An Act to repeal certain restrictions on shipping

Bill C-264, An Act to repeal certain restrictions on shipping · Second reading · now at second reading in the House Where it stands

What Bill C-264 would do

This bill would repeal the Oil Tanker Moratorium Act. The published material gives no further detail.

Official text (opens in a new tab)

7 statements

David McKenzie, Calgary Signal Hill

Conservative
“I want the House to pass my bill and end the ban on oil tankers on the northern coast of British Columbia. This ban stops us from building pipelines and selling our oil to other countries. Modern tankers are safe, and lifting the ban will create jobs and help Canada sell energy around the world.”
Official Hansard

moved that Bill C-264, An Act to repeal certain restrictions on shipping, be read the second time and referred to a committee. He said: Mr. Speaker, it is my honour to rise in the House today to speak on behalf of the residents of Calgary Signal Hill. “The...MOU will build a pipeline”. Canada’s Prime Minister made that statement in the House just four months ago. Of course, the Prime Minister was referring to the Memorandum of Understanding signed by the Province of Alberta and the federal government just six months ago. Since that time, the Prime Minister has made a number of statements promising Canadians additional oil export capacity by pipeline for the single most valuable natural resource exported by Canada. For example, the Prime Minister said less than two weeks ago, “we will advance a potential pipeline to transport at least one million barrels of low-emission Alberta oil a day to new markets.” That statement is consistent with what the Prime Minister said a year ago: “If you want a simple answer on ‘Will I support...a pipeline?’ Yes. That simple answer. I’ve given that multiple times.” Over and above the statements of the Prime Minister, the Province of Alberta and the federal government, just 10 days ago, signed an implementation agreement respecting the November MOU. The implementation agreement says that Alberta will submit a comprehensive proposal for an oil pipeline to Asian markets to the Major Projects Office by July 1, just over five weeks from now, and, second, that “Canada will pursue [its designation] as a project of national interest for approval under the Building Canada Act by October 1, 2026”. We might just be getting somewhere. Members may be wondering if the bill up for debate right now is indeed Bill C-264, an act to repeal the west coast tanker ban. After all, I have mentioned nothing about ships or tankers, just pipelines. The fact is that a precondition of the construction of a new crude oil export pipeline is the ability to load the oil transported by that pipeline onto a tanker for delivery to international markets. While Canada presently loads hundreds of thousands of barrels of crude oil onto ships through the Westridge terminus of the Trans Mountain pipeline at Burnaby, B.C., Bill C-48, the west coast tanker ban, prevents shipment from the northern B.C. coast. Greg Ebel, the CEO of Enbridge, Canada’s biggest crude oil shipper, said, “No company would build a pipeline to nowhere.” Further, Mr. Ebel stated, “The tanker ban is a great example of how things will have to change to allow our country to maximize its economic potential. Let markets and real demand guide routes and capacities while government focuses on enabling the conditions for success.” Truer words are seldom spoken. Let us put these pieces together. The Prime Minister wants a pipeline built. Industry will build a pipeline and fill it with oil if that oil can be loaded onto tankers on Canada’s west coast for export. Therefore, our next logical step is to repeal Bill C-48, the west coast Oil Tanker Moratorium Act, to allow for the safe and responsible ocean transport of crude oil that has been safely and responsibly produced here in Canada. There is good news, and it is only Tuesday. The Conservatives are here to help, and Bill C-264 is just what the doctor ordered: a repeal of the tanker ban so that the way would be clear for the construction of a new crude oil export pipeline and an increase in the safe and responsible shipment of Canadian oil to our international trading partners and allies across Asia. The demand for responsibly produced Canadian energy, including crude oil, has already been made clear. Nations that are not energy self-sufficient are interested in Canada as an energy supplier. We are a stable, democratic nation with environmental standards that are second to none, and we are a supplier of choice. Countries including India, Indonesia, Singapore, South Korea, Taiwan and Japan, the very countries with which the Prime Minister is trying to grow our trading relationships, want Canadian energy. While we have a great deal to gain by eliminating the west coast tanker ban, Canada also has something to lose if we do not take this opportunity to remove obstacles and develop the capacity to supply our international trading partners. Tim McMillan, former minister of energy and resources for the Province of Saskatchewan, was CEO of the Canadian Association of Petroleum Producers in 2019 when he stated, “Bill C-48 has the potential to permanently block Canada from exporting its responsibly produced natural resources to growing international markets, preventing us from helping to displace global greenhouse gas emissions and lift other nations out of energy poverty.” Martha Hall Findlay, former Liberal member of Parliament, was markedly more blunt when she said the tanker ban “was bad legislation and the government should get rid of it.” Ms. Hall Findlay identified a different approach from that taken by the current Liberal government with Bill C-48, when she said, “There are better alternatives to C-48, such as setting aside what are called Particularly Sensitive Sea Areas, which have been established in areas such as the Great Barrier Reef and the Galapagos Islands.” Why do we have Bill C-48? When the Liberals put the tanker ban in place, they argued that it was necessary for protecting the environment. That argument is completely inconsistent with the reality of commercial shipping on Canada’s west coast. Nearly a century of tanker traffic has sailed the west coast without a serious oil spill of Canadian crude. Tankers are statistically safer than cars, airplanes, trains and even oil pipelines, when we look at the number of shipments safely transported. Right now the port of Vancouver loads roughly 400 oil tankers each year, and there have been no spills. Our safety standards are world-class, and our safety record proves it. The Liberals also argued that the tanker ban was required in order to protect the Hecate Strait in particular, because it is difficult to navigate and supposedly remarkably dangerous. This argument does not seem to have a basis in scientific fact. There are no Transport Canada risk