Debates of March 22nd, 2022

Opposition Motion—Tax Reduction on Gasoline and Diesel

[The Deputy Speaker, Conservative, Chris d'Entremont]

We are descending a bit into debate.

The hon. member for Timmins—James Bay.

[Charlie Angus, NDP, Timmins—James Bay, ON]

Mr. Speaker, I was fascinated to see the member read his resumé, but I am not really sure what the point was. It is nice to hear from the member in the backbench once in six months with his resumé, but was there a question pointed at me? I did not hear anything.

[The Deputy Speaker, Conservative, Chris d'Entremont]

We have descended far too far and I have let this go on far too long. I believe we have gotten into too much debate on this issue. I do not think that is a point of order, but I do give opportunity to the members to rephrase things if they need to.

I do not see anyone standing to try to rephrase, so we will move on to the member for Northumberland—Peterborough South.

[Philip Lawrence, Conservative, Northumberland—Peterborough South, ON]

Mr. Speaker, it is my great privilege to split my time with the member for Louis-Saint-Laurent, and I thank him for his work in his constituency.

Perhaps people are excited. We should be generous with the other members, and perhaps the member for Timmins—James Bay was just excited about his new cabinet position in the coalition. I look forward to his testimony and discussion of the WE scandal and other things in the coalition. It will be quite riveting testimony from the member.

Today, I rise on behalf of the hard-working people of Northumberland—Peterborough South who are struggling every day just to get by. Across our country, we are facing a cost of living crisis from coast to coast. The number of Canadians who are struggling to fill the gas tanks in their cars, who are struggling to finish off this heating season in a cold spring, and who are struggling to put food on their tables is getting larger and larger. More Canadians are struggling and unfortunately, in my beautiful riding of Northumberland—Peterborough South, we are not immune to this crisis.

What is the government's suggestion or solution to this? It may very well be, with coalition partners, to foist one of the largest tax increases in history on Canadians. Let me explain. When a government prints money to spend, prices increase. The more that the government has to print money, the more it spends. It just keeps going. It is a cycle. The government keeps spending money and printing money. That drives down the value of money. Everything costs more, from our houses to our cars to buying groceries. It is driving down money. Inflation has a real effect, just as taxes do. That $10 we had in our jeans is now worth $8. It is exactly the same as if taxes were increased by 20% when we have inflation that has increased over the last couple of years to 20%. It is the same impact. This is indeed an inflation tax.

We see the evidence everywhere. Not since 1991 have we seen inflation at this rate of 5.7%. Everyone's paycheque is going down 5% per year. People have been given a pay decrease of 5%, and that is shocking. Things were not good before. The last seven years have been tough on Canadians. Just last year, over 53% of Canadians said they were within $200 of insolvency. The government's solution is more inflation, or “Justinflation”.

We have, year over year, increasing grocery bills of an additional $1,000. The members of the House can probably all afford that. The many productive, upper-middle-class and wealthy individuals can afford it, but it hurts the single mother in Orono who is working every day to pay for her children's future education and put food on the table. She has gone to work every day on the front line during the pandemic making minimum wage and now is struggling to fill up her car. She would probably love an electric vehicle, as many Canadians would, but increasingly now many more do not have $100,000 for an electric vehicle.

We can take the approach of “let them eat cake” and ask why do they not just buy an electric vehicle. It is unreasonable. The modern incarnation of “let them eat cake” is to say, “Go and buy that EV,” to someone who cannot afford $100 to put in their gas tank.

When we add the inflation tax to the carbon tax, we get a particularly nefarious combination. I had the opportunity to ask the Governor of the Bank of Canada about the impact of the carbon tax. It was strange to me that the Governor of the Bank of Canada did not know the answer to a relatively simple question when I asked what the inflationary impact was of the carbon tax. He did not have an answer, but he was kind enough to write a response. In that, he ascribed nearly 10% of the inflation we are experiencing to the carbon tax.

Once again, the government is tone-deaf to the needs of the people of Northumberland—Peterborough South. Its response is not to maybe pause the carbon tax or even pause the increase on the carbon tax, because the goal of the carbon tax is to make gasoline more expensive so that we look at other solutions. That goal is accomplished, guys.

People cannot afford gasoline and they cannot afford an EV, so the government is driving people into poverty. Why not just pause the increase to the carbon tax? The prices of gasoline and diesel have already increased. That goal has been accomplished. At this point it is just punitive.

