Fifth Session, 42nd Parliament (2024)
OFFICIAL REPORT
OF DEBATES
(HANSARD)
Tuesday, April 2, 2024
Afternoon Sitting
Issue No. 403
ISSN 1499-2175
The HTML transcript is provided for informational purposes only.
The PDF transcript remains the official digital version.
CONTENTS
Routine Business | |
Orders of the Day | |
Proceedings in the Douglas Fir Room | |
Proceedings in the Birch Room | |
TUESDAY, APRIL 2, 2024
The House met at 1:32 p.m.
[The Speaker in the chair.]
Routine Business
Tributes
PRABHA CHAND
S. Chandra Herbert: I rise with some sadness. I’ve lost a grandmother-in-law, but our extended family has lost a wonderful woman, Prabha Chand. She’s the grandmother and the great-grandmother of many.
My father-in-law’s mother, she was born in Fiji to the parents of indentured labourers brought to Fiji. Despite a tough upbringing, she managed to raise an incredibly beautiful, large, wonderful family that has faced some tough times but has come to B.C. to build a better life. She had seven children, including my father-in-law, Sashi, 15 grandchildren and nine great-grandchildren. She loved to garden, and she loved her Radio Fiji Mirchi.
Certainly, we heard all about this last weekend in Surrey, where we marked her passing. I just want to say to all of the family: “We’re with you. We think of you.” We thank Prabha Chand for bringing her leadership and her love to this province of B.C.
I also want to say a special shout-out to my brother-in-law, Sherat Shakti Chandra. Happy birthday to him.
We thank you, hon. Speaker and everyone, for thinking of our family in this challenging time.
Orders of the Day
Hon. R. Kahlon: In the main chamber, I call second reading of Bill 12, Public Health Accountability and Cost Recovery Act.
In the Douglas Fir Committee Room, I call Committee of Supply for the Ministry of Emergency Management and Climate Readiness. After that completes, I call Committee of Supply for Ministry of Agriculture and Food in the Douglas Fir Committee Room.
In Birch Committee Room, I call Committee of Supply for Ministry of Environment and Climate Change Strategy.
[J. Tegart in the chair.]
Second Reading of Bills
BILL 12 — PUBLIC HEALTH
ACCOUNTABILITY
AND COST
RECOVERY ACT
(continued)
M. Lee: I’m just going to resume my remarks on Bill 12, the Public Health Accountability and Cost Recovery Act. I am the designated speaker for the B.C. United official opposition caucus. I had the opportunity to comment on the concerns relating to the large overreach by this government under Bill 12.
I know that the Attorney General, in her second reading speech, commented on the fact, in her words, that the two existing acts that this bill, Bill 12, is somewhat modelled after are the Tobacco Damages and Health Care Costs Recovery Act of 2000 and the Opioid Damages and Health Care Costs Recovery Act of 2018. They were, in her words: “vigorously tested in courts, and the government has either successfully defended them or refined them to ensure their validity and success.” That’s the way the Attorney General put it.
This actually gets to one of my concerns relating to this bill, and that is the overreach, the questionability of some of the provisions, the way they are loosely and broadly defined, and the fact that, no doubt, in the words of the Attorney General, it may well be that Bill 12 will be vigorously tested in the courts. But that was a case where those previous pieces of legislation were found to be not constitutional in terms of certain provisions.
That certainly was the case with the first bill, the Tobacco Damages and Health Care Costs Recovery Act. There was a resetting by government to have to reintroduce legislation that would meet the laws of our land. As we know, the Premier, when he was Attorney General and even under his leadership of this government, time and time again, has found himself and this government to be at defeat. Case after case where this government has aggressively stepped outside the bounds of our constitution, our rule of law, and been found to be unconstitutional with other pieces of legislation, including around ICBC reform.
We’ve seen that. We’ve seen the efforts that the Premier has done to undermine the rule of law and the independence of our judiciary by changing the rules of court, by changing the rules of evidence, by compressing costs, and by eliminating the ability of injured British Columbians to challenge ICBC, as the chief litigant in our province, to get the care they need.
As you know, I’m not here to debate ICBC reform today. I will continue with Bill 12 to say this: it only demonstrates a continued pattern by this government and this Premier to aggressively push the envelope, as we say, in terms of our laws of our lands.
In this instance, there have been concerns raised, not just by the business associations that I mentioned before the break but also by legal councils and law firms who are specialized in product liability, class action suits and the like. I’d like to continue to provide remarks on the concerns around that.
I did refer to the fact that the Attorney General had referred to, in her Bill 12 second reading speech, this bill as flexible, and I do have the direct quote here that it will “adopt duties and obligations that are imposed in the future and torts that have yet to be created by the courts.”
This bill is both retroactive — for reasons that I’ll get into, in terms of limitations of liability and the like, as I go through some of the other provisions of Bill 12 — and forward-looking.
The challenge with this is that as this government tables this bill in this House, companies and businesses that operate here in our province will have a real challenge assessing the regulatory impact of this bill on the way they conduct their business, both in terms of products and services they provided in the past and products and services they plan to provide in the future.
Now, I will say I do recognize, once again, the intention of this bill, the challenges that we’ve seen around young people and what they’ve faced online. We know that there have been a number of very regrettable and tragic deaths of young people as a result of what they’ve faced online.
I mentioned, before the break, Carson Cleland. We are also very well aware, regrettably, as members of this House, of the tragedy of Amanda Todd. We know the challenges that we saw internationally, as well, in terms of convicting that Dutch national, Aydin Coban, for all the harms and the harassment and the luring that he did of Amanda Todd.
I understand that there’s a concern about the platforms that enable that kind of criminal activity that needs to be stopped. But I say that that should be the focus of this bill. That’s certainly one of the focuses of Bill C-63, the federal legislation.
I know that the member for Vancouver-Quilchena, the Leader of the Official Opposition for the B.C. United caucus, certainly has spoken out about the harms to women, to young people, to children through online platforms. He’s been very vocal about his concerns, that we all share as members of the official opposition, about those harms online. Certainly, I know that we are supportive of efforts that deal with those platforms, the harms that they can cause.
But I look forward to the committee stage on this bill to get into how this government sees this bill as enabling the government of this province to address the online harms that we continue to see on big platform social media companies. I think we share that concern.
The challenge, though, with the bill is the broad, sweeping nature that has been referred to as unprecedented, while well beyond the approach that was taken in terms of the previous health recovery bills or laws with respect to cigarettes and opioids.
When I talk about the retroactive nature, the 15-year limitation of liability and some other provisions I’ll talk more about in detail, and then we talk about the future, in terms of this statement made by the Attorney General in her second reading speech, the challenge is that in the face of the regulatory environment that businesses in British Columbia are faced with, the rising costs, rising taxes, all the impacts that this government has brought on our province…. Those costs, of course, we all pay for as consumers.
Those costs, the additional regulatory burdens, the risks, all of that that needs to be dealt with and addressed by companies and directors of those companies’ management teams, to deal with a new regulatory framework under Bill 12, is only going to add additional cost burden to the end consumer, to British Columbians at large, because it’s not well defined.
We’re talking about causes of action, in effect, for duties and obligations that will be imposed in the future, torts that have yet to be created by the courts. Companies who produce products and services don’t do it just every week. They have a plan. They have a business plan. They make investments in capital, in their plants, in their employees, in the technology that they’re acquiring. They’re making multi-year commitments to their businesses, whether to open up a new store, which could be a beer and wine store, a cannabis store that’s regulated, gaming operations.
These are some of the so-called harms, I believe — my general sense when I look at the media coverage again as to how this government has presented this bill. We will get into some of those social harms.
As I have been asking throughout the course of my remarks here, how are directors supposed to assess the impact of this regulatory framework on their business plan when we’re talking about future causes of action for torts that have yet to be created by the courts? That’s the kind of risk exposure that companies are taking on here under this bill because of the broad, sweeping nature of the bill itself.
I spoke to some of the challenges around the bill itself, and I wanted to go back to some of those and comment further, because I do think it’s important. We are calling on the government to hear the concerns of these 24-plus business organizations that have called on this government and all members of this Legislative Assembly to pause consideration of Bill 12 so that there can be proper consultation, engagement, understanding and certainty addressed by Bill 12. To date, as they’ve clearly stated, there has been none of that collaboration and opportunity for consultation.
This is the reason why they sent that letter on March 28 to all of us. I hope the Premier and the Attorney General are listening to this call. I’m sure that other members of the official opposition will be echoing that call through the balance of the debate on Bill 12.
I would say that…. I mentioned earlier, when we talked about some of the challenges with the bill itself, that we see considerations as we look at the actual provisions of the act itself. There is a provision here, when we’re assessing what a health care benefit is, under clause 9 of the bill. This is one of the provisions I wanted to note off the top.
This government puts itself in the position of certifying, in the course of recovery of a pursuit, of recovery of health care costs…. They put themselves in the position to provide a certificate, under clause 9 of this bill. Clause 9 of this bill suggests that there can be a certificate provided, issued by a minister of government, of the provincial government or the federal government, for the purpose of the various actions under clause 2 and clause 3 of this bill, which set out the costs of the health care benefits that have been provided.
