Seaway privatization bill zips along

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Published: October 30, 1997

Parliament is moving quickly this autumn to deal with legislation aimed at allowing commercialization of the St. Lawrence Seaway and private operation of ports.

The House of Commons last week sent the legislation to a committee for public hearings and study. Reform and New Democratic Party MPs opposed it, although for different reasons.

Reform critic Lee Morrison criticized the government decision to rush the bill through with little debate, although he said the privatization principle is a good one.

NDP critic Bev Desjarlais said her party opposes the decision to end government operation of ports. “The proposed privatization will ultimately have negative implications for many of the people presently working in the port system and the maritime industry generally.”

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The government argues that greater private control of the marine system will make it more efficient and cost-effective.

It will turn operations of the seaway over to a private consortium made up of users, including Cargill Ltd., James Richardson and Sons, Louis Dreyfus Corp., steel companies and ship owners.

It will turn operation of major ports over to local port authorities, operated by a board appointed by governments and port users.

They will be self-financing, covering costs with revenues raised in fees on users.

Before the end of the year the bill is expected to return for final debate and approval.

In the last Parliament, a similar bill was killed by an early election. It met with some criticisms based on fears of rising user fees and the government’s ability to stack boards with patronage appointments.

About the author

Barry Wilson

Barry Wilson is a former Ottawa correspondent for The Western Producer.

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