There are many, including those in rural Canada, who just do not have that alternative, including in my riding and elsewhere in rural parts of Canada. I invite those in urban ridings to come to my riding and meet the great folks of Northumberland—Peterborough South. I invite them to come and meet the soccer mom who puts gas in her SUV to take her kids to soccer practice, and tell her “No, you cannot do that.” They could meet the factory workers who are making a reasonable dollar but are still struggling to get by because of the carbon tax and the inflation tax. I invite them to come and tell them that they cannot put gas in their cars and cannot go to work, because that is what the government is saying to them.

I want the government to think hard about that and the impact it is having on rural Canada. I want it to think about the farmers out there who are paying tens of thousands of dollars in carbon tax every single year. We will be more reliant on Canadian farmers, not just in this country but around the world, given what is going on in Ukraine. We will be dependent on them, and what are we doing to them? We are making them pay tens of thousands of dollars in carbon tax.

It is not because farmers do not want to fight climate change. They do, but there just are not alternatives. We heard testimony in the Standing Committee on Agriculture and Agri-Food that there just are not alternatives to things such as drying grain and heating barns, so farmers are reliant on fossil fuels.

The government is not driving people to fight climate change. In fact, it is driving them away from fighting climate change because they cannot invest in the innovation and the technology they need. The exact opposite of what it wants to happen is happening.

Let me talk about what the opposition motion is. The opposition motion starts by acknowledging that we are in an affordability a crisis: We are in a financial challenge as a country and Canadians are struggling to get by. Then it says that Canadians should be given a bit of a break. They are going through a lot with the opioid crisis, the housing crisis and now an affordability crisis. It says that we should reach out our hands and give them a 5% break on the gasoline and diesel they need to put in their cars to drive their kids to school, to go to work and to build our country. To me, this is entirely reasonable and it is a break Canadians need.

In conclusion, Canadians have had a tough go over the last two years. It has become increasingly challenging for people to buy a home. There are 20-year-olds and 30-year-olds who have good jobs and did everything they were told to do. They went to school, got a trade and worked hard. They have done everything asked of them, but they still cannot afford a house.

The pensioners, the seniors, who gave their lives building this country can now barely afford to buy groceries. Their prosperity and the prosperity of our country is being undermined by this coalition's dedication to the inflation tax and the carbon tax.

We need to return to making Canada affordable again. We need to return to prosperity. Right now, we need to give Canadians a break, and that is why I am proud to vote for the opposition motion.

[Kevin Lamoureux, Liberal, Parliamentary Secretary to the Leader of the Government in the House of Commons]

Mr. Speaker, the member talked a great deal about the carbon tax. It is hard to say exactly where the Conservative Party is on the carbon tax. There was a time in which, speech after speech, Conservatives would stand up and say that they would get rid of the carbon tax completely. Then they had a flip-flop in position prior to the last election, where they told Canadians they did not want to get rid of the carbon tax and in fact wanted a new and improved carbon tax.

Can the member enlighten Canadians about what his personal position is on a price on pollution? Does he believe there should be a price on pollution?

[Philip Lawrence, Conservative, Northumberland—Peterborough South, ON]

Mr. Speaker, I thank the member for his lengthy service in the House and have appreciated many times his comments.

I will tell him that what I know for sure is that Canadians are struggling, that they are in pain and that now is not the time to increase the carbon tax. I believe climate change is real. I believe it is a fight worth fighting and one that Canada can win, but I do not believe that should come on the backs of Canadians who are struggling every day to work hard to build this country.

[Andréanne Larouche, Bloc, Shefford, QC]

Mr. Speaker, I thank my colleague for his speech.

He talked about farmers, saying that they want to contribute to the environment, not harm it, but they cannot afford to do that.

Instead of continuing to supply them with oil, what does he think about helping our farmers to be part of the solution by promoting good practices and investing in greener measures?

Speaking of helping farmers turn to more renewable resources, why not stop investing in pipelines and oil? Why not instead move toward something greener, initiatives like the one on wood put in place by colleagues from the regions, including the member for Jonquière, so that energy sources are much greener and more renewable?

Transferring the money to other areas of research and development could help with that transition.

[Philip Lawrence, Conservative, Northumberland—Peterborough South, ON]

Mr. Speaker, with respect to farmers and the investment in our agriculture, I think often the best solution the government can offer is to get the heck out of the way. Farmers want to invest in climate change. The reality is that, with the inflation tax, the carbon tax, the income tax, the sales tax and the property tax, farmers simply do not have the money to do it because it is all coming to Ottawa. If we return that money to the farmers and allow them to keep it, they will make the investment because they are the stewards of the land. They will protect our land. They will protect our environment. They will fight climate change. We just need to get the heck out of the way.