Here’s the kicker: “…and will likely be provided for a benefit recipient or population of benefit recipients who have suffered damage caused or contributed to by a health-related wrong.” That is supposed to be conclusive proof.
This government has this overreaching, overarching structure, regulatory framework that I’ve been describing, and then says: “But we’ll tell you. We’ll tell you the damage that you’ve caused, the costs that you need to provide back to us.” That cost is determined not just because a benefit recipient has received that health care benefit — or a population. So we’re talking now of a population of health care benefit recipients, not defined.
A question. We have terms like “population of benefit recipients.” What is that supposed to mean? Is that more than one? Presumably, it is. It’s not just the recipient, a benefit recipient. It’s a population of benefit recipients. Well, what constitutes a population?
I know here in the context of this bill, it also talks about…. I’ll pull it out, because I’ll get back into it for a different reason. It talks about how the bill will take into account the market share. I mean, we’re talking about, presumably, the health care benefits that have been provided to a population of benefit recipients who suffered damage caused by or contributed to by the health-related wrong. It’s that greater population that has been affected. It’s also somewhat determined, I believe, by market share.
This is the government deciding all these things without any opportunity for review, a counter submission. This is conclusive proof. It means that whatever government says is what the business needs to pay up, not only for what has been caused, which I talked about earlier — the dangers of the questionability about using terms beyond “cause.” We’re talking now about “contributes.” It has been contributed to by a health-related wrong.
Well, what’s a contribution? That is a very indirect term. That needs to be tested in the context of this bill. What exactly does that mean? “Contributed” could be that we’re in the area, we’re in the general field or we’re promoting a product that some other supplier has caused damage with. Does that first supplier who didn’t cause damage with their product because it was a secondary supplier that caused damage with their product…? Is that a contribution? It may well be.
The kicker is not just those benefits that have been provided but “will likely be provided.” What does that mean? Does that mean in the course of time? We’re now talking about a certificate that says, “On this date,” the government of B.C. says to this company, “you need to pay back this amount of costs of health care benefits,” for the reasons I just generally referred to. “And by the way, our assessment is not just for those costs today but the costs tomorrow and the day after that and the month after that and the year after that.”
When does it stop? Well, it’s “will likely be provided,” so presumably over the course of the lifetime of the recipient for whom a product has damaged his or her health. It is completely open-ended.
I’ll tell you what. I was going to say this later, but I’ll connect the dots here for the members, at least on the government side. “Joint and several liability of directors and officers.” I mentioned earlier that this is a very high bar, a very high requirement that’s being pushed on directors and officers of companies when they can be held “…jointly and severally responsible…for the cost of health care benefits caused or contributed to by the health-related wrong.” Those are exact same words that track this certificate.
So government delivers a certificate. The company can’t pay up. You, as a director, have got to pay up. And you know what? There is no limit on how much that director…. We’re talking jointly or severally liable. All the directors or the individual directors? If the company has financial difficulty for maybe this reason or other reasons, reputational or otherwise, who pays up? It’s that individual director. And there’s no limit on clause 13 — no limit at all.
This is the expectation of this NDP government. These are the kinds of challenges when you get into the details of a bill that’s being presented and the way it’s being presented. And this, no doubt, is the reason why. I’m just giving yet another example of the reasons why business associations around this province are saying: “Let’s take a pause here, government, please. Let’s reflect and understand the full nature of what you’re asking us to take on — the impact of businesses.”
From the B.C. Business Council to the B.C. Chamber of Commerce to the Canadian Federation of Independent Businesses to the Greater Vancouver Board of Trade — these are just some of the organizations that have spoken out to sign up with this letter and express these concerns.
I must say, we’ve seen, time and time again, a government that’s completely out of touch, that is not listening to British Columbians when they’re saying: “We need to be consulted. We need to understand. In your rush to push forward legislation in the dying days of this Legislative Assembly, you need to think about all of the implications, the unintended consequences.”
My concern, as I just walked you through, the certificate provision and the joint and several liability provision, clause 9 and clause 13 of this bill, that it puts undue pressure and responsibility…. I say that recognizing, of course, that directors and officers have specific responsibilities to ensure that the companies that the director and officers are for are conducting themselves in an appropriate, responsible manner. Of course.
In the face of an ill-defined bill, one that has a lot of questions around it, this puts a lot of financial pressure and risk exposure on a director. It’s hard enough having companies — directors and officers who want to conduct business and build their futures for their employees, the workers of this province — commit to this year and 2024 and 2025 and the years that follow.
In the face of what we have seen…. I saw reports. Alberta, of course, is increasing net immigration, including from British Columbia. Businesses, employees, directors, officers, management teams — they’re moving. They have options, just even over our border with Alberta, no doubt with a lower tax structure, a more beneficial, efficient cost structure for government, for businesses. This is the competitive landscape that British Columbia faces, and in the face of this, this government comes forward with this bill. It’s yet another burden on businesses when it’s not well formed.
I’m just going to take the opportunity to read one quote from the letter from the business associations into the record, because at this particular juncture of my remarks, it does frame what I’ve said to date and, perhaps, the balance of what I’m about to say. This is from the letter from the 24 business associations across the province dated March 28, 2024.
“The potential consequences of these points” — the points that I’ve been referring to as well — “could be significant. An expanded scope of liability, along with the related expanded legal and insurance costs due to the broad nature of the bill, are significant concerns for B.C. businesses. These costs come amidst economic uncertainty, low growth and a rapidly rising population. B.C.’s economy is slowing, as demonstrated by a year-over-year decrease in retail sales per January 2024 data. Inevitably, these costs, associated with increased liability and uncertainty, are paid by consumers and businesses.”
That quote on page 2 of the letter I invite every member of this House to read, alongside all the other concerns expressed in this letter, and reflect on it. It encapsulates the concern about Bill 12. This is why there’s the calling for a pause on the advancement of the bill in order for the work to be done with stakeholders, including these business associations and their membership groups and other stakeholders, to refine the intent, the purpose and the language of the proposed law. That is what I just referred to as the specific request by these business associations that that pause be done on that basis.
One of the main concerns that we’ve talked about, we’ve included around the certificate itself. That is an example of the further overreach by government in this bill. Perhaps it was a shorthand way to close up some gaps of concern, but in doing so in such a broad-brush way, it puts businesses and their companies at a significant disadvantage to address the regulatory requirements under this bill.
I mentioned earlier that the level of detail in this bill is lacking, that the Online Harms Act, Bill C-63 federally, by comparison — with bilingual translation, of course — is 90 pages and smaller font, double columns as usual. This bill, in bigger font, bigger format, is what? I don’t have page numbers, but it’s ten pages or 12 pages? It’s the kind of legislative framework that this government has put forward which lacks in the right level of detail so that businesses can assess how to manage that risk going forward.
I will also add that under clause 8 of this bill, here is another shift. It refers to the fact that statistical information and information derived from epidemiological, sociological and other relevant studies can be utilized as evidence for the purposes of establishing causation and liability. This is a significant departure from what we’ve seen under class proceedings legislation in British Columbia and in other provinces, where statistical information may only be used for determining issues relating to the amount of the distribution of the aggregate monetary award.
This Bill 12, under clause 8, is going one step further in this broad-brushed approach when we’re talking about how a government establishes causation.
I will say it doesn’t say “contribution” or “association.” That’s a challenge. Again, I question the use of the words “contribution” and “association” throughout this bill. The focus in this particular clause, though, is just causation. Presumably, at least, the drafters recognize, under direction of this government, that at least we’re talking about causation, not contribution or association.
But this is broad. It is sweeping in nature because it is a real shift in terms of how statistical information is typically used. It’s used, usually, in class proceedings under related legislation just to the amount to determine the aggregate monetary award. This is a significant departure from that, and it does cause some concern as to how it’s being utilized.
I will also say that unlike where we see the determination of health care benefits, it’s being done on an aggregate basis. That is similar, I will acknowledge, to what is there under the tobacco and opioid legislation. It’s not necessary for the government to identify an individual benefit recipient or even prove the cause of the disease. So this, again, is a very generalized approach that is being taken here to the kinds of potential harms that are being covered and for which costs are being recovered under this bill.
I will note that we look at the limitation and liability section, and that, again, is a 15-year period. Also, any action that’s been commenced by the government for damages similar to the cost of health care benefits is revived if the action was previously dismissed in relation to limitations legislation.
This is a fairly broad and open provision in terms of the applicability of this bill. It is sweeping in nature in terms of both the limitation period and the ability to reopen previous actions that were in place or commenced by government if that action was dismissed prior to this legislation coming into place. This is another example of the reach-back of this bill and the kind of considerations as to the overall broad nature of the bill itself.
I will say that as we look at the considerations around the types of actions that are being looked at, the harms, there’s a significant focus on what the Premier talks about, the big, faceless companies, the companies that include social media giants, vape manufacturers and energy drink makers. It is a space, no doubt, that for reasons that I’ve talked about earlier, about the online harms, has caused a lot of concern among parents like myself, families, for children and youth.
