Thursday, July 26, 2012

Petty Little Principalities…

 

That’s what we’ll become if British Columbia’s attempt at Blackmail proves successful.

To get Alberta oil through to the West Coast – it must first travel by pipeline through BC and for that right – BC wants a Big Piece of the Action – much more than the 8% currently being offered. 

Remind you of something?

You’d be correct, if you guessed Quebec’s successful Blackmail of Newfoundland in 1969 when it forced Newfoundland into signing a 65 year contract to supply it with electrical power at a considerable discount.  Quebec did not have the legal authority to do this since the Federal Government has sole authority over the transmission of power across provincial borders, as it does in regard to the transmission of oil across interprovincial pipelines.

But the Feds remained quiet then and left Quebec to its wicked ways.  Will it do the same in regard to the Alberta Pipeline?  Hopefully not, but the odds are most certainly stacked against it, and against the 30% or so that Canada receives as its share of the oil royalties.

Right now, in addition to BC voicing its objection to the Pipeline we have numerous Indian Bands also declaring their opposition, even when their reserves are not on oil land. They are supported in their opposition by the Premiers of the two largest Provinces in Confederation – Ontario and Quebec.

It is nothing but a Recipe for Paralysis. And it would take a very brave National Government to go up against such great odds. It also flies in the face of economic reality.

The future is the Pacific Rim – that is where growth is taking place and that is the area in critical need of Canada’s Oil.  For the economic health of our country, we need to take advantage of our Western Coastline to the Pacific.  And that includes supplying China with our oil.

Many recoil at the thought, but their thinking is short-sighted.

Indeed, Chinese money is as good as American money – and given the debtor status of the USA – perhaps it is even better.

As an aside, their concern about China even pertains to its investing directly in the Oil Sands – failing to remember that Chinese Companies would continue to pay Our Royalties and would continue to hire thousands of Canadian Oil Workers.

And to partner with China would help that country economically which, I submit, would go a long way to assist China in its onward move toward democracy.  Once they have lots to lose materially, they will be much less likely to cause conflict. 

If Canada refuses once again to act for the benefit of all Canadians, as it did in the case of Newfoundland and Quebec so many years ago, we run the very real risk of splitting up into multiple trade entities. 

We already have too many rules and regulations that only serve to frustrate the movement of goods and service between the Provinces and the Territories- we do not need more and we certainly do not need the Provinces (or the Indian Bands) having veto power over the transmission of our power – be it electrical, gas or oil.

One final point.  If the Oil Pipeline does eventually go through the Province of BC to the coast, this in and of itself will create great wealth for that Province.  Terminals will need to be built – services developed for the tanker market and so on, and all of this new economic activity will serve as a stimulus for even greater development. 

As I see it …

‘K.D. Galagher’

 

Monday, July 23, 2012

Just Another Example of ….

 

Power Corrupting…. and this time, the Winner Is – Master Randy Hillier MPP.

He, of renown, for being the first President of the Ontario Landowners Association (OLA).

OLA was formed in 2006 and is dedicated to rolling back Governments’ ever growing proclivity to pass Laws; Regulations; and Policies designed to restrict and grossly interfere with what Landowners can do with their very own property: 

  • lands deemed in need of environmental protection are taken without any compensation to the owner;
  • saw mills shut down for creating pollution – the sawdust of course;  Gag
  • cheese factories shut down for creating pollution – harmless cheese by-products;
  • farmers told they can neither sell nor even give away meat butchered on their own farms.  This pertains to the farmers relatives living off the farm.  Recently police / food inspectors spent many hours / days hiding in a nearby tree to catch a farmer in the act of giving some beef to his brother-in-law;
  • farms forbidden to sell pies or other bake-goods at their road side stands;
  • the existence of snakes, birds, turtles, plants, aboriginal artefacts etc. can severely limit what a owner can do with his or her property;
  • the list goes on and on.

Anyway, back to dear Randy – on the strength of his commitment to Property Owners and common sense, he was elected to the Provincial Legislature to represent the interests of the good folks in Lanark Frontenac. 

But as they say, that was then and this is now.

Seemingly, having enjoyed the perks which come with being an MPP, he has now come down with Toronto Fever – (similar symptoms to Ottawa Fever) where our politicians eventually jettison their morale cloak, once safely entrenched in office.

In short, Hillier announced a week or so ago that he was  distancing himself from his former organization saying that he could not support OLA’s recent assertion that Crown Patents trump Governments’ ability to legislate property restrictions.

Permit some explanation:

When the Crown first conveys land to a private citizen it is done by way of a Crown Grant.  Large blocks of land remain to this day and owned by Canada, are called Crown Lands – but those conveyed over the years to the private sector are done by way of a Crown Grant Deed.

Some of these conveyances contain reservations  – e.g. for instance in the early 1800s it was common to see White Pine remain in the ownership of the Crown since it was then a valuable asset used in British Shipbuilding.  But other than for such Reservations – the Lands became the absolute property of the private owner.

So how is it then that the Government can charge a private owner annual realty taxes?  Good Question – the Ontario Landowners argue it can’t, using the simple logic that once the Government deeds absolute title to a private land holder, it cannot cannot charge him or her a yearly rent – i.e. realty taxes.

It is a novel argument and has, in my opinion, as a student of law - much merit.  It will be up to the Courts though to determine if the argument holds water and/or what limitations it may be subject to.  A case supported by OLA is currently making its way up the court line and will eventually reach the Supreme Court of Canada. It will be most interesting to see what the SCC eventually Rules.

So here we have the Ontario Land Owners continuing to stick up for the rights of property owners and its founding member and first President turns his back on them.  Who’da thought.

But Hillier is not the first nor sadly the last politician to put their self interest ahead of their Constituents.  Just prior to Hillier, Elizabeth Witmer showed us all what she was truly made of when she – a long time top tory – traded her Kitchener seat for the Chairmanship of the Ontario Workers’ Comp Board.

There are hundreds of other examples – but I cannot resist pointing out 2 in particular – Deborah Grey and Preston Manning.  They, as you may recall, were the leading lights of the brand new Reform Party, a Party supposedly of the People  – these guys would do things differently – no outrageous perks – no more back room deals.  But once elected…

In Grey’s case she rode into power most critical of the MP’s golden plate pension and vowed that she would never ever partake in it.  That lasted until she was about to retire and it is a wonder she did not break her snoot – I mean nose, when she dove vigoursly into the pork.

Manning was going to use neither a car/driver nor the Stornaway digs when he became Her Majesty’s Official Opposition Leader.  His principled stance lasted mere weeks.  He was also on record as saying he would not abuse party funds for his own use – but then used those same funds for his clothing expense.  This is the same Preston Manning who was most critical of one Brian Mulroney for taking Thousands of Dollars from the PC Party of Canada for clothing – including Gucci Shoes – and other frivolous and distasteful expenditures.

For a short time I even joined the Reform Party trying to believe in their platform that MPs could be recalled and that the grass roots would have the final say on policy.  It was a disappointing period for me watching the Party’s Leadership twist and turn trying to get around the very noble foundations upon which the Reform Party was built.

So what does one conclude in all of this?

Ten times out of Ten – Politicians will opt to protect what they see as their own self interest and to hell with the hindmost.

Hillier has now joined the ranks of this most non-exclusive and ignoble club.  

Until voters get really and truly involved, nothing will change but with voter apathy more and more apparent, the Hilliers of this world will continue to disappoint. 

As I see it ..

‘K.D. Galagher’