[Taylor Bachrach, NDP, Skeena—Bulkley Valley, BC]

Mr. Speaker, I certainly agree with the member that there are so many people in our country who are struggling with the cost of living. The Conservative motion really focuses on people who use diesel and gasoline, who admittedly are a large portion of the population, but many of the people who are struggling the most with affordability are people who do not drive. They are people who are living in poverty, people working minimum-wage jobs or seniors who are not able to drive for a whole host of different reasons. Those people are also struggling with the cost of living, in many ways more than the rest of the population.

Why did my hon. colleague's party not put forward or craft a mechanism that would more broadly help people who are struggling with the cost of living?

[Philip Lawrence, Conservative, Northumberland—Peterborough South, ON]

Mr. Speaker, there are two responses I would have to that. One is that energy grounds all of us and it affects all of us, so when we reduce the cost of energy in gasoline and diesel, it reduces the costs throughout. One of the greatest achievements of mankind is bringing people out of poverty. One of the keys to bringing people out of poverty, and this is just economics, is cheap energy. When we reduce the cost of energy, we give everyone a better chance.

However, if the NDP wants to sit down and talk about tax relief, my office is open any time and any place. I am more than willing to have that conversation. We can reduce income tax, sales tax or whatever they want. We are in the business of reducing taxes and the burden on Canadians.

[Gérard Deltell, Conservative, Louis-Saint-Laurent, QC]

Mr. Speaker, I am pleased to rise today after a two-week adjournment, which my colleagues and I spent in our respective ridings.

As the saying goes, just because we are in our ridings does not mean we are not working. Some people think we are off duty, but nothing could be further from the truth. It is in our ridings that we have the pleasure, the opportunity, the privilege and the duty to meet the people we represent here in the House of Commons and to speak directly with them. We are first and foremost the representatives of our constituents, no matter who they voted for.

Over the past two weeks, I met and talked with hundreds of Louis-Saint-Laurent residents at charity and community events, restaurants, cafés and gas stations. One issue that affects them directly, along with people in all ridings in Canada, is inflation.

Here we are with inflation at a 30-year high of 5.7%. Some members of the House were not even born the last time the inflation rate was this high.

Inflation affects everyone. It affects people who have to buy groceries and realize that putting food on the table costs a lot more, around $1,000 more per year for a family. Buying fruits, vegetables and meats can cost 10% to 15% more than last year.

Inflation is hitting housing even harder because of the housing bubble our country is currently contending with and prices that have gone up over 29% in the past year.

Inflation affects everyone, but it comes as no surprise. It did not show up on the weekend or two weeks ago while we were in our ridings. Inflation reared its ugly head many months ago and is not going away anytime soon. It is actually gaining momentum, not losing it.

This is not the first time we are addressing this issue here in the House of Commons. A few weeks ago, I asked the Deputy Prime Minister and Minister of Finance what she planned to do to help Canadian families struggling with inflation.

If there is someone powerful in cabinet right now, it is the Deputy Prime Minister. We will see how things go, but, today, she is especially powerful in her capacity as Minister of Finance, since she has full control over the economic levers that can help and not harm Canadian families.

The Deputy Prime Minister and Minister of Finance answered that, according to the IMF, Canada has the second-highest growth rate among the G7 countries. That will certainly not help people who are having a hard time buying groceries today. The IMF says that things are going well: That is great for the IMF, but not so great for people buying their groceries.

What did she say next? She said that Canada was doing well, since its real GDP has grown by 0.6%. That is outstanding, and it will certainly put more food in Canadians’ grocery baskets, right? I do not know where she found that concept of the real GDP, but I did not find anything like it at the supermarket this weekend. The people I meet never talk about the real GDP, except the Deputy Prime Minister and Minister of Finance.

She is totally disconnected, but she is still very influential right now. We will see how things play out.

What did she say next? She said that we should not worry, that other countries are also facing inflation, and that the situation is worse in the United States. It is unbelievable that she would compare us with the worst case. The Conservatives and all Canadians worth their salt want to compare themselves with the best, not the worst.

Telling Mrs. Tremblay that she should not worry and that there is no problem because the situation is worse in the United States will certainly not help her do her shopping. It will not add any food to Canadians’ grocery basket. However, that is what the Liberal government has to say about inflation.

That is why we propose temporarily eliminating the GST in the fuel sector. I will explain why we chose this approach.