But of course, there are other ways to address these challenges, and that is to bring appropriate restrictions on the use of these products. The online harms bill, Bill C-63, is an example of that federally.
Vape products, I know, my colleague the House Leader for the official opposition, the member for Kamloops–South Thompson, has been raising for years.
Under this government’s watch, we’ve seen the rapid prevalence of vape products, including in our school yards, school washrooms and schools. Young people and children are, no doubt, being pressured in many different ways, socially and otherwise. We need to have the appropriate safeguards around those products.
One could say the same for highly caffeinated energy drinks and ensuring we have the right level of labelling requirements, education and awareness for young people about the dangers and the pitfalls of the contents of these heavily caffeinated and the other contents in these energy drinks.
We know that we need to be clear. We need to hear directly from government about the types of other considerations and the specific nature of the products and services that this government is attempting to regulate and hold responsible and accountable and, in the manner of doing what they’re doing, that it does not unduly restrain and limit the ability of businesses to operate in our province because of the regulatory burden, the regulatory risk, the exposure to risk under this bill.
Now, I appreciate that the level of discussion that we’re getting into is not getting into this level of consideration. The letter we received from the business associations does not get into this level.
I’ve highlighted in my remarks to date the specific concerns that these business associations have been able to identify to date. In my remarks, I have gone on to get into another level of detail, I believe, which does give examples of other considerations and concerns about Bill 12, but it’s not exhaustive.
I appreciate that at committee stage, I’ll hopefully have the opportunity, depending on the schedule as to when this is addressed, to review in more detail the specific provisions and identify the concerns and hear the responses from government, if they haven’t already heard and listened to these business associations and paused consideration of this bill so proper consultation and understanding and clarity can be brought before the government continues with its legislative process here.
I wanted to make some other general comments about the nature of this bill, when we look at the potential challenges with the bill itself. This includes addressing the kinds of products and services with such an open-ended definition.
It does include reference to, potentially, the kinds of businesses that this government has struggled to regulate, including cannabis. We’ve seen the challenge with the legalization of cannabis in our country, under the current federal government, and the ways that this government, in the province of B.C., has implemented the regulatory framework around that.
For all of those cannabis business owners and operators who invest money and other investments in their businesses: look out. Not only is the government failing to properly regulate that environment and the challenges that we see from that but now the government is going to hold you accountable for the potential risks associated with and the likely costs in the future.
What does that mean? In an environment where government has freely implemented the legalization of cannabis and participated in the decriminalization of drugs in our province, as the first province in our country to do so, without the guardrails that the official opposition has been calling for that were understood to be the case — that hasn’t been the case under this government.
The government now is going to turn around and say to all legalized cannabis operators: what is the impact of that product? What is the risk to our young people in the context of ingesting and participating in a variety of cannabis products, edibles or otherwise, in a regulated marketplace supposedly licensed, enforced, including on First Nations land? What does that look like? All of those businesses are potentially liable, and the directors and officers personally liable for the related costs of the risks to that individual ingestor of cannabis and the life that he or she has, going forward.
Where is the level of responsibility? Now, I understand that we are holding companies accountable for products that have bad, ill effects, but what about that? We have a government that continues to participate in decriminalization of drugs in the way that it is, and now it turns around and says: “We’re going to hold you accountable.”
The drug culture that is being created in this province is a concern. We hear the Minister of Public Safety and Solicitor General of our province stand up and say that shouldn’t be happening in a Tim Hortons. Well, it is happening in a Tim Hortons. It’s happening in this province, in the culture that this government is creating. So with respect to this government, it needs to take a step back, as I’ve often asked the Premier to do.
In the rush to jump on the latest issues of the day, it provides what looks to me a bit like a band-aid solution or an attempt at one, which sweeps in so many other products and services.
We have a gaming industry in this province under the B.C. Lottery Corp. We have gaming grants that support many community organizations. We have a direct share of the revenues of those gaming revenues to First Nations in our province. This was the so-called first attempt by this government to address the overall fiscal framework of First Nations in our province.
Those individuals who commonly go to gaming facilities…. What are the harms? What are the costs? Prevention, education, the understanding of the mental health challenges. For those who get addicted to that sort of activity, the challenges on their families and, of course, if there’s some financial loss, the challenges that happen from there. And the interrelated assists that people look to when they’re in a challenging life situation, through drugs or alcohol or otherwise — this is what we’re talking about, I believe.
The services that a gambling, gaming, organization or business that’s regulated, the impacts, the risks associated with that activity — are we holding them accountable? I believe we are, because this is the way this legislation is drafted, without the specific targeting that we had under the cigarette and opioid legislation in the past, as challenged as that was, including in the courts. We have an open-ended, general piece of legislation that has hit the floor of this legislative chamber without the proper consultation and engagement with the very businesses that are going to be affected.
This is the reason why I’m asking this government to stand down this bill, to pause on this bill, to provide for the opportunity for what these stakeholders are asking for.
In a good way, we need to have an understanding. If we take another example, technology, we know that under the former governments, there’s been an embrace through the B.C. Tech Summit, the Premier’s Advisory Council on Technology under former Premier Christy Clark and the B.C. Liberal government, now B.C. United. We have seen many investments, commitments to the technology industry.
Today I heard from the Minister of Environment who referred to independent power production without actually using that term. He was trumpeting the fact that this government now embraces third-party energy production — I think that’s how he put it — otherwise known as independent power production under Gordon Campbell and the Leader of the Official Opposition, of the B.C. United.
I was there at B.C. Hydro at the tail end of those Gordon Campbell clean energy years and saw the nature of the investments in technology, new ways of producing energy in our province, new ways to have renewable power, including with First Nation partners throughout our province, ways that are powering and providing electricity for the vehicle I drive. This is, beyond Site C, the need for embracing innovation in our province that dates back decades.
Here we have a bill, Bill 12, that talks about products and services. Well, I would presume an electric vehicle is a product. I had the opportunity, back in 2017, 2018, with my prior electric vehicle, of driving up to Penticton, stopping in Hope and Merritt to charge up with the superchargers, including B.C. Hydro there. This was back in 2017 and 2018.
In the heat of the summer, on the way down the Coquihalla, my wife was driving — no brakes going through those chutes. Here we have a product that has a default. So I appreciate that as we talk about British Columbia under the former government….
Started under the former government, the B.C. Liberal government, was the adoption of electric vehicles in this province. But this is a specific focus for good reason. There are other ways to lower our carbon footprint. That is one way — the greater adoption of electric vehicles, including in buses, trucks, supply chain, elsewhere, forklifts.
We’re now talking about global companies that are coming into the B.C. marketplace that are facing this bill. What are they facing? Directors of a global company are now personally responsible for the risks associated with their product.
The vehicle I drive today sent me a message a couple days ago that said: “We’re going to give you access to our self-driving program.” I said to my wife: “I don’t think we’re going to try this out.” My son says: “No, we’ve got to try this out.” I said: “Well, okay.” Haven’t done that yet. But the point is that the world is rapidly changing.
Would a company like that send a message to its end-use customer and say, “You try this new program,” recognizing the liability and the risk exposure it has under this bill? Does this quash, limit, restrain innovation, adoption of technology in our province? Maybe.
I give two small personal examples of the kinds of risks and exposure that we’re talking about. I’ll give another one. I know the members of the Third Party, specifically the member for Saanich North and the Islands, have raised before, some time ago, including in his videos, the need to recognize the advance of artificial intelligence globally.
We are known in Canada and in this province to be a leader in artificial intelligence. The kinds of social harms that even Bill C-63 is talking about are today’s harms, for sure — the ones the Premier and the Attorney General have referred to as well. There are a lot of challenges in the future about the responsible use of artificial intelligence. I know that, as well, specifically, and it’s a specific interest of mine.
Also, we look at leading companies in our province that are leading even in the adoption of artificial intelligence for the purpose of municipalities, like Kelowna. I know that Kelowna recently was featured by Microsoft in the United States for its leadership in adopting innovation. In this case, they use it to get through the housing permit process faster.
They are not just using artificial intelligence and data management for that purpose. They’re using it across the board in terms of how it services the residents of Kelowna. This is just an example of the complex nature of product and service development that we have, including in this province.
The last thing I would want to see happen, apart from all the existing businesses and associations that have written this letter on March 28 but also for those innovation companies that I’ve just given a few examples of, is that it does not constrain the development of their products and services unintentionally.
Now, again, I get the dark side of the considerations around artificial intelligence. Many members in this House, I’m sure, appreciate that, but I’m also talking about the positive impact that AI can make. I think when you’re talking about technology innovation companies, they’re taking some risk. I don’t mean from a regulatory, personal harm point of view, but they’re risking everything — capital, their livelihoods — on technology advancement that may or may not see the light of day or may not be commercially profitable.
