44th Parl. 1st Sess.
March 22, 2022 10:00AM
- Mar/22/22 1:53:03 p.m.
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Madam Speaker, my colleague talked about what his government has done with respect to green or energy-efficient retrofits. That is good. In the meantime, however, the numbers indicate that his government continues to invest heavily in the oil industry and in pipelines.
Would it not be better to invest that money in programs that help the victims of inflation, people with fixed incomes like seniors, including by increasing old age security starting at age 65, instead of 75 like his government is preparing to do?
Would it not be better to invest that money in the energy transition, in research and development, in much greener programs?
If that money were invested in those two things, it would go a long way to helping people deal with the problem of inflation.
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- Mar/22/22 1:58:32 p.m.
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Madam Speaker, today we have an opportunity to answer the call of Canadians from coast to coast, one that if we have even spent a moment outside of this place talking to anyone, just about anywhere, we would be hard pressed not to hear. It is the loud and clear call that skyrocketing inflation and the cost-of-living crisis is devastating families across Canada.
The inflation rate is at the highest point in 30 years. That is 5.7%, and it is growing faster than Canadian wages. For the average Canadian, that is equivalent to a pay cut of 5¢ for every loonie earned.
We will hear in the House today the government's greatest hits, featuring a litany of excuses stating that the inflation rate is a result of global supply chains being disrupted by COVID, leading to higher prices. We will hear the one-hit wonders of listing off countries and their corresponding inflation rates. There is also my very favourite, that somehow asking the government to acknowledge a cost-of-living crisis, which members of the House are hearing about from their constituents, is an attack on the Canadian economy and that we should be thankful because everything is absolutely fine.
What we will not hear is that the prices for Canadian products are rising the most and the fastest. That is the inconvenient truth of the matter when we speak to people at the grocery store.
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- Mar/22/22 2:21:48 p.m.
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Mr. Speaker, Canadians are already suffering because of massive inflation that is caused by the out-of-control spending of the old Liberal government. Now Canadian are going to be living with a new NDP-Liberal government and the price tag has just skyrocketed. The NDP-Liberal government's initial platform will cost over $200 billion and that is just the tip of the iceberg.
Can the NDP-Liberal Prime Minister tell Canadians how much this backroom deal is going to cost them?
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- Mar/22/22 2:48:15 p.m.
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Mr. Speaker, the Prime Minister, who did not know the price of a package of bacon, is probably surprised to hear inflation is at 5.7% and rising. His carbon tax has generated surplus revenue, taking money out of the pockets of average Canadians.
When will the NDP-Liberal government give some of that back to the Canadians who work hard to pay it?
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- Mar/22/22 2:49:21 p.m.
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Mr. Speaker, the Governor of the Bank of Canada revealed that the carbon tax contributed to inflation by nearly half a per cent. While the Liberals claim this is not their fault and that it is a global phenomenon, those who think and understand monetary policy know otherwise. This is costing the Canadians I hear from who are paying more for their home heating and more at the pumps.
Will the NDP-Liberal government commit today to scrapping its carbon tax increase to come into effect on April 1?
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- Mar/22/22 2:50:08 p.m.
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Mr. Speaker, we know that a price on pollution is the best way to fight climate change and that inflation is a global phenomenon. The data the member opposite is citing from the governor does not factor in the rebates that are putting more money in the pockets of Canadians, now with quarterly payments. While it is not surprising to see Conservatives campaigning for less climate action and against the climate action incentive that puts more money in the pockets of eight out of 10 Canadian families, it is still disappointing.
While they decide on climate change, we are going to fight climate change.
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- Mar/22/22 3:42:33 p.m.
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Mr. Speaker, I am going to start where I left off. When I speak to people in line at the grocery store or bump into someone at the gas station, it would be difficult and quite frankly embarrassing to list off the inflation rate in Denmark or to tell them everything is okay and that we should not upset the government or take down the Canadian economy. When we tell people that global supply chains are the reason that home heating is up 26%, they are rightly perplexed. We have 1.3 trillion cubic feet of natural gas in Canada. That domestic energy supply provides heating for Canadian families and has nothing to do with the global supply chains.
When we tell someone that global supply chains are the reason a family pays an extra $1,000 a year for groceries, their reaction is, rightly, confusion. This country ranks third in the world for the amount of farmland per capita. We have the capacity to produce our own food, and this has nothing to do with the global supply chains.