First of all, who benefits the most from high inflation? Unfortunately, the government does. I say “unfortunately” because it is unfortunate that the government benefits when inflation goes up. Indeed, when prices go up, revenues also go up. Of course, the tax is still 5%, but when people pay $20 for something today that cost $15 last year, that generates more tax. The one who benefits is the government, because the government increases its revenues with inflation. That is exactly what is happening right now.

That is why our motion uses the word “temporary”. At a time when we are in an inflationary spiral and the government is receiving millions in tax dollars because inflation is high, prices are high and more money is being collected, our temporary measure is meant to give Canadian families a little breathing room. We want to reduce the gas tax to zero, essentially eliminating it temporarily.

Why are we targeting that sector?

First, it is important to know that the gas tax brings in $3.5 billion for the government, generally speaking. That is the amount of money that will stay in the pockets of Canadian families. Let me be clear. Canadians know best how to manage their money. It is up to them to keep that money in their pockets and make the choices that are right for them, rather than paying a tax and giving that money to the government. Indeed, the tax increases when inflation rises.

Some people live in an area where they do not need to use their car. They do not need to drive anywhere. We can understand that. However, not everyone is in that situation.

I will paraphrase my friend from Louis-Hébert, who made an extraordinary statement a month ago about how we must be aware of the fact that not all Canadians are at the same level, but that everyone must be heard, listened to and, above all, respected. As he said so well, not everyone can earn a living on a MacBook at a cottage. That is the reality. He sharply criticized his own government in an extraordinary statement in which he repeated almost word for word what the Conservatives were saying. Unfortunately, two weeks later, he voted with his government. He will live with his decisions.

That is why we believe that temporarily removing the GST on gas is the right thing to do. Yes, that directly affects families and workers who must travel. However, we must stop thinking that the gas tax pertains only to the gas that we put in our vehicles. This gas tax has a much greater impact.

Do we think that the fruits and vegetables we buy at the grocery store just fall from the sky? Of course not. Food is not processed and transported from one place to another just by blinking as Jeannie did. Likely it is transported by gas-powered vehicles. That is why the impact of the GST on gas does not just affect those who fill up their big pickup with gas. It affects all Canadian families, especially the poorest among us, who we must respect.

In our view, this is the best measure. Now, what does the government plan on doing? First, which government are we talking about? Are we talking about the government that was duly elected about six months ago or the new NDP-Liberal government, which was just put into our Constitution? If that is the case, watch out dude, it is not going to be pretty.

What we have learned this morning is that now we have a brand new government in this country.

Did you vote, Mr. Speaker? I did not either. Canadians did not go to the polls, yet we learned this morning about a new NDP-Liberal government.

Who would have thought? Certainly not some of the current government ministers I saw this morning who did not seem to be in a good mood. Maybe they woke up on the wrong side of the bed or forgot to put sugar in their coffee. What I can say is that it is not party time for everyone on the other side. I say that, but we will see. Things are just getting started.

I am being sarcastic here, but I should not be. This is very bad news for Canadians, because although 80% of them did not vote for the NDP, both the NDP and the Liberals now have their hands on the wheel, or, at least, there is one big NDP hand on the wheel. This will unfortunately mean more taxes, more spending, more debt and more deficits.

The Conservatives are thinking about Canadian families. We are thinking about Canadians' wallets. We want to help Canadians directly, which is why we are proposing that the government temporarily stop collecting GST on gas.

[Kevin Lamoureux, Liberal, Parliamentary Secretary to the Leader of the Government in the House of Commons]

Mr. Speaker, I wonder if my friend could provide his thoughts regarding the impact of the motion with respect to the province of Quebec. Is the Conservative Party trying, through this motion, to instruct the province of Quebec to reduce a tax?

I would be very much interested in his thoughts.

[Gérard Deltell, Conservative, Louis-Saint-Laurent, QC]

Mr. Speaker, that was a great question. A great answer would be, “No.”

Why? It is because we are talking about the GST. We are not talking about the Quebec sales tax.

Why do we have that term in our motion? This is a great question from my colleague. I asked my friends the same question. I asked why we had that in our motion. It is because, when we talked to Revenue Canada, it was explained to us that when we are talking about the GST, we are also talking about the Quebec sales tax. It is to be respectful because, on this side of the House, we do respect the rules and the laws.

To be respectful of the law, we have to include everything, but specifically we are addressing the GST. I can assure everybody, the Conservatives will not interfere with the provincial jurisdiction, compared to the new NDP-Liberal government.