With a broad, sweeping bill like this, without a well-defined legislative framework, it has the potential, at least in the time that I’ve spent looking at the bill, to constrain that level of innovation and advancement in our province.
I’ve given the examples on the other side about cannabis and gaming. I think that there are other harms that potentially the government is looking at. It would be good to know from government, specifically, what those harms are, because to date we’ve only heard about the online platforms, the energy drinks and one other one that I did already refer to earlier. Apart from those three categories, that’s all we’ve heard.
I think it’s important that we have a good understanding from government as to the uses of this bill. But even as we have that, the challenge is that the bill is so broadly worded, it doesn’t say, for example — I don’t believe, unless I missed it — that the categories of products and services that this bill will address will be specified by regulation. It doesn’t say that.
Even if it did, of course, government can change that any time. It does not give a lot of certainty to businesses and economic development in our province. This is the overarching concern relating to this bill, the concern around how, with the overreach, it will have that impact.
If I go back to some of the other provisions of this bill, we have….
This is another way of approaching the challenge around the way the bill is presented. The definition of “disease, injury or illness” includes the following: physical or mental injury or illness, problematic product use — I’ll come back to that — addiction, general deterioration of health. The one I’m trying to get to is the one at the bottom: the risk of disease, injury or illness.
Even if we just treat the definition as a stand-alone and focus on those words without seeing how the term “disease, injury or illness” is being utilized in the bill, which I have referred to earlier and I can again, if there’s time, the risk of disease…. Disease, injury or illness means the risk of disease, injury or illness, so what is that risk?
[S. Chandra Herbert in the chair.]
I’m referring to what risk is as defined in the definition of “disease, injury, illness” in Bill 12. I’m focusing on those words because it’s another example of the general and broad nature of this bill. It doesn’t have a clear definition of risk. Clearly, risk is not defined in this bill — the limitations or constraints or criteria around what determines a risk. As a result, the risk of disease, injury or illness….
Just think about risk of disease. Risk of disease includes any underlying causes, presumably, that a person who ingests cannabis or any other substance which is supplied by government….
We have this situation, as you well know, Mr. Speaker, in this province, where the government continues to put a lot of focus on the public supply of addictive drugs. We’re now talking about government providing that product. I know that the government does that, in part of its thinking around service, to help those who are addicted to drugs get off drugs. Obviously, as you know, we have a big focus on recovery, which this government doesn’t seem to have.
Putting that aside, what is the long-term effect of ingesting those drugs? Is that not a risk of disease or illness? If I step back from that, we also see there is a category of disease, injury and illness, including general deterioration of health and, of course, addiction itself…. In any one of these three categories that I’m referring to….
I think there’s a challenge here, when we’re talking about the product being drugs. It’s a challenge to this government, as well, I would suggest, particularly when we are looking at addiction.
Addiction to drugs, as a product in itself, is a disease, injury and illness that’s governed and caught within this act. How that plays out takes some discussion. I am noting, for the Attorney General, that this is an area that I would want to pursue in the context of committee stage. It will work through the bill, with examples like this, as to what the impact of that is.
I will also note, for the purpose of the second reading speech, that disease, injury or illness includes problematic product use. I had that same reaction as my colleague here. It sort of just jumped out at me. When we’re saying…. That means there are other uses of the product that are not problematic. So those uses of the product that are not problematic are not caught and are not included in disease, injury or illness. I’m not even sure why a disease, injury or illness includes product use. You’d think….
Again, I appreciate that I’m just looking at the definition in isolation. In context, in the way this term is being utilized, it may explain away my concern, but I doubt it. Not when we’re talking about what I would expect — an end state.
You’re talking about a disease. You know what that looks like. A person’s got a disease. A person’s got an injury. A person’s got an illness. You know what those things look like.
How is product use a disease, injury or illness? You’re using a product. Well, no. Wait a second. You’re using it not in a good way. We say it’s problematic that you’re using it. Therefore, you now have a disease. You now have an injury, or you now have an illness. Why? It’s because this piece of legislation, Bill 12, deems it so. So it must be true.
Then, under clause 9, government says: “The cost we had to incur to help deal with your problematic use…. We say it’s this, and it will likely be this in the future. Therefore, company, you’ve got to pay us back. Therefore, you, director, are responsible because the company can’t do it.”
These are the convoluted possibilities that are there under this act the way it’s formed. It’s no wonder these business associations, the 24 or so of them, are asking for a pause. When they see terms like this…. They didn’t even put this in their letter. I appreciate that they’ve isolated and expressed specific concerns.
Here we are now talking about problematic product use. Those, to me, in combination with risk, and then we are talking about general deterioration, are three examples out of five. There are only five categories here. Three of them are, arguably, overly broad and not well defined under Bill 12.
This is the core definition of the bill. This is the harm, presumably, that the government is trying to address, to hold private companies and actors responsible for the harm that they cause.
The reason why we’re getting the recovery of health care benefits is due to the challenges that we see for a “health-related wrong.” That is, as defined under this bill, “(a) a breach by a person of a common law, equitable or statutory duty or obligation owed to persons in British Columbia, or (b) a tort that is committed in British Columbia by a person and that causes or contributes to disease, injury or illness.”
This is where the term, under the core…. This whole bill is about health-related wrongs and the recovery of the benefits that have been paid out by government in relationship to that health-related wrong. So where we have these terms — “risk of disease,” “general deterioration of health” and “problematic product use” — is under health-related wrong. It needs to be a tort. It either needs to cause or contribute….
Here we have a tort that contributes to a problematic product use. I don’t see how that even makes sense, when you read those words. When I read this clause, “health-related wrong….” Under clause 1, “a tort that is committed in British Columbia by a person and that causes or contributes to disease, injury or illness….” That means it’s a tort, and it contributes to a problematic product use.
We’re talking about the regulation of the products themselves. The government is saying: “You, business, are responsible. You’re producing a product. There has been a tort committed, and you contributed to a problematic product use.” This may be a very specific example, but it is an example of why this bill needs to be paused as to how it is framed and what we’re talking about here.
I think it suggests that a product could be used properly and, therefore, not caught within the bill itself. If it’s not properly used…. It could be something that’s produced in a good way. There’s nothing wrong with the product itself, but it’s the way it’s used.
I suppose what government is going to say is that there’s a responsibility by the producer of the product to ensure that the product itself is not used problematically. Well, that’s a whole level of new responsibility that we’re putting on companies in terms of how people use their products.
We were talking about a scooter, how that could be improperly used — safety measures. We have a government that needs to ensure that the rules of the road, safety measures, either at the workplace, on our streets, in our communities…. This is a government that needs to do its job, not always look to shift that responsibility to someone else.
I understand the need to hold bad actors accountable and responsible. That’s why we have courts. That’s why we have laws. We have legislation, product safety or otherwise. But that’s what this government should be focused on.
Again, I understand the intention of this government in terms of some of what they’ve expressed publicly when they presented this bill. Certainly, our Leader of the Official Opposition recognizes that as well. But because of the broad, sweeping nature of this bill, for the examples that I’ve given today, it needs to be stood down. It needs to have the benefit of additional consultation, or any consultation on this bill. It doesn’t appear from this letter that there has been any.
This is something that, although the Premier did make some mention…. I believe back in January, there was some mention of his intent. I think that intention was focused on online harms. I could be wrong about that. But even on the day that this bill was announced and tabled, on March 14, two weeks before the letter came in from these business associations, it still focused on online harms and social media giants.
Even the example the Premier made about holding companies responsible referred to two examples. He referred to four different categories of big, faceless corporations. We have a Premier of our province that continually, always…. This is what we see here repeatedly. The understanding of what companies and corporations do….
Well, I will tell you what they do. They employ people. They create jobs. They give all of us jobs. In fact, they give us jobs here. They contribute to the tax base. My father, when he had a drugstore on the east side of Vancouver, created jobs. When he went on to have a pharmaceutical manufacturing company, he created jobs. Those created products.
These are the kinds of things that when we’re talking about big, faceless corporations…. Well, big, faceless corporations in B.C., because we know, as the saying goes…. I know this government likes to parrot it. We recognize the significant percentage, over 94 percent, that are small businesses, in terms of how we define that in this province.
They’re not faceless, but we have a Premier that continues to downplay and denigrate businesses in our province of any sort, whether they’re carbon-based, resource-based or technology-based. I don’t get it. The big, faceless corporations that he talks about…. This is the Premier of our province. Social media giants, tobacco and drug companies and other big, faceless corporations….
Well, as I say to the Premier and to the Attorney General, we know, as I’ve been referring to…. We do have the Tobacco Damages and Health Care Costs Recovery Act.
Is it the intention of this government that they’re introducing legislation that fills in the gaps of the legislation to regulate tobacco companies? If they are, isn’t it more appropriate to introduce amendments to the original piece of legislation that they had to originally, under a previous NDP government, pull back, because it was viewed to be not constitutional, and then pull forward again? If there’s something that’s missing here, they should do that.
Drug companies. Well, drug companies I’ve talked to in part, but we know we had the opioid legislation as well. That’s in place. Again, same point. If there’s something that is missing in that piece of legislation, this government should bring forward amendments to that piece of legislation.