When we tell someone that global supply chains are the reason that gas prices have gone up in some places 50%, they are, well, stunned. We have that right here in Canada. We have the second-largest oil and gas reserve in the world. In this case, it is a question of why we are relying on the global supply chains.
When we tell someone that everything is okay when four-fifths of Canadian families are already cutting back and scratching their budgets, their reaction is one of fear: fear they will not be able to keep up and fear they will not be able to afford to live in their own communities.
We have an opportunity here to stop saying that everything is okay, because it is not—
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- Mar/22/22 3:50:24 p.m.
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Madam Speaker, it has been just a few hours and the member opposite is already starting to sound like he is part of the NDP. We print money here instead of actually making things that money buys. Our rate of inflation is at a record high. Canadians cannot afford gas, groceries or their everyday necessities, and instead of doing the right thing and taking the GST off of gas, which is an actual measure that could reduce the price at the pumps and which the member could do immediately, he just is not.
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- Mar/22/22 4:06:49 p.m.
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Madam Speaker, I salute my colleague who sits with me on the Standing Committee on Environment and Sustainable Development. Sometimes we are on the same wavelength, and sometimes we are not at all. Today is an example of the latter.
Oil companies benefit when the price of crude oil goes up. Oil companies benefit at every stage of the refining process. Oil companies pocket the price increase at the pump. Ultimately, oil companies are the ones who benefit from inflation.
Some oil companies have Russian oligarchs at the helm. I have a hard time understanding why my colleague has not taken that into consideration.
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- Mar/22/22 4:24:58 p.m.
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Madam Speaker, that is a lot to try to answer in 30 seconds.
Let me just say, as one of the younger members in the House at 31 years old, I have friends in that same situation of trying to be able to own a home and start a family. That resonates with me.
I do not have time to properly address the question vis-à-vis the larger policy context of whether or not it is prudent to continue to spend to try to create the affordability and support that Canadian families need or what other measures that are non-spending in a world of 5.7% inflation right now are going to be crucial to be able to make affordability important for Canadian families. I think it is an important conversation to be had, and I do think we will be hearing more about it in the House in the days ahead.
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- Mar/22/22 4:38:20 p.m.
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Madam Speaker, this motion is about inflation, and I believe the prices of all goods are going up these days.
As my colleague said, there is no ignoring the housing crisis. A few weeks ago, Scotiabank, which is not exactly an organization that advocates for more social housing in Canada, published a study indicating that Canada is 1.8 million units short of the G7 average.
Five years ago, the federal government launched its big national housing strategy, which included plans to invest $72 billion. Recently, the National Housing Council, which oversees the implementation of the strategy, revealed that only 35,000 units have been built to date, even though we are halfway through the strategy's timeline. We now know that Canada needs another 1.8 million housing units.
Does my colleague not think that it might be time to launch a major social housing project in Canada?
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- Mar/22/22 4:39:24 p.m.
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Madam Speaker, I reject the premise of the question. The member said that the motion has to do with inflation. Inflation is not mentioned in here once. Housing is not mentioned in here once. What is talked about here is the rise in the price of gas. That is the result of a war that is going on in Europe right now. This is not a result of inflation.
My comment to the member is that I hope the Bloc Québécois is reflecting on the fact that the motion specifically calls on the federal government to jump into Quebec jurisdiction by affecting the Quebec sales tax. Does the member from the Bloc want to stand by that?
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- Mar/22/22 4:40:07 p.m.
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Madam Speaker, clearly the rising cost of gas is about inflation. In fact, Marc Lee, a senior economist at the Canadian Centre for Policy Alternatives, recently stated, “industry profits rebounded strongly in 2021 after the COVID-induced slowdown of 2020. For example, Canadian Natural Resources booked a record $7.7 billion profit.... This clearly shows it’s time to bring in a windfall profits tax on the oil and gas sector.” One of the obvious ways to address this cost-of-living crisis would be to tax profiteers like Suncor, which made a net profit of $4.1 billion and paid out $3.9 billion to its shareholders.
On the topic of inflation, affordability and taxation, why do the Liberals continue to protect wealth-accumulating corporations and do no nothing to ease the pressure on average Canadians who are struggling to make ends meet?
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- Mar/22/22 4:41:03 p.m.