analyses that describe the strait as particularly challenging. B.C. passenger ferries travel through the strait on a regular basis. The Prince Rupert Port Authority says the Hecate Strait is “a deep, ice free inlet with easy access and can be entered at all times and in all seasons.” When it comes to rough weather, I have been told by a former port authority employee that the high-tech solution is to wait. Satellite weather analysis and modern technology mean that ship captains can see rough conditions coming or see when they exist, and they simply wait out those conditions. The fact is that loaded oil tankers have passed through the Hecate Strait in the last half-dozen years during the existence of the tanker ban. There have not been many passages, but it does happen. I would suggest that it is not well known that these voyages have occurred from time to time, because the tankers have transited the Hecate Strait safely and without incident. It is important to note that oil tankers do not need to pass through the Hecate Strait to transport crude oil from the northern B.C. port of Prince Rupert. Rather, ships headed to international ports would sail through the Dixon Entrance and into the open ocean. The Dixon Entrance is a body of water that is 13 kilometres wide at its narrowest point. By way of illustration, 289 tankers would fit side by side across that distance of 13 kilometres. I want to speak to the safety of our maritime shipping industry. Today’s tanker fleet is double-hulled, it sails using GPS navigation technology, it is extensively monitored, and when close to shore it requires escort tugs and marine pilots specifically trained on the waters that the ship is in. Tankers and commercial shipping are very safe, and we should be supporting and celebrating the capacity that exists on our west coast, rather than doubting the ability of our seafaring professionals to get this job done and done right. While overall safety is very high, marine accidents can and do happen. The most common causes, however, are not dangerous waters or freak weather occurrences but ship collisions and groundings. These accidents, logically, tend to happen when ships are near ports, and particularly when the ports are congested. The port of Vancouver currently suffers from congestion issues and aging infrastructure, and the Trans Mountain pipeline expansion has already increased tanker traffic there. Additional port capacity at Prince Rupert and Kitimat can reduce the pressure on the port of Vancouver and increase shipping safety. Again, former Liberal MP Ms. Hall Findlay was succinct on the subject of shipping risk. She said, “There are risks associated with any kind of transportation with any goods, and not all of them are with oil tankers. All that singling out one part of one coast did was prevent more oil and gas from being produced that could be shipped off that coast”. Those who feel our west coast tanker waters are too dangerous for crude oil tankers must be wondering how different our east coast is from our west coast. On Canada’s east coast, roughly 240 tanker trips every year move crude oil on the St. Lawrence River between storage in Montreal and refining facilities outside of Quebec City. In Newfoundland and Labrador, about 90 oil tankers visit the Whiffen Head facility every year to load crude oil. Denise Mullen, director of environment, sustainability and indigenous relations at the Business Council of British Columbia, said this about the west coast tanker ban: “Comparable shipments face no such restrictions on the East Coast.... This unfair treatment reinforces Canada’s over-reliance on the U.S. market, where Canadian oil is sold at a discount, by restricting access to Asia-Pacific markets.” It is 100% clear that the Canadian energy sector is the financial backbone of our country. That is something that I and hundreds of thousands of Canadians engaged in the responsible production of Canadian oil and gas are rightfully proud of. In the face of this fact, it is not just self-defeating to maintain the west coast tanker ban but simply nonsensical. Denise Mullen, with the Business Council of British Columbia, as I mentioned, said it well. She said the tanker ban “results in billions in lost government revenues and reduced private investment at a time when our economy can least afford it.” The Liberal tanker ban was always about shutting down Canadian oil production, not safety or environmental protection. For more than half a decade now, the Liberal west coast tanker ban has been a roadblock to true nation building. It has not been just a piece of legislation. It has been a project killer. It is part of the Liberal anti-energy agenda that over the last decade effectively ended the northern gateway pipeline and the indigenous-owned Eagle Spirit energy project. We must pause to consider the gravity of these facts. If those projects had been allowed to move forward, Canada would already be providing energy security to countries like South Korea, Japan, Taiwan and India, not just talking about it. Our energy industry is world-leading in advanced technologies, environmental safety and impact; creates thousands of high-paying jobs; and fosters real economic reconciliation with indigenous communities. Our energy industry deserves our support, real and concrete support through action, not just words and high-minded ideas. Our Conservative caucus supported the government legislation that created the Major Projects Office. It was, and is, not the best solution to getting our country building again, but it was a small step in the right direction. Right now, we need to take another step in the right direction: repeal the tanker ban and further clear the way to making Canada a true energy superpower. We must focus on the facts, focus on the science, trust the experts in marine shipping who will work with local communities, work with indigenous communities, and work with fishers and other marine transporters and shippers to ensure that shipping of all descriptions will be safe and secure. We need to reject sea stories and hysteria and have confidence that we can ship crude oil and do it safely. I give the last word to Martha Hall Findlay, former Liberal member of Parliament, as I mentioned, who said, “I’m hoping that we see the revival of a federal government that brings pragmatism to governing the country.... Repealing [Bill] C-48 would be a sign of that happening.” I have, I am sure, just a few seconds left. I received an interesting email from a resident in North Vancouver. Her name is Andrea, and she writes, “I’ve been very frustrated with this tanker ban. No such thing set up for the east, so why B.C.? This has always seemed too extreme. We have tankers coming and going in the Salish Sea, Georgia Strait, Vancouver Harbour and especially the very narrow and relatively shallow Lions Gate Bridge entrance with no issues.” I will end there.