That leaves us with social media giants. I’ve submitted, through the course of my remarks, that there is a lack of specificity in this bill if it’s the intention of this government to deal with online social media platforms. It ought to do so in a more targeted, specific way, like the tobacco and opioid bills that this government and former NDP governments have put in place before.
My current example of that approach, as I’ve mentioned, is Bill C-63 federally. That bill, the Online Harms Act, which has been in second reading in the House of Commons in Ottawa, includes cost charges; regulations to impose charges on social media operators for the purpose of recovering the costs of the new regulatory mechanisms and administrative penalties which relate to the moderation of the content — this can include nonconsensual intimate content, content that victimizes children, content that ferments hate or incites violence; and having additional regulators put in place: a digital safety commission, a digital safety ombudsman and a digital safety office of Canada.
These are examples of the kinds of measures that even if this provincial government saw the need…. Recognizing, of course, that this law is still moving forward in Ottawa, recognizing that that is the case…. But even looking at…. If there are some provincial gaps in jurisdiction that this government needs to address, address those gaps specifically. Tell us what they are and deal with them.
I recognize, certainly, that Bill C-63 also deals with hate speech and incitement of public violence online. This is additional strengthening of relevant Criminal Code provisions that I’ve spoken to the Attorney General, and written to her, about in terms of what’s happening on our streets. I know the importance of also getting that right.
This bill, by the way, does not deal with that at all. I don’t know that I heard this from the government here either. I didn’t hear this, so I’m not suggesting it. But it’s certainly not the companion piece to that piece of legislation. It doesn’t even deal with hateful incitement speech, incitement of violence, content related to that. We’re talking about products and services.
So I think there are gaps, potentially, certainly when we talk about different types of harms online. That doesn’t come into a product or service, and it’s not something that causes an injury, disease or the other category that I referred to, illness.
It does come back to focus. It comes back to focus and priorities by this government. I understand, and I mentioned earlier, that under the legislation, we are talking about terms relating to present value that bring it forward.
I am looking for…. There is a concept here. One example of what I was referring to earlier is under clause 5: “Recovery of cost of health care benefits — risk.” That’s the title.
Clause 5(4) says: “In assessing the proportion of a defendant’s contribution to disease, injury or illness” — there’s that term again — “the court may take into account anything it considers relevant, including a defendant’s market share in a product.”
Clearly, the focus and the way that this bill reads…. It’s no wonder that these business associations are alarmed, because it reads to specifically specify concepts like this. We’re talking about how businesses operate, the kind of market share they have of a particular product in the marketplace. Well, that certainly attributes the kind of liability exposure that one has. But who determines that?
Who determines the defendant’s market share? Who determines that when we’re talking about a company that’s operating outside British Columbia, inside British Columbia, and causing the harm that we’re talking about — the nameless companies that the Premier is so focused on?
I think it suggests that there’s a recognition of the kind of impact, the determination around the kind of product liability impact that a company ought to be exposed to. That is the reason why I do find it very concerning that even though the province, the government, seems to recognize that part of it, it doesn’t recognize the importance of limiting and putting a cap on overall damages when it comes to joint and several liability for directors and officers. That is despite the fact that there is a due diligence defence available to itself.
I would say that that due diligence defence is fairly challenged because it assumes that a board of directors and management team will be able to properly assess the kind of damages, the kind of risks that Bill 12 is referring to, the kind of risk exposure to be able to put mitigative actions and plans to address that risk. So it does assume that even in terms of the exercise of this reasonable due diligence defence, a corporation and its board of directors and officers will be able to assess for themselves the kind of risk exposure that Bill 12 has spelled out.
This is the reason why, when I look at Bill 12 and the level of definition being what it is — broad, open-ended, loosely defined, not defined, no specificity…. These are all the challenges with this bill. I’m suggesting this not as legal advice; I’m only suggesting this on the floor of the House here. It’s little comfort for those directors and officers when it comes to their due diligence defence under this provision. Again, I say that in the context of a second reading speech.
I know that the government needs to take a pause and consider, hopefully, the comments that I’m making here today, that they’ll reflect on points that were made today and concerns and considerations which are an expansion on the principal concerns that are raised by the business associations in their letter and other legal inputs.
I think that in the absence of a targeted approach, the government is elevating the level of risk for companies to either consider alternatives as to whether to invest in B.C. businesses, to continue to have products produced by a B.C. subsidiary…. That, by the way, does raise another question.
When we’re talking about an international global entity, corporate entity — again, like the Premier likes to refer to, a nameless corporation…. They do have names, by the way, I’d like to inform the Premier. They do all have names. Putting that aside…. They’re not Billy and Bobby, for sure. But they are persons under the B.C. corporations act, and the Premier well knows that.
The point is…. When we have a company that has a subsidiary producing products in British Columbia, do we run the risk of that company not wanting to produce its products in British Columbia any longer, relocating its plant somewhere else, like Alberta, producing the product there because they’re not exposed to that same level of undefined risk that we see in Bill 12? Here’s another scenario that I’m urging the province to consider.
I’ve got to say again that with the level of reference that we continue to see under this Premier and this government to businesses in British Columbia…. We’ve seen this repeatedly in changes to the labour code and labour legislation, of course. I have a colleague here, the member for Shuswap, who has raised this repeatedly to the government.
We see this in the mining sector. Again, the member for Kootenay East has been here, the member for Peace River North. We’ve seen so many of these challenges in the forestry sector and the mining sector.
There’s a lack of understanding, which is endemic in this government, that we see in this legislation. I think that business associations in our province are recognizing this. Maybe they’ve recognized this in the past, of course. Maybe they’ve communicated that directly in their one-on-one conversations with ministers of the Crown here.
For them to all sign a letter and submit it, en masse, as they’ve done, on March 28, should give this government some pause. It should. It’s not just the official opposition, B.C. United, that is talking here about some scenarios and some speculation about what this would mean.
These are real concerns that the government should be addressing. They should be addressing this before this legislation comes to the floor. Now that it’s on the floor and we’re in the middle of second reading…. It needs to take a pause now to talk to these industry associations and business associations around the province, to engage with them, to get their input, to consult with them so that government can understand the risks associated with the bill that they’ve presented.
Again, they have identified, in clear detail, the concerns that they have with this bill. In summary, they include the broad definition of “product”: goods, services or by-products. That is sweeping in the sense of what is covered by this bill. It covers not just a product or service that may cause or causes a disease, injury, illness. It’s also a product or service that contributes to a risk of a disease, injury or illness without defining clear criteria for determining those risks or costs.
I have talked to, as well, the other expenditures, the scope of this bill. It also includes costs and expenditures that relate to programs and services that might be educational in nature or preventative. The Attorney General referred to that as well. So it goes beyond the specific costs that might be applicable.
I would say again. This is a change in approach. I’ve said before. It’s not the targeted approach that was there under the cigarette and opioid legislation.
It’s not specific costs, types of costs. It introduces risk. It introduces broader categories of costs. It also has this certificate, where the minister of this government can just table a certificate that determines conclusively, without any proof of actual risk or harm, that these are the expenditures. The linkage is not necessarily there, but there’s a certificate, a bill, that government can just provide to the company.
I went on to say…. I have concerns around the joint and several liability without any caps. It is putting that on directors and officers. That will cause some pause, for sure.
We certainly, with the B.C. United caucus, with the official opposition, with our leader, want to see a province that continues to grow.
One way, through affordability, is to ensure we have a larger, bigger economy. We’re not going to get there with additional moves like this, which constrain the growth of our economy, constrain the growth of business, constrain the possible investment in these businesses, likely encourage the relocation of operations out of this jurisdiction, out of our province. None of these things do we want to see.
We speak here because we have serious concerns about this bill. I hope that members of government, the Premier and the Attorney General will step back from this bill — as they did with the Land Act amendments, as they have done, even, with recognition of the unique needs of children with autism and on the spectrum, and recognizing the challenges of those hubs.
Government has shown before that it recognizes when it has made a misstep. I hope the government here will recognize, in the face of the concerns that are being raised, the concerns that I’ve been speaking to in the course of my remarks here, that they need to step back from this bill, take a pause, do the consultation with stakeholders and with the business associations. so that we can better define and clarify the intention, the purpose, the language, the restrictions, the terms of the bill itself.
As it stands today, this bill is far too broad, too ill-defined and bears too much risk to small businesses in British Columbia. This is the concern that I have. I know that as I sit down, at the end of my remarks here, at least the members of the official opposition B.C. United caucus will continue to elaborate on these concerns as we go forward.
With that, thank you.
S. Furstenau: I rise to speak to Bill 12, the Public Health Accountability and Cost Recovery Act.
I have been listening intently to the member for Vancouver-Langara, and I think he raises a number of very important and significant issues around this legislation. The intent of the legislation — the idea of government being able to hold accountable the companies that cause harm to people — is a good intent. As the previous member spoke about, we’ve seen this in the legislation focused and targeted on cigarette companies or on opioid-producing companies, but the challenge of this legislation is not small.