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Madam Speaker, again, I reject that. The member is saying that this is entirely based on inflation. The price of gas has gone up considerably higher than inflation. If we were to talk about inflation only, the price of gas would not be where it is today. The price of gas, although inflation has affected it, has substantially increased not because of inflation, but because of a war that is going on in Europe. I know the NDP member knows that.
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- Mar/22/22 4:52:10 p.m.
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Madam Speaker, I feel my Conservative friends' motion is primarily about supporting the oil companies.
There are a whole host of measures that could be taken to combat inflation. The current climate emergency must also be a priority. We therefore need to find ways to move toward energies of the future and fight inflation in all sorts of other ways. I would love to hear my colleague's thoughts on that.
I would also like to say that federal government does not have the authority to change the QST in Quebec or the GST in the rest of Canada. That falls under provincial jurisdiction.
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- Mar/22/22 4:55:39 p.m.
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Madam Speaker, on this side of the House, we understand that budgets simply do not balance themselves. It does not matter whether it is a government budget or a household budget, it is worth mentioning that we understand that budgets do not balance themselves. It takes work and effort.
Right now Canadian families and individuals across this country are having a hard time making ends meet. I have heard many members in the chamber add their thoughts and arguments to the debate today. Some have been constructive and others not so much, but it is worth clarifying a couple of facts.
GST on fuel is a tax on a tax. The price of gasoline is determined by a competitive market and one of the key components in that price is the price of crude oil and the refinery costs. When crude oil prices go up, the cost of gasoline typically ends up following. Then there are the federal gasoline tax, the provincial sales tax, the provincial gasoline tax and the carbon tax. That price, with all of those taxes, is then taxed by GST on the whole. Effectively, when the cost of gasoline increases, the amount of GST collected continues to increase.
What we are witnessing right now across our country is among the highest inflation rates in a generation. Compared to last year alone, we have seen increases in inflation of 5.7%. That means that the cost to get household goods and services has increased, but wages have stayed stagnant. There are statistics and figures showing that groceries are costing the average family of four an additional $1,000 a year.
I do not know about anyone else, but I talk to a lot of constituents and families throughout my riding of Fort McMurray—Cold Lake and they let me know that they do not have an extra $1,000 to put toward groceries, they really do not. They are struggling, and they need relief. They need relief today. This is part of why this motion was put forward, to put a small, yet meaningful, pause on the GST collected on gasoline to provide families with a little hope and a bit of relief.
It is worth noting that currently 53% of Canadians have said they have a hard time making ends meet already due to the rising prices of everything. Every time gasoline goes up, the cost of everything increases because it has a sort of escalator tax on it. I live very far north in Alberta, the furthest north one can get at least in a car, and people there pay more than what people further south pay.
For instance, when I filled up my gas tank this weekend, it was $1.659. In Edmonton, a big city that is four and a half hours away, it was $1.559. That is a difference of 10¢ a litre and is worth noting. Every time someone travels somewhere and gasoline costs more, the fixed costs are more. If we talk about food, the prices increase. If we talk about just about anything, the business owner has a choice of either raising the price of goods or decreasing their profits. That is a real, hard fact.
This very issue was seen in my home province of Alberta. It announced that it was going to stop collecting a fuel tax effective April 1 when West Texas Intermediate exceeds $80 U.S. a barrel. It will result in a reduction of 13¢ a litre on clear fuel and 4¢ a litre on dyed fuel. While this does not solve the problem of inflation by any means, it is a small, meaningful difference that people will see at the gas pumps that will help them make ends meet today.
That is the real difference here. I have heard many of my colleagues mention longer-term projects, but what they are failing to understand is that many families are failing to make ends meet right now, today, each and every day. This is something that we really have to put into play.
In my riding, I jokingly say that everything starts at three hours. It is three hours from my community of Fort McMurray to get to the next closest community, which is Lac La Biche. It is four and a half hours by vehicle to get from Fort McMurray to Edmonton. Many people all throughout my riding constantly have to go to Edmonton for medical appointments and a variety of different specialized appointments, just because of the locality and the isolation of the region.
I think that this is a piece that perhaps not all members necessarily understand. We do not really have a choice in my riding to take a bus to get to most places. Unfortunately, that transit, similar to what some of the members have shared, in those rural ridings is not necessarily always an option. Families in my riding are being faced with the very real struggle of whether they fill up their gas tank so they can drive to work, drive their kids to school, get groceries and get to appointments, or heat their homes and keep their lights on.