David McKenzie, Calgary Signal Hill

Conservative
“Indigenous communities supported earlier pipeline projects, including one they led themselves. The Liberal government canceled those projects because it opposes oil. Private companies should be allowed to consult with Indigenous groups to build projects again.”
Official Hansard

Mr. Speaker, I think the next member to speak to the bill will be able to give some insight into the viewpoints of indigenous communities on this. I would note that historically, a significant amount of indigenous community support was assembled and put into place through discussion, consultation and negotiation for northern gateway. As I mentioned in my remarks, the Eagle Spirit energy project itself was indigenous-led and -created. Both of those projects were terminated by a Liberal government with an anti-oil, anti-energy agenda. Work has been done. It has been thwarted to date. I would welcome the opportunity, once the way is clear, for private industry to undertake those obligations with respect to consultation.

David McKenzie, Calgary Signal Hill

Conservative
“I support pipelines because Canada already runs over 100,000 kilometres of them safely. The government should not spend public money to build them. Private companies will build them if the government gets out of the way.”
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Mr. Speaker, I will start by thanking my friend for the vote of confidence that I might have the several billion dollars required to advance a pipeline project, but I am afraid that is not within my capacities. Were circumstances and all things equal, I would absolutely be prepared to be a proponent for a pipeline project. I believe in pipelines. Our country has well in excess of 100,000 kilometres of pipelines operating safely beneath our soil, right now, this minute. The reason I think Canadians generally are not aware of that is that these pipelines operate safely, without incident, on an ongoing, daily basis. They have for decades, in many cases. We have had the luxury of forgetting about them. The question of public money is an important one. I do not believe there should be any public money in a pipeline. In fact, I do not believe there is any necessity for that. As long as the regulation is appropriate and the government is out of the way, the private sector will take care of this.