[Mario Simard, Bloc, Jonquière, QC]

Mr. Speaker, I am not sure that the English-speaking colleagues of my colleague from Louis-Saint-Laurent are as nuanced in their arguments. In short, let us ignore the convoluted explanation.

My colleague from Louis-Saint-Laurent said that inflation benefits the government. In this context and in the case of the oil and gas sector, inflation does not benefit the government; it benefits the oil companies.

Between 2021 and 2022, the price of a barrel of oil rose from $1.15 to $4.40. There was a profit, and the oil companies got the lion’s share. The oil companies are the ones with their hands in taxpayers’ wallets.

We are proposing to the Conservatives that special measures be put in place to ensure that oil companies pay their share. We must keep in mind that year after year, these companies receive the lion’s share of federal government funding. They are therefore double dipping into public funds, both directly at the pump, from taxpayers’ pockets, and through their taxation, by the financial support provided by the federal government.

The hon. member for Louis-Saint-Laurent said that they would cut taxes for the benefit of the oil companies. That is absolutely deplorable.

[Gérard Deltell, Conservative, Louis-Saint-Laurent, QC]

Madam Speaker, what is deplorable is being unable to understand a totally logical explanation that falls under the law as defined. It is not convoluted, these are the laws and regulations we follow. That is exactly what we did.

What is deplorable is to forget the fact that I clearly said that governments are among those who do benefit. Unfortunately, facts can be stubborn. When prices rise, the tax and revenues stay at 5%. If prices rise, that increases government revenues. That is basic math. Since rising prices increase government revenues, we need to use this money to help taxpayers, which further increases revenues.

In conclusion, as long as we need so-called fossil fuels, I will always be the greatest champion of Canadian energies.

[Alexandre Boulerice, NDP, Rosemont—La Petite-Patrie, QC]

Madam Speaker, I would like to thank my colleague for his speech.

Fossil fuels are not “so-called” fossil fuels. They are simply fossil fuels. Although I share my colleague’s analysis of the situation, I unfortunately do not agree with his conclusion and the solution the Conservatives want to apply.

Obviously, they do not want to touch the oil companies’ profits. These profits are sacrosanct, and we cannot touch them.

However, I wonder why the Conservatives refused the NDP’s amendment, which would have provided Canadians with assistance for residential heating, regardless of the source. That would have gone much further than simply dealing with the price of gas, which is a real problem. It could have helped all the families struggling with the increase in the cost of living, including the price of groceries.

[Gérard Deltell, Conservative, Louis-Saint-Laurent, QC]

Madam Speaker, I am also disheartened to see that my NDP colleague has come to conclusion to vote against abolishing a tax. It is too bad, but unfortunately that is what we can come to expect over the next few weeks, the next few months, and, unfortunately, the next few years.

Until October 2025, we have a new government, one that was not elected but magically showed up all of a sudden last night, or last evening, or possibly this morning, it is hard to say. According to the announcement made, we have an NDP-Liberal government. This will be interesting to watch, but it will not be good for Canadian taxpayers, since we are already seeing that the NDP is against lowering taxes and the current Liberal-NDP government is also against lowering taxes. Unfortunately, the best way to help Canadians directly is to lower taxes.

[Kevin Lamoureux, Liberal, Parliamentary Secretary to the Leader of the Government in the House of Commons]

Madam Speaker, I will be splitting my time with the member for Davenport.

I want to take this opportunity to share some thoughts with members on my basic understanding. I can honestly say that the issue of the price on gas has always been of interest to me, since I was a 12-year-old young man pumping gas at Turbo for 51¢ a gallon. Members can do the math to figure out the cost per litre; it would have been a whole lot cheaper.

Ever since then, and this goes back to the 1970s, it has been about supply and demand. I can recall being at the station and there would be lineups of cars because of the fear that the earth was running out of fossil fuels. At least, that was one of the conspiracies that were talked about back then, when I was but a 12-year-old young man. Today we are again talking about the price of fuel. We have seen dramatic increases in fuel prices.

It is fair to say that we have to put it in the context of time. With respect to what is happening in Europe and the horrors that are taking place in Ukraine today, and we have to just turn on the news to get a very good sense of some of the horrors I am talking about, this House has unanimously recognized that what is happening in Ukraine is wrong. We have recongnized how offensive the Russian government, in particular President Putin, has been. At the end of the day, there has been a cost. We are starting to see that cost first-hand at our pumps as the world demand for oil is somewhat in turmoil today.

