Good Question

communist-china.jpgToday Conservative Party of Canada Critic for International Cooperation Helena Guergis asked an interesting question:

“Why is Paul Martin still giving Canadian Foreign Aid to Communist China?”

Ms. Guergis asked the question in response to China’s donation of millions of dollars towards the United States for hurricane relief.

“I think it only makes perfect sense that the country with the world’s second largest economy would help out the United States in its hour of need but it looks to me like they’re just turning around and using the money of Canadian taxpayers … Usually China props up corrupt countries like Sudan [] with the cash Paul Martin gives them, in this instance we should be happy that they are using some of our money to help the victims of Hurricane Katrina” — Helena Guergis, Conservative Party of Canada

Why is Canada giving foreign aid to the country with the world’s second largest economy? I can see Canada providing emergency support in the time of a devastating crisis as with the recent hurricane disaster in the United States, but why is Canada providing a regular level of foreign aid to China?

According to the CIDA website, Canada is providing China with $8 million dollars for environmental management training in Jiangsu province. (project A-019759):

This project responds to severe environmental degradation and industrial pollution linked to the rapid growth of township and village enterprises (TVEs) in the Province of Jiangsu, most of which are small and medium-sized enterprises (SMEs). It will provide assistance in management and in environmental/business planning capacity of TVEs; promote enterprises’ awareness of waste minimization, cleaner production and more environmentally sound technology alternatives through loans from the project environment revolving fund (ERF), demonstration/pilot projects and through training of trainers and support to local training capacity. The project will contribute to investments in enterprise-upgrading and the transfer of environmentally sound technologies through a $3.6 million environment revolving fund equally financed by China and CIDA. The original geographical focus was on Southern Jiangsu but it is gradually moving to poorer Northern Jiangsu. The project will also support sectoral linkages and information exchange between Canadian industries and Jiangsu TVEs in the sectors of focus of the project (chemical, food processing, metal working and textile).

Ms. Guergis asks an interesting question. Why is Canada giving foreign aid to the country with the world’s second largest economy? I can see Canada providing emergency support in the time of a devastating crisis as with the recent hurricane disaster in the United States, but why is Canada providing a regular level of foreign aid to China?

The NDP and the price of gas

gas-pump.jpgThe NDP claims to be working for the average Canadian, yet their policies are way out of touch. Furthermore, their plans for dealing with Canada’s growing dependence on gas and Canada’s management of this resource are ill-conceived.

Consider this statement attributed to NDP MP Yvon Godin today. According to the Globe and Mail, “Godin said it is time for Canada to act like a federation by sharing energy resources internally at lower prices”.

Godin mused “Are we a country or are we not? Maybe Alberta is upset about it, but right now the whole country is upset that the price of oil is too high … When we have a province that has a problem, we ask the federal government to help. When a province is doing good, they say we want to be alone and leave us to all our money. Then what is a country?”

Are Mr. Godin and the NDP advocating for the creation of NEP 2?

So, what is the NDP’s stance on lowering the price at the pumps?

According to a policy document on the NDP website, the NDP wants to “Stop tilting the marketplace towards unsustainable fuel and, over four years, shift government subsidies away from unsustainable fuels towards renewable ones”.

While idealists might agree that this is a good idea, the technology isn’t there yet in practical terms for all Canadians. The NDP fixation on implementing the Kyoto protocol (an environmental accord with a wealth transfer program hidden underneath) will do no more than the Conservative environmental plan than transfer billions to developing countries in “hot air” credits. This annual loss will translate to a significant added cost at the pumps and will increase the cost of living for average working Canadians and their families. Now, depending on who you are, you might think that this is a fantastic idea. But then you’d be out of touch with the average working Canadian.

Gomery report delayed

john-gomery.jpgJustice John Gomery has said today that his final report will be delayed by six weeks due to the number of briefs received. The second report is expected in late February with the preliminary report expected November 1st.

The first report will detail who’s at fault and the second report will detail suggestions for the future prevention of corruption.

In my opinion, this may translate into good luck for the Liberals as an early April election would be more temperate for uneasy Liberals to go vote for Paul Martin’s embattled party. If the election had been held in late February instead, Liberal voters would have been less likely to make the trek to the polls, while Conservatives should be able to count on their determined base no matter the season.

I envision three scenarios: the government could fall before or after the report to straddle possible election dates around November 1st or the election will happen when Paul Martin calls it in late February after Gomery’s second report. Of course, the Liberals would prefer an apparent Tory/Bloc collapse of the government for an election before the first Gomery report is released. The Conservative’s ideal election date is about three weeks after November 1st (time enough for the Gomery details to sink in).

While the parties are sure to detail their plans for implementing Gomery’s recommendations if an election is called for early April, a building issue will be energy no matter when the election is called. One major fight will be whether tax cuts on fuel (Conservative plan), or nationalization of the oil/gas industry (Liberal plan) is more appropriate for providing relief to the Canadian energy consumer. This will add to the acerbic nature of what is sure to be an intensely vicious election campaign. Of course, nationalization is merely conjecture at this point but we’ve already seen evidence of Liberal trial balloons (with the Leger Leger poll for example).

However, the Gomery report is going to be the central issue, whenever the election is called. The Liberals and Conservatives will try to sell themselves to the public as the best equipped to implement change. However, even if I try to form a non-partisan view, I cannot imagine how the Liberals will appear better suited for the task.

One thing is for sure as a result of today’s announcement. Gomery’s delay will have Liberal and Tory strategists adjusting their long- and short-term plans.

As for the NDP, their decision will come down to whether they want to be Liberal liters or whether they want to increase their seat total in the 39th Parliament.