We have two immediate concerns.
The first one is that this legislation seems to be coming in place as a reactive response to harms. People in B.C., particularly young people, as was highlighted in the introduction of this legislation, are suffering as a result of a variety of forces in their lives — social media, vaping companies, for example — but the action in this legislation only comes after those harms have happened.
I think that what I would much prefer to see from government is to look at those harms and how they’re happening and where they’re happening, and then act in a way within the purview of government to be able to reduce and diminish and, hopefully, make those harms go away. I’ll get into that in a little bit.
Secondly, and the member for Vancouver-Langara spoke to this: there’s the breadth of this proposed legislation — the questions that this raises, given the amount of uncertainty that this legislative package and this regime would create, and the lack of consultations or the lack of examples of this kind of legislation in other jurisdictions.
The former speaker talked about legislative process, and we raise this a lot. I always try to think of analogies, but I think legislation should not be a jack-in-the-box, my favourite analogy and worst toy of all time. Legislation shouldn’t be: “Surprise! Here it is.” It should really be a long, consultative, deliberative process.
I’m always eager to learn from our chief of staff, who comes to us from New Zealand, about legislative process in New Zealand and how shocked she was about how rapidly legislation is passed here in B.C. There, a piece of legislation would be tabled, and there would be no intention of passing that bill for at least a year so that there’s time to understand it. There’s time for consultation; there’s time for input from stakeholders; there’s time for input from the public. There’s time for government to make amendments and for opposition parties to make amendments; there’s time to get that legislation right before it’s passed.
Yet the trend we have in B.C. with our legislation is not only the jack-in-the-box surprise but also that we don’t even go through the basic legislative processes with far too many pieces of legislation that have made their way through this House: health regulation and forestry regulation changes, legislation around freedom of information, housing legislation. Very significant pieces of legislation are often frameworks with lots of regulations to be filled in later, behind closed doors and orders-in-council. So that’s not public.
Not only are they significant, but we don’t even have the opportunity to finish the process in here that we were all elected to do: to be legislators and to be able to ask questions and get, ideally, very clear and very straightforward answers about the content and the intent of the legislation. So I think we have a legislative process deficit here in B.C., and unfortunately, it’s getting worse.
Ideally it would be good for companies to be held accountable for harm — again, we’ve seen this in the long, long battle to hold cigarette companies accountable for the harm that they caused — particularly when it comes to the health, the general health, the public health of the people of B.C.
As we understand this legislation, it proposes to apply to social media companies, which have been shown to produce and use algorithms that have negative health and social impacts on their users, especially on youth. These health impacts have been shown to include addiction, eating disorders, depression, anxiety, a flurry of other detrimental mental illnesses and mental health challenges.
We’re hopeful to see government acknowledge and recognize that these harms are happening to young people, but what we would prefer to see would be an investment in the areas of government that are responsible for how young people are existing in the world today.
I’ll start with schools. When I was teaching, cell phones were becoming more and more ubiquitous and more and more of a problem in my classrooms. At the time, there were no sorts of general rules or expectations around cell phone use. As a teacher, it always had to be a form of negotiation and conversation with my students.
Generally at that time, there was a willingness on the part of students to say, “Yeah, I’ll put my phone away for the day,” or “I’ll put it in my locker until we have break time.” I could see that when the cell phones were out, the students’ attention was definitely not with me anymore. It was in the phone.
That problem has only deepened and gotten much more entrenched. We’ve seen calls from politicians and some steps from government recognizing the problem of cell phone use in school. But I would argue it hasn’t gone nearly far enough. If we wanted to create the conditions for children to have less harm from social media and from cell phone use, government’s realm is really in the education system.
The way in which we could start to take seriously and start to address this is.
One, you need a blanket expectation across your education system that personal cell phones don’t belong in classrooms. That’s not to say that there aren’t technology and tools in classrooms, because of course, we need young people to learn to use the technology that is so ubiquitous in our lives and is becoming more so, but there needs to be an equality built into that. Rather than some kids come with the brand-new MacBook, and some kids have the 20-year-old laptop that their older siblings or aunt and uncle used, we need schools that provide equal access to the tools that young people need to be learning to use. One: no personal cell phones in schools.
Two, equal access to the devices and the tools and the tools that young people need to be learning from. But that that learning is managed in the classroom and the use of those technological tools is focused on learning, not on scrolling through social media while your history teacher gives you a lesson on World War II. Although if your history teacher is really entertaining, you will pay attention to that lesson, most of the time. But it’s pretty hard to compete with TikTok, let me tell you.
In the acknowledgment that we have from government, that young people are suffering harms from social media and from overuse of these technologies, what I would much prefer to see than a piece of legislation that seems pretty challenging to see if it’s going to work or not and that only applies after harms have happened…. I would much rather see a government focused on mitigating and preventing those harms now.
In addition to clear and enforceable and equitable policies around the use of technology in classrooms and in schools across B.C., we need to see a pretty significant increase in access to mental health supports in schools, school psychologists. Every time I talk to — and I remember this, again, from teaching, but I know it’s gotten much worse — school counsellors and school psychologists, it is often that they’re spread so thinly, sometimes across more than one school, and that the access that any student has, is very limited. It might be 20 minutes every third week. And we know that kids in crisis, especially in mental health crisis, need access to support and mental health supports immediately.
Create schools where (1) kids aren’t crowded into classrooms or stacked up in portables; (2) they have teachers and education assistants who are themselves not overwhelmed and overwrought and doing more than they should and having too many students and not enough resources; and then (3) have built into our schools, which is the best place to reach kids with mental health supports, really accessible school psychologists, counsellors and many avenues to health and wellness.
The other part about our schools is that…. I was just reading a caption about a book that’s been written by social psychologist Jonathan Haidt called The Anxious Generation. He says: “The mass migration of childhood into the virtual world has disrupted the social and neurological development of children.”
It’s not just that the kids aren’t paying attention to their very interesting history lesson in class; it’s that they are spending so much time in this virtual world that the developmental stages that we go through as humans, small humans and then older humans, really do rely on play and social interaction and being outdoors and jumping around and all the sorts of things that probably most of us remember from our childhood and maybe dreaded sometimes but recognize now that it was fun to run around and take risks.
We need to take the evidence that we have on neurological development, on social development. We need to take the guidance that we’re getting from more and more experts on child psychology and child mental health who are all saying the same things: our kids’ mental health is harmed by too much time in the virtual world, too much time on cell phones, too much time on social media.
What a government can do, has the capacity and the resources to do, is actually to ensure that we’re creating the conditions in schools where kids are spending eight hours of their day, five days of the week or, for lucky kids on Salt Spring, four days of the week…. We’re creating those conditions where we are ensuring that kids are getting the experiences and the access to the non-virtual world that they need to have to be well.
Having a piece of legislation that says, “Someday in the future, at some point, the government might bring a lawsuit against the companies that at some point in the past caused harm to children,” is not the proactive response we need to take in what is another one of these unfolding slow-motion emergencies that we have in our society.
I really think that where we falter is when we ignore preventative measures, when we ignore the conditions that we can create to make people have the opportunity to be well. Public health is such a great example of this. Public health is meant to keep people healthy through all manner of methods like education, access to healthy food, immunization programs, access to programs for little kids, medium-sized kids, big-sized kids. All of these are a form of public health.
Mental health care for a lot of families…. Because the kids can’t access it in school, there is often a price barrier, a cost barrier that is insurmountable for a lot of families. Even if they can address the cost barrier of accessing a psychologist for their child, the time that it takes to get an appointment is often way beyond what is necessary to address the crisis that a child might be in.
I also want to just talk about an elephant in the room when it comes to talking about companies that are causing harm, that are causing risk of disease, injury or illness. The elephant in the room for public health impacts is certainly hard to ignore when we look ahead to the summer. We are surely going to have another smoke-filled summer that is going to cause incredible public health impacts — impacts to our lung health, our brain health, impacts to our mental health.
Year over year, we’re seeing the impacts of the fossil fuel industry and its continued burning of fossil fuel and mining of fuels to be burned. There are enormous public health impacts from the fossil fuel industry. Fossil fuel pollution is directly linked to 34,000 premature deaths in Canada each year; 34,000 people die earlier than they should because of fossil fuel pollution, and over eight million people globally. I would argue there isn’t an industry creating greater harm when it comes to public health right now in the world.
The Canadian Association of Physicians for the Environment pushed for a fossil fuel ad ban for two years and worked with NDP Member of Parliament Charlie Angus to shape Bill C-372 to address fossil fuel advertising.
Again, here’s something that governments can do proactively. Angus’s private member’s bill is modelled after strategies aimed at preventing the tobacco industry from promoting cigarettes, since we know smoking is harmful to human health. Smoking, when it’s the air we breathe, is also very harmful to human health.
