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serves no policy purpose; the revenues simply flow into general revenue.
It is clear the Trudeau government will take a much more proactive, aggressive and Pan-Canadian approach to climate change. It has already commenced dis- cussions with the provinces to work to- gether towards national GHG reduction targets and carbon pricing systems.
The Trudeau plan earmarks $2 bil- lion for a new Low Carbon Economy Trust to fund projects that materially re- duce carbon emissions. Transportation is identified as a significant contribu-
tor to Canada’s carbon output. Regard- less of the carbon pricing mechanisms employed, the trucking industry will – directly (carbon tax) or indirectly (cap- and-trade) – pay more for fuel. This will create revenue for governments, which if they are serious about carbon reduction as opposed to using the money to clean up their own fiscal imbalances, must be reinvested in our sector to accelerate the penetration of currently available, reli- able and proven GHG-reducing technol- ogies/devices and alternative fuels into the marketplace. The New Plan calls for $200 million more per year to support in- novation and the use of clean technolo- gies in the natural resource sectors. Why not trucking?
The government’s plan includes a commitment to make Canada the world’s most competitive tax jurisdiction for in- vestments in the research, development and manufacturing of clean technology. That’s a good thing. But as above, why not use the tax system – ie., accelerat-
ed CCA rates for carbon-reducing heavy truck technology – to get more people de- ploying what is already available?
The New Plan states that Canada’s economic success relies on strong trade relationships with our closest neighbours – particularly the US. A cabinet com- mittee is being created to oversee this. We would also suggest the special group within the Privy Council Office that has worked towards more efficient borders and regulatory cooperation and coordi- nated the efforts of the line departments and agencies in recent years be main- tained. The Beyond the Border (BTB) Agreement did not achieve all of its ob- jectives. But some sort of formal bilateral process is still needed.
The government’s plan identifies the need to promote a steadier flow of goods and business travellers by modernizing border infrastructure and streamlin-
ing cargo inspections. That’s important. There is still a lot to be done to automate the border. Construction on the Gor-
die Howe Bridge needs to start. Truck- ers make up a huge cohort of business travellers. Yet the rules governing driver movement – take the repositioning of for- eign empty trailers – are out of date with modern logistics practices.
The New Plan calls for properly negoti- ated and implemented free trade agree- ments. Who doesn’t want that? But, why not also take a look at some of the exist- ing agreements and protocols ? Take the US APHIS fees. They are clearly incon- sistent with the US’s obligations under GATT and NAFTA. What are we doing about that? The issue grabbing a lot of headlines – legalizing marijuana con- sumption and incidental possession – could also have implications for Canada- US trade that need to be accounted for. Not to mention the need for clarity on the obligations and rights of employees in safety-sensitive positions and their em- ployers, on-road enforcement protocols, etc. It’s going to be a busy four years.
David Bradley is CEO of the Canadian Truck- ing Alliance and the Ontario Trucking Asso- ciation.
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