We have seen the government, in particular the minister of industry, come forward to talk about the Competition Bureau. The Competition Bureau has been notified in the strongest way to monitor the price of fuel and to act wherever it can on the whole issue of collusion and how oil companies might be jacking up the prices, which would affect all of our constituents. We are very much aware of the issue.

The Conservative Party, through an opposition motion, has taken it to another level and another step. The Conservatives are saying, let us reduce the tax on the price of a litre of gasoline. I have a bit of a problem with that. I understand the value of general revenues overall to our national governments and provincial governments. They are what enable us to provide the many different social programs that we have been providing throughout the years. The Conservative Party are saying to do this on a temporary basis. The Conservatives have not given any explanation of what they mean by temporary.

However, I posed a question earlier. We have Progressive Conservative or Conservative governments in Alberta, Saskatchewan, Manitoba and Ontario. I asked which one of those Conservative governments has actually reduced the price of a litre of gas by reducing their tax on gasoline. To the best of my knowledge, that has not taken place. It has not taken place because, at the end of the day, I suspect the concern is the overall pricing of gasoline and what we can do to ensure gouging is not taking place at our pumps. The different levels of government do have a role to play. As I pointed out, for us it is through the Competition Bureau, which is monitoring the situation.

Inflation is something we take very seriously. If we look at the Liberal Party of Canada's agenda on the issue of inflation, from the 2015 election all the way to today, we will see that from day one we have been very progressive in our thinking and in being there to support Canadians.

In yesterday's debate I made reference to the tax breaks for Canada's middle class and pointed out how the Conservative Party voted against those tax breaks. However, for the first number of years, the focus of our government was on Canada's middle class and how we could expand the middle class. The results of the policy measures we had in those first few years had a profoundly positive impact. Canada's economy was doing exceptionally well in comparison to other countries around the word, in particular in comparison with the United States and European Union countries.

Then we hit the pandemic, and we saw Canadians come together once again to take on something that was happening around the world. The impact it had on our economy was quite severe. If we look at what we were able to accomplish by working with Canadians and the different types of support programs we brought in to support Canadians, whether it was the CERB or programs for direct support for seniors, people with disabilities, students and just vulnerable people in general, we were there and we had the backs of Canadians through that difficult time. It paid off, just like our first four years of dealing with the middle class did when we generated over a million jobs in those four years up to the pandemic.

If we compare Canada to other countries around the world, whether the U.S. or G20 countries, we did exceptionally well in comparison. Well over 100% of the jobs have returned from prepandemic times. I like to believe it had a lot to do with the government programs that were rolled out. Somewhere in the neighbourhood of 80% to 85% of all new money spent on pandemic relief came from Ottawa to again support Canadians.

Inflation is something that has come up as a major issue over the last couple of years and the government continues to give more attention to it. With respect to making comparisons, we have to put that into perspective with what else is taking place in the world. The speaker before me said we should compare it to the United States. In Canada, our inflation rate is at 5.7% compared to the U.S., which is 7.5%. Then we were criticized as to why we were only comparing it to the U.S.

Let us look at the G20 countries. If we average out the inflation rate of the G20 countries in the world, it is over 6%, which is higher than Canada. For a government, that does not mean there is no room for improvement. There are things we have put in place and have taken action on to ensure we are contributing as much as possible in a positive way to our economy and the growth of our economy. We are trying to minimize some of the negative impacts of inflation. For the Conservative Party to give the impression that there is a huge black cloud over Canada because of inflation is somewhat misleading.

At the end of the day, the government policies we have put in place have done exceptionally well, especially if we compare ourselves to other countries in the world. That does not mean there is not more work to be done. There is a lot more work to be done, such as the presentation of the 2022-23 budget, which I know will be a true reflection of what Canadians believe is the right thing for this time and age.

[Marty Morantz, Conservative, Charleswood—St. James—Assiniboia—Headingley, MB]

Madam Speaker, I thank my fellow Manitoba MP for his thoughtful speech. A quick Google search shows that Maryland and Georgia have cut a 36¢ excise tax on fuel until the end of May. Florida passed a one-month gas tax suspension on a temporary basis. Maine and Washington have introduced similar measures, as have other states.

If these states can all take up this great idea, why will the member's government not do the same?

[Kevin Lamoureux, Liberal, Winnipeg North, MB]

Madam Speaker, one of the comments that I made reference to was the fact that, as my colleague pointed out, we are both from the province of Manitoba with a Progressive Conservative government. We have Progressive Conservative governments in other jurisdictions here in Canada. It is interesting to see that none of them have picked up on this Conservative idea.