This kind of bill is one way to deal with false ads. As we had from the cigarette industry for a long time: “Doctors say that this is the best cigarette to smoke.” It’s a way to deal with false advertising that threatens climate progress by warping the understanding of potential solutions at a time when people need to be making decisions around whether to support fossil gas development projects or whether to use more fossil fuels.
There’s an environmental group in B.C. that is suing the B.C. natural gas utility FortisBC, accusing it of greenwashing its product through marketing that makes the company seem more environmentally friendly than it is. The federal Competition Bureau is investigating after Greenpeace accused Canada’s six biggest oil sands producers of false advertising for a similar marketing campaign that suggested the fossil fuel sector was reducing greenhouse gas emissions and helping Canada achieve its climate targets.
I think it’s time for us in B.C. to take this public health issue far more seriously. I’m sure all of you have seen, and some members of this House are actually featured in, the “BC LNG will reduce global emissions” ad campaign that is ubiquitous on social media, on buses, on billboards, airports. It’s a campaign that they seem to…. I’ll take it that imitation is the greatest form of flattery, but they certainly seem to like what B.C. Green ads look like, because they have copied them almost exactly.
This is an example of where government could be taking proactive steps to try to prevent harm, as opposed to waiting for harm to happen, waiting for health impacts to happen, and then saying: “Well, we will find a way to sue these companies for the harm they’ve caused at some point down the road, and then we will recoup the cost to our health care system from the health harm that they have caused.” For the people who are ill or injured or for the people who have lost loved ones because of these health harms, I think that’s cold comfort.
I think almost everybody would agree that we would all much prefer to see the harms prevented, rather than to see government tell us: “Don’t worry. At some point in the future, we can sue and recoup financial losses from these companies.”
I think the member for Vancouver-Langara also talked about this at length, and I started here. But concerns about the consultation process, about the implementation of this bill…. From what I understand, this legislation is broad, and the proof-of-harm requirement is quite low. For businesses, as we know, that rely on certainty, the breadth of this legislation and the speed with which government appears to intend to pass it can create real uncertainty and therefore real economic risk for B.C.
Some of the proposals in this legislation haven’t been tried anywhere — for example, making Facebook liable for what individuals have done with the platform, something that has been discussed for years in international forums without any resolution. Linking the harm to a specific platform, as opposed to an individual who posts on that platform, also appears to be unprecedented.
The lack of consultation and engagement, again, worries me. It appears that there was very little consultation done before this legislation was tabled. Like the terrible jack-in-the-box, people were surprised to see this legislation arrive, and groups are expressing their very real concerns with this.
I would end by saying that what I would much rather see from government is an investment in the health and well-being of people, especially youth, right now. There are so many tools available to government to actually create significantly substantially healthier places for our kids to spend their days. I think about this a lot, that kind of message a child internalizes when they go to a school that doesn’t have enough resources, that doesn’t have enough education assistants, where the teachers are burning out, so they might be having a series of teachers on call come in.
What kind of message does a child internalize about how they’re valued in our province and in our society when what they see around them every day when they go to school is not enough? There’s not enough of anything to go around.
I think if we wanted to really tackle the growing problem of child and youth mental health concerns that are in this province, we start by saying: what can we do to create conditions that actually create mental health and wellness, that create physical health and wellness, that create a sense of connection, that tell a child a story that not only do you belong, but you are valued, cared for, and we put resources into your well-being?
We want to make sure that every child in this province has everything they need to thrive every day that they go to school, that this is a guaranteed place of abundance for children, and it’s a guaranteed place of abundance without the ubiquitous virtual world always there. It’s a place of abundance where kids are playing outdoors, are interacting with each other, and kids are freed of that time that their phones take away from them.
They’re freed of that constant input, that constant stimulation that comes with these phones always grabbing our attention, always grabbing and directing our emotions. I think that we should take this moment and this time we’re in very seriously.
We have the evidence now. We have the experts telling us what’s needed to be done. We have the choice, always, about how we spend resources, how we invest, what we invest in.
If we recognize, with legislation like this, that there are real harms happening to children right now as a result of the way that companies are operating, let’s do something right now to decrease those harms and to make sure that kids are spending their day in a place and in an environment that is improving their health and well-being as opposed to contributing to the harms that they’re experiencing.
[J. Tegart in the chair.]
Deputy Speaker: Recognizing the Minister for Water, Land and Resource Stewardship.
Hon. N. Cullen: Thank you very much, Madam Speaker. Welcome to the chair. Sorry for your timing. You almost avoided my time at the lectern.
I am very much pleased to join this debate and very keen on listening to comments from my colleagues across the way. I’ll leave those, perhaps, a bit towards the end because I may have to express some disappointment in the notion that there’s either one or another solution to the challenge facing young people today — that there’s only preventative or there are only the actions taken in Bill 12, which we’ll talk about here today. I would argue there are in fact both, because we can be expansive in our approach to complex challenges. I’m sure my colleague from the Green Party will hear and read the transcript diligently later.
The Public Health Accountability and Cost Recovery Act is a very specific piece of legislation. I noticed some concerns from people across the way that B.C. is leading the way on this, that there aren’t examples across Canada of governments that are taking this approach to holding people accountable for the products they produce and the effect that it has, particularly on young people, which is rightly consuming part of our conversation.
Rather than be afraid of being in a leadership position, I would encourage the opposition to embrace the opportunity to lead the rest of Canada, which this government has done on two other occasions, to some success. In holding the manufacturers of opioids, some of the most addictive drugs ever invented….
Purdue pharmaceuticals, in particular, had to pay out $150 million to the people of B.C. because of known harms that their drugs were introducing into our communities — deadly harms, as Madam Speaker would know, in some of the smallest communities and our largest cities. We had to change the law in B.C. to allow the government to take Purdue to court, as we have also done with big tobacco.
These are two good examples, I think, when looking at this bill, because now we’re talking about other parts of industries, like the vaping industry or those that run social media platforms, who, we have now seen increasing evidence, are aware of the harm that their products cause yet don’t feel any particular compunction or intention of mitigating or reducing those harms. Be it a social media giant with a highly addictive algorithmic platform that drives, particularly, young and more susceptible people onto the platform again and again and can have enormously terrible consequences on their lives and the lives of their families….
We can step into that particular dark path if we want. I thought of an instructive quote I read from Edward Tufte, that there are only two industries that refer to their customers…. I’m going to return back to this. I think this quote lends itself better a little bit later.
I’d allow, for the examples that are used here today…. One is the vaping industry. I don’t know if Madam Speaker or colleagues are aware, but I have young kids, and the prevalence of vaping in our schools, particularly high schools and even younger, is incredibly high.
For those of us of a different generation, there was the smoking pit out back of the high school where kids would go and smoke cigarettes, and other things. That’s what was done. It was a known thing. There was the smell. It was eventually pushed off of high school campuses. You weren’t allowed to do it. The smoking rate of tobacco has actually gone down in many of the young generations — a great success of decades of work.
Higher taxation was one of the issues that was able to drive young people away from smoking. And education — the known harms, the commercials, the ads and the instruction to young people to say: “This is what the harm is causing.”
Vaping moved in insidiously behind this with cherry-flavoured and bubble gum–flavoured and root beer–flavoured vapes that were clearly targeted specifically at younger people, because that’s what you design those flavours for. They don’t emit a lot of smoke, or any smoke at all. They’re very hard to trace and a constant challenge for our education system and parents to be able to catch. Yet it has enormous harm on the health effects, particularly of young lungs and brains. This is something that this bill would allow us to pursue damages for.
Highly caffeinated energy drinks. Most parents would not go out and buy their kid four-shot espressos at age ten, yet energy drinks can contain as much or more caffeine than four shots of espresso. You see kids walking through stores, and I’ve actually watched parents, consuming them, because they have bright and colourful and fun labels about how you too will have more energy and be a peppy kid. Meanwhile, caffeine at younger ages has enormous health implications and addictive qualities to it that drive kids back to the product over and over again.
Social media companies, by the very nature of the platforms, are designed to be addictive. That’s the whole purpose and orientation of the algorithms that are behind the success of those products. For young and old, we are drawn back again and again, because it satisfies, neurologically, something that we all crave: affirmation, attention and communication with others.
That chemical addiction, which is what it is…. Neurological and chemical addiction can be built up over time. The challenge with this is, of course, that we are now seeing the consequences of this experiment, essentially, that we’ve been running, particularly on young people, since social media went mobile.
When the first iPhone was introduced and the ability to get on social media — initially Facebook, Twitter and then everything that’s followed from it, TikTok and Instagram — became mobile, what also happened at the same time? Suicidality rates went through the roof. Young people’s addiction went through the roof. Body image dropped. Self-esteem rates across our country and province dropped.
There’s nothing else that changed within our world at the same time to be able to point to and say that this is why young people started feeling less good about themselves, about their body image, about their prospects in life and about their future other than these two things combined: highly addictive programming and the ability to have it in your hand and your pocket at all times, calling and pinging and eliciting what is a chemical interaction.