Shannon Stubbs, Lakeland

Conservative
“The government needs to cancel the oil tanker ban and end its laws against the energy sector. This ban stops us from exporting energy that would help our economy and global security. Past decisions by the Prime Minister already blocked pipelines without consulting Indigenous groups who wanted the revenue.”
Official Hansard

Mr. Speaker, I want to thank my colleague for his excellent speech. I think more Canadians than ever before are ready to hear it. They want the government to change the fundamentals, to get rid of its anti-energy laws, so that Canada can be affordable, self-reliant, strong and free. In partial response to what a Liberal member asked my colleague earlier, I would just point out that, indeed, when former Prime Minister Trudeau, advised by the current Prime Minister, vetoed the northern gateway pipeline, he did not consult any of the various indigenous communities that had worked for years to establish agreements and had hopes and plans for the revenue that would derive from that pipeline. The former prime minister could have chosen the option to get the court right. He did not. Then he screwed up TMX, and he called a mulligan on it later. Those are the facts. What is also interesting about this tanker ban, and my colleague is exactly right, is that it is actually about stopping the shipping of energy exports for the benefit of Canada and global security, because it only stops the onloading and off-loading of crude and persistent oils. I wonder if my colleague would talk about the negative signal that maintaining the tanker ban sends and how it does not actually line up with the Prime Minister’s great rhetoric of Canada becoming an energy superpower, which every single one of us knows could happen if—

David McKenzie, Calgary Signal Hill

Conservative
“Companies will only build oil pipelines if they can load the oil onto tankers to ship it.”
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Mr. Speaker, the enthusiasm of my colleague always energizes me. The opportunity that we have is very significant. It has been made clear, and I have heard it in various contexts from various individuals involved in working in the energy industry, that a necessary precondition for a pipeline construction company to get serious about a pipeline is the ability to offtake the oil. A million barrels a day are not going into the ocean. They must go to a tanker, so there has to be, as a precondition, the ability to ship the oil.

Ellis Ross, Skeena—Bulkley Valley

Conservative
“First Nations need economic projects to lift our people out of poverty. The government does not have a clear plan for major projects, and it ignores real consultation with First Nations. The tanker ban does not actually protect our coast, because tankers still travel nearby and British Columbia depends on fuel from the United States.”
Official Hansard