There is a fundamental difference I have with many of my Conservative friends, and that is that I understand and appreciate the true value of government expenditures to support Canadians at a time of need. What we have seen in policies is a government that continues to support our vulnerable, investing in our seniors, investing in infrastructure and so much more.

[Martin Champoux, Bloc, Drummond, QC]

Madam Speaker, I congratulate my colleague on his speech. Once again, we see that the Liberal Party can do no wrong. When my colleague is no longer a politician, I recommend that he get a job at an advertising agency, where he will just write ads for the Liberal Party. He would be the best one there.

It might surprise members to hear me say this, but my colleague from Jonquière made some good points. When he spoke earlier, he mentioned Oil Change International. It had released numbers that include not only the subsidies themselves, but also all the support that oil companies in Canada get from the federal government. From 2015 to 2017, that was $111 billion and from 2019 to 2020, it was $78 billion.

The Conservatives' motion today starts with good intentions, namely to reduce the burden for Quebeckers and Canadians and make their lives easier. However, could the federal government take a quick look at the tens of billions of dollars it hands out in various supports to the oil industry and create a fund from which it can draw to redistribute some of the money to Quebeckers and Canadians in these times of crisis?

[Kevin Lamoureux, Liberal, Winnipeg North, MB]

Madam Speaker, one of the things that I do not find difficult at all in terms of being a Liberal member of Parliament is being open, honest and transparent. There are a lot of wonderful things we have done as a government, so it is only natural to talk about those policy actions.

With respect to the issue of subsidies of fossil fuels, which often comes up as a matter of debate inside the chamber, one of the things that we need to recognize is that some of those subsidies go toward assistance for remote regions. I would like to think that all members would recognize the true value of that, at the very least for the short term.

[Alexandre Boulerice, NDP, Rosemont—La Petite-Patrie, QC]

Madam Speaker, I am going to ask a question in the same vein as that from the member for Drummond.

The ones really benefiting from the crisis right now are the oil companies, which are lining their pockets. The Conservatives' solution is to cut government revenues, when we need that money to help people.

Why not go get the money where the money is, specifically in the oil companies' profits, to then be able to help ordinary people who are having a hard time right now?

[Kevin Lamoureux, Liberal, Winnipeg North, MB]

Madam Speaker, I suspect that there are some individuals within the Department of Finance who are much more able-minded than I am in terms of taxation policies and how we could ultimately ensure there is a sense of fairness in taxation. There will be additional revenues coming in as a result, no doubt, of the higher oil prices that these corporations will have to pay. The details of it I do not know offhand.

[Julie Dzerowicz, Liberal, Davenport, ON]

Madam Speaker, it is a true pleasure for me to rise in the House on behalf of the residents of my riding of Davenport to speak on the opposition day motion put forward by the Conservatives that calls on our government to introduce a temporary 5% reduction on gasoline and diesel, whether collected under GST, HST or QST, which would reduce the average price by approximately eight cents per litre.

The federal government is acutely aware that many Canadians are being squeezed by higher prices for gasoline and by elevated inflation in general, but I believe that this motion will not help Canadians. A tax holiday on oil and gas could result in energy companies pocketing the difference in cost. There is no guarantee that savings will pass on to Canadian consumers at the pumps.

Increases in prices for a variety of goods is a global phenomenon, driven by the unprecedented challenge of restarting the world's economy, as well as the instability of global markets as a result of Russia's attack on Ukraine, which has jolted commodity markets with a surge in prices, particularly for oil, natural gas and wheat. Obviously, the most direct impact of the war is on the people of Ukraine. As we have repeatedly said, we remain steadfast in our support for Ukraine and will continue to put pressure on Russia and choke President Putin's ability to fund his unprovoked and illegal act of aggression.

As we know, and as do the members of this venerable House, the federal government has been swift and decisive in its actions, along with Europe, the United States and the United Kingdom, to put in place aggressive sanctions on Russia. Indeed, they are the toughest sanctions ever imposed on a major economy. However, in order to really be effective and in order to really have an impact, we have to be prepared for there to be some adverse consequences for our own economy, which could also affect Canadians' cost of living temporarily.

Along with higher prices for a broad range of commodities, the Russian invasion threatens renewed global supply disruptions, all of which are expected to add upward pressures on prices. The OECD recently estimated, in a special report on the economic and social impacts and policy implications of the war in Ukraine, that global growth could be reduced by over one percentage point over the next year, while global inflation could be 2.5 percentage points higher.