Effectively, families should not be pushed into this decision where they are having to make those choices. I do not think that families really care whether global supply chains are the reason why the costs have gone up. I do not think they really care that it is due to a war in Ukraine. What they see is a harder time to make the two ends meet, and they are asking for help. I had countless conversations with constituents over the last couple of weeks, where they were just telling me that they really could use just a little bit of a hand-up. That is exactly what this motion puts forward. It offers a hand-up to constituents to give them that little bit of relief.
I was doing some calculations and I have a conservative estimate that an average vehicle that has about 65 litres in its tank will see a savings of about $5.20 per fill-up. That five dollars might not be a big deal to some, but when I was filling up with gas over the constituency weeks, I could see a constituent and they were only putting $10 into their tank. That is all they had. They could only put $10 into their tank. I was not sure where they were even planning to go in Fort McMurray with $10 in their tank. I think this is part of the concern here. They want to keep their fridges stocked, their lights on and their gas tanks full, and I think this is the very least we can do right now.
The government is actually profiting on increased gas prices in countless ways, so we are offering a simple solution to allow consumers to have just a little bit of relief, so that they too can have some of that back in their pockets so that they can make those choices as to whether they want, perhaps, a little bit of a treat and go out to the movies or something along those lines. It has been a long couple of years where we have not been able to do those things and now that they finally are able to travel and now that they finally are able to go visit, they cannot afford to because gas is so expensive.
This is something that the members opposite might laugh at, but it is four and a half hours to get to Edmonton from Fort McMurray. That is a long distance and there is not a train. There are only a few flights a day that are even an option and flights are exponentially more expensive.
What they are looking for is just a little tiny bit of relief. I would implore all members of the House to keep in mind that family that is struggling and needs that extra five dollars or $10 in their pocket, and work with us. Let us work to make life a little bit more affordable for Canadians because, quite frankly, they really could use it.
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- Mar/22/22 5:10:28 p.m.
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Mr. Speaker, my speech will be the last one on today's motion. I have a question. Why does the official opposition think that the gas tax is the only way to solve the runaway inflation that is currently happening across the spectrum?
Anyone who must use a gas-powered vehicle is certainly feeling a little pinch when it comes time to pay. I heard people being interviewed on the radio recently who said that they were going to reconsider their daily use and their trips, and perhaps carpool or opt for a monthly public transit pass. Despite the inconvenience of changing one's habits, I am inclined to say that these are, in the end, good habits to develop. However, some people do not have these options.
Our comments on inflation felt at the pump should normally be followed by a dialogue. We should be seeing acts to justify reaching a consensus on such a motion to reduce taxes. However, there has been nothing of the sort.
The inflationary phenomenon does not affect only people who use gas. It is hurting other sectors of the economy, too. My colleague from Longueuil—Saint-Hubert talked about this in reference to housing and groceries, to name but two essential and unavoidable expenses.
What they are proposing is relief at the pumps. However, in 12 months, the price per barrel of oil went from $64 to $128. Who pocketed the increase for crude oil? The oil companies did. Who pocketed the refining fees, which have quadrupled? The oil companies did. The shareholders, which include several Russians by the way, are thrilled and are busy filling up tax havens. Who profits from inflation? Again, the oil companies do.
Who is against having the oil companies do their part to ease the burden on the public? That would be the Conservatives. They could have moved a motion to that effect and we would have been pleased to support it. However, that is not the case. They are proposing the opposite.
If the goal is to protect consumers from the oil companies that are fleecing them or—to put it another way—from inflationary increases in the price of gas, then they should draft a motion that would have the oil companies contribute their share, because they are at the root of the problems we are condemning.
Are we to believe that the average person filling up their tank realizes not only how much profit the oil companies are raking in, but also the obscene amount of money the government gives to the industry? We are talking about hundreds of billions of dollars, year after year, no matter which party is in power. I have a hard time believing that the average person would support this.
Unfortunately, the official opposition would rather make taxpayers, who are already struggling financially, pay so that consumers can get some relief at the pumps. The opposition would rather that everyone other than oil companies pay. When will the Conservatives stop moving motion after motion that benefits this sector while failing to propose fair measures for all sectors in our society?
