SASKATOON – American officials are looking warily northward as Canada prepares to shift operation of the St. Lawrence Seaway into private hands.
At the same time, officials and politicians from the two countries are beginning to discuss a possible deal to have the two countries operate the seaway jointly, with the same set of rules on both sides of the 49th Parallel.
“They have concerns (about Canada’s plans) because they have a very different approach,” Canadian transport minister David Anderson said.
While Canada operates its 13 locks through a fee-for-service toll system, the Americans pay for their two locks through tax revenues. Effective next Jan. 1 Canada plans to turn operation of its locks from a crown corporation to a private not-for-profit company owned by seaway users.
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“We’re going to explore all avenues of joint action which indeed might include joint operations,” Anderson said in an interview after a recent trip to Washington to discuss transportation issues including the seaway. “But we are proceeding with our privatization plans nonetheless.”
Thunder Bay, Ont. Liberal MP Joe Comuzzi also recently traveled to Washington to talk about joint operation of the seaway.
“We just think it is something we have to look at because running it with two administrations and sets of rules just isn’t the most efficient way to do it,” the vice-chair of the Commons transport committee said in an interview from Washington.
Even a spokesperson for the nine-member group of user companies bidding to take over operation of the seaway talks about joint Canada-U.S. operations some day.
“The user group is in favor of a binational agency if it can be brought about,” said Al Donaldson.
But the chair of Canadian Shipbuilding and Engineering Ltd. of Toronto and St. Catharines also noted the split between the two countries over how to pay for the seaway.
The U.S. believes all the nation benefits from the seaway so costs should be spread around. Canada believes in user pay.
Will stand firm
Donaldson said there is little chance Canada would compromise on this issue. Anderson confirmed that point.
“It is ironic that a country which believes in free enterprise has been funding the seaway entirely through tax revenues,” he said. “We believe the user-pay principle should continue to apply.”
Anderson insisted if the two countries continue to operate the seaway separately, it can continue to operate effectively.
