Mr. Speaker, I am pleased to address Bill C-6, an act to amend the International Boundary Waters Treaty Act.
As we all know, water represents an inestimable resource for humans. We all agree that it is vital to life on Earth. However, contrary to what was long believed, it is not an inexhaustible resource.
This is why it is important to recognize that even if the Great Lakes and St. Lawrence River system accounts for one fifth of the world's fresh water resources, it is not unlimited. Moreover, in recent years, discoveries and research on greenhouse gases and on the potential risks of a rise in temperatures have increased our awareness of the fragility of our resources and of the threats to these resources.
Because of climatic risks, increased desertification worldwide, limited supplies of drinking water around the world and energy development based on this resource, the idea of exporting large quantities of water on tanker ships or of diverting rivers has emerged as a serious option in the past ten years or so in Quebec and Canada. To environmental threats to water supplies is added a new and significant threat of bulk water exports and large scale diversion of our lakes and rivers.
There is no doubt that bulk water exports offer significant economic possibilities. It is because of this potential that some provinces have examined the possibility of issuing permits to companies to allow them to consider bulk water exports.
In the early eighties, following a drought in California, British Columbia delivered such permits to five Canadian companies and one American one. However, over the years, the province changed its position and, concerned about the possible impact of such business on B.C.'s natural resources, it passed legislation to prohibit bulk water exports.
We know that the possibility of issuing similar permits was examined by other provinces. The case of Newfoundland recently made headlines. The province quickly gave up the idea, but the possibility remains. This, combined with the recent lawsuit by the California-based company Sun Belt Water against the Government of British Columbia, raises concerns and brings back the issue of trade risks associated with exporting this resource. In this context, the federal government has been promising to legislate for the past year
It is in this context that the Minister of the Environment introduced Bill C-15 in the last parliament. Bill C-6 is therefore an exact replica of it.
Permit me to provide a little background. On February 10, 1999, Canada and the United States gave the International Joint Commission, or IJC, the mandate to study the matter. After noting a growing number of proposals to export water from the Great Lakes and other areas of the United States and Canada, the two countries agreed to ask the commission to study the issue and make recommendations within the following year. A preliminary report was tabled on August 18, 2000, and the final report of the IJC was tabled on February 22, 2001.
In its preliminary report, the International Joint Commission recommended that, during the next six months it would need to complete its study, the federal, provincial and state governments prohibit bulk removal or sale of water. It emphasized a number of points worth mentioning here.
It indicated:
—there is never a surplus of water in the Great Lakes system, that bulk removals of water could reduce the resilience of the system, and that there is a lack of adequate information about withdrawals of groundwater
There is a problem here, because groundwater can have a major impact on the integrity and quality of ecosystems. The report also points out that it is impossible to forecast the demand for water. Moreover, the possibility of climate change and all sorts of natural factors make it impossible to evaluate with any degree of certainty the level and rate of flow of the Great Lakes over the next few years.
The final report includes these three conclusions:
The waters of the Great Lakes are a nonrenewable resource; on average less than 1% of the waters of the Great Lakes is renewed annually.
If all interests in the Basin are considered, there is never a surplus of water in the Great Lakes system. Every drop of water has several potential uses.
International trade law obligations—including the provisions of the Canada-United States Free Trade Agreement (FTA), the North American Free Trade Agreement (NAFTA), and World Trade Organization (WTO) agreements, including the General Agreement on Tariffs and Trade (GATT)—do not prevent Canada and the United States from taking measures to protect their water resources and preserve the integrity of the Great Lakes Basin ecosystem.
Canada and the United States cannot be compelled by trade laws to endanger the waters of the Great Lakes ecosystem.
In early February, the federal Minister of the Environment proposed to his provincial and territorial counterparts a Canada-wide accord to prevent bulk water removal from watersheds.
The response of the provinces was rather lukewarm. Alberta, British Columbia, Manitoba and Saskatchewan said they would indicate their positions later, while the government of Quebec dissociated itself, saying that it found the accord premature and felt that its Bill 73, an act to protect water resources, was sufficient. It said it would await the public hearings of the BAPE before defining its comprehensive water strategy.
We should note, however, that Quebec established a moratorium on the issue of new licenses to pump underground water.
Three major problems may be raised in connection with the bill before us today, namely, the definition of watershed, the extensive powers accorded the federal minister in connection with exceptions and with licensed activities and the usefulness of the bill we are looking at.
Because of these three, Bill C-6 goes beyond federal areas of jurisdiction and encroaches on provincial jurisdictions.