We are locked into government policies that are all too often designed to make the rich richer. Instead we should be implementing meaningful policies that would focus on real opportunities, the opportunities we need to establish a solid, fair and equitable foundation for society as a whole and that would have a real, meaningful impact for people.
The problem of Inflation, which is going up and shows no sign of slowing down in the near future, will not be solved with measures like the ones the Conservatives are proposing. It will certainly not be solved by increasing oil production, as the Conservatives were calling for two or three weeks ago in response to the conflict in Ukraine.
What inflation shows us is that the poorest, those on fixed incomes, are the most affected. I am thinking of seniors primarily. There are structural economic weaknesses that must be corrected and that require short-term remedies, but, more importantly, they also require long-term measures.
I will try to explain what must be done in the short term. We must stop cutting right now—and not in one or even two months—the guaranteed income supplement cheques of the poorest seniors who received the Canada emergency response benefit or the Canada recovery benefit last year. At the same time, and not six months from now, we must increase old age security to ensure that seniors maintain their purchasing power in light of the increased cost of living. That is something concrete and responsible that can be done immediately. These are the firm positions the Bloc Québécois has called for for some time now, but such measures have so far failed to materialize.
It takes political will to implement long-term measures. There must be follow-through on the fine speeches and the positions we try to present. I will try anyway, as one never knows.
I am thinking of the small percentage point of state revenue that the government should permanently allocate to the construction of social housing and that it should send to Quebec, the only province that provides ongoing funding for the construction of social housing in Canada. These monies would make it possible for Quebec to more quickly implement its own programs. My colleague from Longueuil—Saint-Hubert spoke eloquently about this a few minutes ago.
When the government does not use the tools it has to tackle the labour shortage, which is what we are seeing now, obviously we have reason to worry about the future. Our aging population is real, and we need workers.
I cannot be the only MP who is getting calls about the never-ending application processing times at Immigration, Refugees and Citizenship Canada for seasonal or skilled foreign workers, and from businesses that are at the end of their rope. Once again, the Bloc has a real solution that will produce real results. We want to lighten the government's load by taking the temporary foreign worker program off its hands altogether.
This would be a great way for the government to lighten its load. This idea makes a lot of sense for those who like common sense. Quebec is already responsible for its labour policies. We have Emploi-Québec, industry committees and expertise on the ground already. This move would obviate the need for a study for every application, and it would expedite the process overall.
Solutions and government policies exist to address economic disruptions, some of which were exacerbated by the pandemic. Others have talked about this.
Going back to the motion we are opposing, the economic argument is used extensively to convince people of the need to continue with the fossil fuel approach. In reality, however, we do not decide the price of oil, as it is set on the London and New York stock exchanges. There is little we can do to limit the fluctuations and price increases. However, it is possible to make the economy more resilient to these fluctuations by reducing our reliance on oil and by accelerating the transition to renewable energies. My colleagues saw me coming, I am sure.
The truth needs to be told loud and clear when it comes to the real price of energy and gasoline. The price is much higher than what we pay at the pump. The real price includes social costs, including to our health care systems. Thousands of people die each year from illnesses directly related to air pollution, especially children with lung and respiratory conditions. The real price also includes all the public funds given in subsidies and tax breaks to the oil and gas sector to support an industry that will eventually disappear whether we like it or not. Finally, that price includes the environmental costs occurring upstream during a hyper-polluting extraction that causes environmental damage and downstream when these products are consumed or burned.
Everything this industry produces contributes to the climate crisis and our collective destiny. Today is World Water Day, as declared by the UN. I will remind everyone and the opposition of the devastation that this industry is inflicting on regional waterways with the foulest impunity.
Now we are being asked to continue enriching this sector even more. Is there no limit to the indecency? As they say, to ask the question is to answer it.
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- Mar/22/22 5:25:06 p.m.
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Madam Speaker, I thank my colleague for his question.
Yes, we could help seniors directly by increasing the guaranteed income supplement and old age security.
I will make a connection with food, which is a very important issue to talk about. It is often said that seniors living alone do not eat properly and sometimes have to choose between food and medication because inflation is too high. I always put that in the context of the environment. Consider the droughts in western Canada and the wildfires that have caused crop failures and increased the price of food for everyone, including seniors. The consequences of the climate crisis ultimately are that we are paying more and inflation is rising. Fighting climate change involves dealing with everything that is very human, particularly people's health.
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