Mr. Speaker, it is an honour to rise on behalf of Skeena—Bulkley Valley, and more of an honour to go back over the 20 years of experience I have in project development. In 2003, we really did not know what environmental assessment, permitting or aboriginal rights and title were. The Haida court case of 2004 still had not come out yet. By 2004-05, we had to piece it all together and try to understand it. We were living in a condemned residential school building that only had one computer and faxes, but we did it. To understand the process to achieve our objectives was the goal, because nothing else worked for us to get our people out of poverty and to get us out from the paternalistic Indian Act. We tried tourism, forestry and programs, but nothing worked, so we changed our strategy after a while and started engaging the economy. That is how Peace in the Forest, LNG and our deliberations on oil came about. It was all based on process, not on ideology or politics. What is the process in place here? How is the government going to ensure that it is going to engage first nations, as per section 35 of the Constitution? I see that the Prime Minister made an announcement in Vancouver a few days ago saying that it was non-negotiable to deal with aboriginal rights and title. Somehow, people clapped like he invented sliced bread. That has been in place since 2004. The processes that we developed, first nations along with the Crown, the communication processes to breathe life into the Haida court case of 2004, are well established. That ship has sailed. Now the question is whether the Liberal government is going to override all those processes and all that case law to fast-track a project, meaning a pipeline to the west coast of B.C. We have to remember where this came from. The Prime Minister sold himself as the person who could get control of Trump. That was it. Then, from then on, we started to hear all the doublespeak. Back then, the quote was, from the Prime Minister, “We will win this trade war and build the strongest economy in the G7.” He gave up on that. Then, he changed the narrative to “Many of our former strengths, based on our close ties to America, have become weaknesses—weaknesses that we must correct.” That has not gone over so well. There was the slogan of “elbows up”, but I guess Trump did not get the idea of what elbows up meant. Then the Prime Minister said, “Canada...has the best trade deal with the United States. While it’s different from what we had before, it is still better than that of any other country.” I think that by now, Canadians understand that tariffs are here to stay. It does not matter if someone is a Republican or Democrat down in the United States, tariffs are here to stay. It got so bad for the Liberals that they hired a former Conservative leader to be part of the negotiation team to see if they could salvage something, but it is not looking so great. The promise during the campaign was to invoke the Emergencies Act to get projects built, but that was scratched. Then, it was the Building Canada Act. When people come to me and ask what it is all about, I have to tell them that I do not know; I have no idea. I get process, but this is now such a scattered plan. We just heard the Liberals debating against tanker traffic. It is their MOU with Alberta, not ours. They have the gall to mention that there was no consultation on this bill. There was no consultation on the MOU or the co-operation agreement. Even with Pathways, they made the announcement of carbon sequestration and then they went over to the first nation and said, “Okay, now we are going to consult with you,” even though they had made the decision. It was an afterthought. There was no respect for section 35 of the Constitution. Then the government brought in the doublespeak again. To save face, it was going to talk about consent. It had already made a deal to fast-track a project within one year, with shovels in the ground and all that stuff. Then the Prime Minister said that he would not do anything without consent, not only the consent of the first nations, which would have to be an elaborate plan, but also the consent of the Premier of British Columbia. The government was fighting against its own MOU. It was fighting against its own co-operation agreement. It was fighting against its own Building Canada Act. All this mixed messaging is failing Canadians. The biggest announcement in the last year to diversify our oil exports was to revive Keystone to bring more oil to the United States. That is not even ironic. The idea was to get away from or at least diversify the markets away from America, not build up more dependence. When we are talking about the tanker ban itself, we have to know what it is. The ban prohibits oil tankers from stopping, unloading or loading in any port in a designated area. That is it because currently people are allowed to import or export, or even load or unload, 12,500 metric tons of crude oil or persistent oil products. The Liberals talked about diesel spills on the west coast, which have been happening for the last 100 years. Tugboats go down. Seine boats go down. Gillnetters go down. It does not matter what one’s background or ethnicity is. Everybody who owns a boat that sank has contributed to that diesel or gasoline spill. That is not new. In fact, the first nations that still depend on diesel for electricity have had spills at their docks. Now we are trying to eradicate that, of course, but it is going to take time. We are talking about a voluntary exclusion zone, a buffer zone between tankers and much of B.C.’s coast extending further offshore. We saw the story of an oil tanker going up Hecate Strait between the mainland of B.C. and Haida Gwaii, but we did not get an explanation as to why. I thought it was because of the International Maritime Organization’s laws, which Canada is a signatory to. We are talking about safety. There was a rumour saying that it is a shorter distance for an oil tanker to come up from Burnaby, B.C., to go up the strait and then head over to China. That is not much of a tanker ban. The risk is still there. The Liberal government likes to talk about risk, but fails to mention all the tankers coming from Alaska to Washington state. What does Washington state do with that crude oil? It turns it into aviation jet fuel, gas and diesel, and we buy it from Washington state. We do not have a domestic energy policy. We are vulnerable. We saw the flooding that happened on the Coquihalla Highway in B.C. It got to a point where the Americans came to B.C.’s rescue. B.C. residents were rationed to 30 litres at a time for a fill-up at a gas station. What did Washington state do? It supplemented B.C.’s supply of gasoline and diesel by barging up more gas and diesel. At that time, the NDP premier mused about expanding the refinery capacity at Burnaby, trying to get away from this vulnerability that Canadians face. There is also a penalty for violating this voluntary tanker moratorium. It can include fines of up to $5 million for each instance of non-compliance. It does not mention anything about Americans. It does not mention anything about the tankers coming from Burnaby.

Kelly McCauley, Edmonton West

Conservative
“I support this bill to end the ban on oil tankers off the northern British Columbia coast. The ban hurts Alberta, stops new pipelines, and has cost Canada billions of dollars. The government allows tankers on the east coast, so it should allow them in British Columbia too. Lifting the ban will help our economy and protect our energy independence.”
Official Hansard

Mr. Speaker, I am very pleased to rise to support the private member’s bill concerning Bill C-48. It is mind-boggling to watch the government continue to deny Alberta, and to also deny the facts around the system and the facts around the issue of the incredible contribution that the energy industry makes to Canadian finances and will make in the future as well. We have seen reports that say that losing the northern gateway has cost Canada $20 billion in lost revenue since the Liberal government cancelled it. The Liberals wonder who is going to bring a new pipeline to Canada and invest billions of dollars. The government wants industry to spend an extra $20 billion for carbon capture. Who is going to spend that to develop a pipeline to nowhere, as the government is proposing, with $20 billion just for the carbon capture, on top of perhaps another $15 billion to get a pipeline to the coast, only to have the Liberal government say no to Alberta oil off the B.C. coast”? At the same time, the same Liberal government allows hundreds of oil tankers up and down the St. Lawrence and off the east coast, while in B.C., where we have never had a single major spill, the government, not for scientific reasons or financial reasons but for purely ideological reasons, is saying no to bringing Alberta oil to off the B.C. coast. The private member’s bill would end the tanker ban off the B.C. coast and would bring untold wealth to the country when we need it and energy sovereignty when we need it. What better way is there to fight against the Trump tariffs and the economic uncertainty than building this in Canada now?

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