While Canada's natural resource sectors will benefit from higher commodity prices, higher prices will additionally disrupt supply chains and will have significant further impacts on inflation in Canada, including what we are currently seeing at the gas pumps.

The pandemic also remains a threat to global supply chains and inflation with the recent surge in cases in China and another wave beginning in Europe. As global economies have unwound COVID-19-related restrictions and reopened their economies, the price of goods has gone up around the world. Indeed, the Bank of Canada and private sector economists anticipate that inflation may stay higher for somewhat longer than initially expected, but they expect it to ease back toward the 2% target over the next two years as pandemic-related forces fade. As we have always said, restarting the economy is a complex process, and the Canadian and global economies are still feeling the impact of the pandemic.

That said, Canadians should rest assured that when it comes to government benefits and concerns over inflation, the federal government indexes the Canada child benefit to inflation, as well as the Canada pension plan, old age security, the guaranteed income supplement, the goods and services tax credit and other benefits for the most vulnerable people. I am very proud that the key government supports for those most vulnerable in our society are indexed to inflation, so that while inflation will have a huge impact on our society, our most vulnerable are protected. This is not the case in many other countries.

Other measures we have implemented to support Canadians include the cutting of taxes for the middle class while raising them on the top 1%. We are also working very hard to address housing affordability.

In addition, we are also working with provinces and territories to implement a Canada-wide, $10-a-day, community-based early learning and child care system that will make life more affordable for families, create new jobs, get parents back into the workforce and grow the middle class, while giving every child a real and fair chance at success. All provinces and territories have signed on to this national plan except for Ontario, and I know Ontarians, especially the residents of my riding of Davenport, are hopeful that they will sign on to this plan very soon.

A strong monetary policy framework is also an excellent weapon in our arsenal to keep prices stable and keep inflationary pressures in check. The federal government and the Bank of Canada believe that monetary policy can best serve Canadians by continuing to focus on price stability. That is why, last December, we announced with the Bank of Canada the renewal of the 2% inflation target for another five-year period. This renewed framework will keep the bank focused on delivering low, stable and predictable inflation in Canada. Since Canada adopted an inflation-targeting framework 30 years ago, inflation has averaged close to 2%, which has contributed to our country's strong labour market performance. It has also contributed to our economic growth, as well as to our prosperity.

Maintaining a stable environment for the prices that Canadians pay is the paramount objective of Canada's monetary policy. That has been the case for the past 30 years and will remain the case for the next five years as well. Doing so supports a strong and inclusive labour market that provides every Canadian with opportunities for a good quality of life. That is why the review and renewal of Canada's monetary policy framework every five years is such an important moment. This renewal of Canada's monetary policy framework is fundamental to Canada's economic success. It is about continuity and about continuing to do what we know works.

As colleagues can see, the federal government is already working hard to address the cost of living and to make life more affordable for Canadians. Thankfully, by delivering significant fiscal policy support to Canadians during the pandemic and avoiding harmful austerity policies, we have seen a rapid and resilient recovery so far. The vast majority of the government's recovery plan is targeted toward growth-enhancing and job-creating initiatives, initiatives such as the investment to support child care and the adoption of new technologies that will help boost supply, increasing space for the economy to grow without the risk of higher inflation. The federal government has moved from very broad-based support to far more targeted measures that will provide help where it is needed the most, when it is needed.

I am pleased to say that our plan is working. Canada has exceeded its goal of creating a million jobs well ahead of expectations and has the strongest jobs recovery in the G7. In fact, as of February, despite the temporary effect of omicron on Canada's labour market, 112% of the jobs lost since the peak of the pandemic have been recouped in Canada, significantly outpacing the U.S., where just 90% of lost jobs have been recovered so far. Canada's GDP has now returned to prepandemic levels with the economic recovery well on track and the focus now shifting to sustaining and enhancing Canada's growth potential.

However, we know that more can be done, especially as we emerge from COVID-19. Despite impressive economic performance in certain parts of the economy, as I stated earlier, the government is mindful of the global phenomenon of elevated inflation and its impact on the cost of living, including higher prices at the pumps.

The federal government has and will continue to focus on actions that will create jobs and growth and make life more affordable for Canadians, not through a temporary 5% reduction on gasoline and diesel but through meaningful and concrete actions that will grow our economy, provide good-paying jobs to the middle class and create prosperity for Canadians now and into the future. This will be a core priority that will form the foundation of the upcoming budget.