a partner of our northern communities. Instead, he has forced an agreement upon them that will leave hundreds of billions of dollars of oil and gas in the ground, and thousands of potential good-paying jobs off the table.
The mining industry is at the heart of the economic opportunity for many residents in the north. The majority of project requests will be tied up, slowed down, and ultimately ruined by this legislation, which will impact investments in this industry. The suggestion that such a policy will benefit the Yukon reveals just how out of touch the Liberals are with our northern communities.
Bill C-17 is taking away northern independence. The Liberal promise to simply repeal the controversial sections in Bill S-6is another example of how they made promises without any consideration for the consequences. There could have been an opportunity to find a solution that addressed everyone's concerns while supporting economic development in Yukon, but instead Liberals are using the blunt instrument of repeal.
The people of the Yukon have the right to determine their own policies on natural resource development, rather than having a federal government restrict their opportunities for economic development. The Liberal government is shutting out the potential for many jobs in the natural resource sector that could be created from diverse private investment in the Yukon and all of Canada's northern regions.
Bill C-17 introduces uncertainty into the resource development review process, which will undermine economic opportunities for all Yukoners as well as create uncertainties for the rest of Canada about whether this will form the basis of the Liberal approach in the future.
Bill C-17 is detrimental to the independence of our northern communities, as it takes the devolution of regulatory power away from the territorial government, as was introduced by Bill S-6, and returns it to the hands of the federal minister. The Liberal minister from Toronto cannot know the reality on the ground in the same way as the people who live it every day. The power of Yukoners to decide what is best for their economy is being taken away and dictated by Ottawa.
Canada is a country rich in natural resources, and these resources contribute greatly to the country's economy and the economy of the Yukon, increasing opportunities for all Canadians. Such avenues for development should especially be pursued in the current economy climate, but the Liberals would rather create additional levels of bureaucracy and an uncertain future, to the detriment of all Canadians.
Now we have uncertainty in the review process. By introducing a limitless environmental review process and mandating continued project reassessment, the Liberals are sending a clear message that they will not support resource development in Canada's north.
The removal of time limits and the option for exempting renewal, on the other hand, fits well with the ongoing narrative that the Liberals are introducing unnecessary delays and uncertainty into our regulatory process.
Additionally, we can make the point that this change puts Yukon at a competitive disadvantage with the rest of Canada for attracting private investment. Private companies will take their investments elsewhere and the people of Yukon will not be able to experience the benefits of an expanding economy, while the Liberals continue their spending spree and ignore the ballooning deficit. This problem will only be increased as the Liberals create increasing uncertainty throughout the country with regard to a review process, sending a clear message to industry that Canada is not interested in pursuing natural resource development.
This will have an impact on the economy. The economy in the north is suffering enough as it is. We do not need the Liberals chasing away investments. Jobs are getting harder to come by in the north. Instead of encouraging investment in resource development and creating more jobs, the Liberals are developing a larger bureaucracy and eliminating opportunity. The government is so caught up in its own concerns for expanding the environmental bureaucracy that it has forgotten the people of Yukon who are struggling just to make ends meet because of a bad economy. The Liberals are stacking the deck against hard-working Canadians who are trying to provide for their families.
According to Statistics Canada annual estimate of mineral production, the Yukon territory has seen a decline of the dollar amount from mining activities for all but one of the past six years. Since 2012, the amount of money brought into the territories from mining production has decreased by a staggering 25%. By increasing the barriers of entry, by putting not a firm end date on environmental assessments, and through increasing operation costs with their carbon tax grab scheme, it is clear that the Liberals do not care about the economic future of Yukon.
If the decline in the actual value of minerals does not raise alarms about the negative impacts of these policies, a more staggering fact is the extreme decline in new investments. Since the Liberals took power just two years ago, Stats Canada reported that the actual investment in mining in Yukon had decreased by over 42%, or an equivalent of $80 million.
Bill C-17 is also an example of the Liberals thinking they know best for the territories. The people of Yukon should be the ones to decide whether extra environmental regulations are necessary as it is their economy that is being affected.
In Yukon one of the biggest problems is the fact that so many residents rely on the government to provide employment instead of a strong private sector. The fact that the Liberals are putting up so many barriers for private sector job creation with a bill like Bill C-17 seems like a personal attack on those trying to find jobs in Yukon. The bill, along with the carbon tax scheme the Liberals are forcing on to the provinces and territories, looks as if the government has a vendetta against any economic growth in the north.
I went to Yukon to meet with stakeholders about the bill. They were not impressed. One of the reasons they were not impressed is because the Yukon mining industry was struggling to survive. Although mining has always represented a huge share of the Yukon's economy, in recent years there has been a steep decline in the amount of open mines. This has taken millions out of the economy and thousands of jobs.
As of today, there is only one mine open and producing in Yukon, the Minto copper mine. I visited this mine with my colleague, the MP for Lakeland, to get a tour of the operation and was told that the operation was heavily dependent on the price of copper. With such low prices, the future is always uncertain. Adding more red tape to a struggling operation will not help anyone.
The Conservative Party's position has been to streamline and harmonize regulatory regimes across Canada in order to promote investor confidence, provide consistency and transparency, and increase efficiency in regulatory regimes. The economy of Yukon and all the north needs more development and investment and it needs to be put back in the hands of the people who understand it best. To think otherwise would be ignorant. Canada cannot continue on this uncertain path of unnecessary bureaucratic red tape that only serves to turn away private investment and cut jobs.
The north, being so rich in its natural and human resources, has the potential to be a powerhouse of industry in the country, but the Liberals want to keep resources in the ground and deny economic opportunity to millions of Canadians.
Bill C-17 is a knife in the heart of the northern economy and just one example of how the Liberals are taking away any provincial self-determination, creating uncertainty in regulations, and continually desecrating Canada's economic well-being.
I move:
That the motion be amended by deleting all the words after the word “That” and substituting the following: “Bill C-17, An Act to amend the Yukon Environmental and Socio-economic Assessment Act and to make a consequential amendment to another Act, be not now read a second time but that the order be discharged, the bill withdrawn and the subject matter thereof referred to the Standing Committee on Indigenous and Northern Affairs.”