The fact that the concept of watershed is not defined in the bill is of obvious concern, but the fact that it is the governor in council who defines it by regulation and on the recommendation of the Minister of Foreign Affairs will not be readily supported. This concept is, clearly, very risky for the division of jurisdictions and for the ownership of natural resources, which is essentially provincial.
In a document dated February 10, 1999, the Department of Foreign Affairs and International Trade indicated clearly what constituted a watershed, and I quote:
—a land area draining into a common watercourse. Often called a catchment area, drainage basin or river basin.
Examples of watersheds in Canada include Atlantic (including the Great Lakes and St. Lawrence River), Hudson Bay, Pacific and Arctic. A single watershed can cover a relatively large section of the Canadian landscape. For example, the Great Lakes waters are not restricted to the lakes themselves but include the many rivers and their tributaries that ultimately flow into the Great Lakes.
Why not specify this in the bill? Why not specify what a watershed, or catchment basin, is? The definition given in the regulations has a strong likelihood of being the same as the one set out in February 1999, and thus will directly encroach, and with force of law, on provincial jurisdictions in this area.
This is very serious. The powers given to the Minister of Foreign Affairs are considerable. From granting permits to selecting the types of projects that may be eligible, and including practices that may be exempt from application of the law, the minister is, in our opinion, padding the responsibilities conferred upon him by the Constitution.
The amendments made to the International Boundary Waters Treaty Act might enable the Minister of Foreign Affairs to interfere in the management of Quebec's natural resources. Yet these provisions are clearly contrary to established law and the division of powers between the provincial and federal levels. Section 109 of the constitution awards incontestable property rights to the provinces. This, in conjunction with sections 92.5, 92.13 and 92A, elicited from Senator Gérald Beaudoin, in his work on the Canadian Constitution, the following comment in respect of the provinces, that they have:
broad powers relating to land development, acquisition and management, natural resource development and sales; what we are thinking of here specifically is the development of Quebec's hydro-electric resources... As well, according to the jurisprudence, the expression “lands” in section 92.5 also extends to waters and to mines.
Thus, these are flagrant encroachments into areas of provincial jurisdiction. As well, the pertinence of this bill bears questioning.
To protect water resources from the disastrous effects of unlimited trade, Canada, Mexico and the United States declared in 1993 that “the NAFTA creates no rights to the natural water resources of any party”. The federal government is therefore saying that, given the existence of this joint statement, as long as water is not considered a good or a product or is in its natural state, it does not come under the provisions of trade agreements, including NAFTA and WTO. But nothing could be less certain.
Such a statement, even if it is jointly issued, would not stand up under arbitration because, as provided for in the 1969 Vienna convention on the law of treaties, the context, factors outside the scope of an international treaty or convention, cannot be used to interpret it unless the text itself remains obscure and the parties agree on the relevance of the outside factors.
Since the United States made it very clear on the very day this joint statement was issued that nothing in it in any way changed NAFTA, it is therefore legitimate to say that water might become a good within the meaning of the various international trade agreements. In fact, from the moment that Canada exports this resource, it becomes a good within the meaning of NAFTA and GATT. Even if it were not legally considered a product, it could be the object of proceedings under chapter 11 of NAFTA on investments, services, and under the national treaty.
Furthermore, it is clear that if the federal government issues export licences, water will henceforth be considered a marketable commodity within the meaning of these trade agreements.
In short, the federal government boasts that its bill is consistent with its constitutional responsibilities and with Canada's international trade obligations. We do not agree. Contrary to what it says, the government, through Bill C-6, is overstepping its constitutional jurisdiction with respect to boundary waters, is interfering in Quebec's jurisdiction with regard to drinking water, and is, in reality, offering no satisfactory guarantees as to the impact of this bill on international trade agreements.
Although the protection of water resources is vitally important, as it stands, Bill C-6 strikes us as risky and contrary to the way jurisdictions are divided between the federal and provincial governments. In fact, it has considerable potential of encroachment on provincial areas of jurisdiction, while not providing any additional protection against bulk water exports. The Bloc Quebecois is opposed to the principle underlying Bill-6.
Far from us the idea of questioning the need to protect Canada's water resources and to support bulk water exports. The IJC's preliminary report sounds, and rightly so, the alarm and it reminds those who are in favour of an aggressive marketing approach of the need to deal with these issues with greater insight, while also giving more importance to the protection of our ecosystems.
However, natural resource management is the provinces' responsibility. Through Bill C-6, the federal government is grabbing the power to eventually get involved in provincial jurisdictions. We are thinking here of the all important hydroelectricity sector.
It goes without saying that indepth studies on the development of our water supply are essential. Before considering marketing this resource, it is vital to fully understand the whole issue, so as to ensure that decisions take into account the well-being of Quebecers and of future generations.