There’s a ton of research on this that’s important for us to look at. I will address what the Third Party Leader was saying, just in terms of: “We should focus entirely on prevention.” I would say we need to focus on both, because there is a history within corporate Canada and corporate North America, at various points, of industry not wanting to be accountable for the results of their business. It’s been a lamentable history, and sometimes it gets corrected, but often it only gets corrected when sued or when laws change.
Lead in gasoline we knew was neurologically damaging to children. We knew it for a long time. The oil industry for decades resisted, because there was a cheaper quality to the gasoline if you had lead in it, which was first put in to stop the knocking effect of early engines. That’s why it was there. Nobody at the time, in the ’30s and ’40s, realized that there were health effects to lead, but when we learned it, it took us another 25 years to ban lead in gasoline.
One has to imagine that in these halls and these legislatures, they probably debated it at the time. What should we do about this? There were some engineers that said this is essential, and they probably dragged a few doctors and nurses of varying quality in to say maybe lead is not so harmful. But it became so overwhelming and so conclusive that eventually it was irresistible, and industry said: “We have to find an alternative to putting in lead.”
Tobacco. For an even longer period of time, we knew it was harmful, not just to those that were smoking but secondhand smoke. For those of us of a certain generation, we can remember parents smoking in cars, cars filled with kids, on road trips for hours and hours at a time.
Going into the teachers’ lounge…. I remember going into the teachers’ lounge as a kid. I had to go find a teacher to bring a message, which was a terrifying experience for a seven- or eight-year-old. I can remember only being able to really see the knees of all the teachers that were in there because the smoke was so thick. That’s what teachers did in the teachers’ lounge, and that was normalized. That was considered okay.
I remember the smoking sections and non-smoking sections in planes. I remember my first plane trip. I was ten years old, and we sat in the row right behind the smoking sections. Even as a ten-year-old, I thought: “This is pretty stupid.” But this was normalized in society.
We didn’t embrace and fully comprehend, and we said: “There are rights of smokers.” Only after the evidence became overwhelming, year after year after year, that the consequences were real, not, again, just on those who get addicted to cigarettes, which…. Of course, the companies had been putting chemicals in their cigarettes to make them more addictive. Does this sound familiar to some of the companies that we’re talking about here today?
Eventually legislators, like this place, took their responsibility here and in Ottawa and in Washington and in London and around the world and said: “Look, we’re going to put some laws in place to keep cigarettes away from kids particularly, and we’re not going to allow people to be exposed to secondhand smoke at their work or within a few metres of a school door.”
Seatbelts. This is amazing when you go back through the accounting of this — that there was actually decades of testimony from car companies saying: “Not only, if you enforce seatbelts into cars, would you drive automakers out of business; it would actually be more harmful to people in an accident if they were seatbelted in.” You can’t make it up because it was just said time and time again.
That’s where my primary concern comes with the worries expressed by the official opposition. This was said, and I listened very closely to the speech: that if there is an impact on business, then we should be more than cautious. We should actually withdraw our effort. I listened very closely. Time and time again, concerns about: would this have a chilling effect?
The bill is based on provable public harm. If one is not causing provable public harm, what does one have to worry about? The opposition is fierce in their tough-on-crime position: that if you’re not doing anything wrong, you don’t have to worry about legislation that increases prison sentences. So, too, in this question. Around the business community, it’s to say: “Welcome into the conversation.”
When we talk about social media companies, almost all of them based in the West Coast of the United States and California, there is an obligation and a contract, when operating a business in any society, that if you are going to be responsible for your product, you shouldn’t be concerned if your product isn’t causing provable public harm. It shouldn’t be a worry. We’ve known this.
To my friend from the opposition, the Third Party, that if there are consequences to the way one conducts business…. If a business knows and a board of directors know that, if they are found in violation and causing public harm and they knew about it, they could be held liable, it will change the behaviour of that business.
A natural deterrence is what we would call it in law. We use it all the time. This Legislature in the past, and, I’m sure, in the future, will use the notion of deterrence and responsibility and accountability as a basis for how we write laws.
It’s one thing for politicians to get up and say: “These social media giants are terrible. They’re really harming our kids. We’re watching more suicides. We’re watching a lowering of how children feel about themselves, about their futures, about their bodies, about their relationships. But gosh, what can we possibly do about it?” We’re saying: “Well, one of the things to correct the behaviour, to make Facebook and TikTok and Instagram more accountable for the products that they put out into British Columbia, is to know that there is a legal threat of being held accountable.”
That is not an unreasonable standard: to a vaping company that is seeking to sell their products, if they are able to be shown to be providing or causing provable public harm, that there will be consequence not to some low-level manager or someone distributing the product in the field but to the board of directors and the executives who made those decisions.
We know that there is public interest here. When we announced in mid-January to empower school boards to keep cell phones out of the hands of kids during instructional time in class, with some caveats out for health concerns or if the tool, the device, is being used for particular learning and research in the moment…. But the rest of the time, why don’t you just be in school?
I have a lot of friends who teach. I have a lot of friends who have kids in classes. The addictive nature of the cell phone is harming our kids’ ability to learn and be good students. So we enabled that.
To my friend from the Green Party’s point about doing more preventative work — absolutely. This is a preventative tool to empower our teachers, to empower our school boards to say: “When we’re in class, and we’re learning, how about we learn?” I challenge anyone here listening to try to learn something complicated — a piece of history, some math, whatever it happens to be — while also looking through Instagram and TikTok at the same time. All of the evidence tells us distracted learning is not learning at all.
We know this in our lives. There’s a shared responsibility in this. It can’t, of course, just be the province. There’s a responsibility on us as parents, as grandparents, as coaches to be able to talk to kids about what this very powerful tool is and its potential negative effects. The responsibility of government is to make sure that with those that are operating with a business licence for the opportunity to access B.C. residents, B.C. voters, B.C. taxpayers, there’s some accountability for their products. We know that an effort to change that behaviour comes with that accountability.
It is often said that we’ve come to overregulate the real world of children and that we are under-observing the digital world, the virtual world. I think this is true for a lot of parents and guardians, if we admit it. We had all that spectre in the ’80s and ’90s, a deep concern for children playing outside. Could they be affected and abducted? It’s a natural concern for any parent. But how much do we know about what our kids are looking at online right now?
How much do we truly understand the power of the tools that are being presented to them — how provable and addictive these tools are? I think parents need a little bit of help. I really do. This is a challenge. I’m not suggesting this is an easy challenge, but when we are knowingly providing provable….
We’ve had whistleblowers at all of the companies that I just mentioned knowing that they were addictive tools, knowing that they brought down the self-esteem, particularly of young women, around body image. They knew this. They know this, and they continue to do it.
For those in the neo-liberal party or whatever it’s called today, that industry is going to correct itself on this…. I would say they’ve had enough time. Clearly, they’ve had enough time. I don’t think another congressional testimony dragging them up and trying to embarrass them is going to do it. I think there has to be the threat of actual consequence to what it is that they do, how it is that they conduct themselves, as we would other businesses and as we do rightly.
I live in the North, where mining is a serious and growing interest, where it had some very successful years. One of the changes we wanted to make — we made it with the support of industry — was the notion of bonding projects, the notion of holding public trust over something consequential like a large mining project. Because we had had the history where, if a project were to go wrong, the legacy cost of that project could be far more in terms of environmental cleanup and costs to the community — drinking water or whatnot — than ever the project made in revenues to the government.
A natural consequence of doing business was to say: “You’re going to open up a large mine. We should set aside a certain amount of money at the front and bond it and know that the remedial actions required in a mine 50 or 60 years after it opens are taken care of.” And that is good. That makes sense.
There was some resistance within some of the mining sector about that notion. Is that adding costs? It seemed to me, and seems to many now, that those types of natural impediments to doing things badly and encouraging good behaviour with respect to care and maintenance are a good thing.
We’ve known…. There have been tragic cases — and I don’t bring them up specifically, naming the names — of young children who have been exploited online to enormous harm, to the point of suicide, destroying their lives, the lives of their families, because they were approached online in a way….
By the way, if we ever created that scenario in the real world, we’d say with such horror: what parent would ever allow their child to be approached by a 50-, 60-year-old man and solicited and then eventually targeted and extorted? We would say: “What horrors.” But when a kid opens an app, and the app is driving an algorithm, and the algorithm is far more sophisticated than most people working in the company, never mind most legislators, know how it works…. Is there some responsibility that we share to allow the government to hold that company to account if there’s a provable public harm?
I think this should be entertained. I really do. I really believe that the option this government gave itself when it came to opioids and a company…. It had to be proven that it knowingly entered into our world and pushed a drug — in this case, opioids that were highly addictive — that doctors submitted themselves to, and people became disastrously addicted to this drug. There was consequence to that commercial behaviour.
I don’t know who argues against that. I don’t know who says: “Sorry, we don’t want to put a chill on the market. That company should be allowed to conduct itself that way.” But until we changed the law, the ability to go and seek harms from Purdue pharmaceuticals…. We were unable to. We as a legislature, we as a government were unable to until we gave ourselves that power. These are important conversations in balancing out the rights of private enterprise to exist, create value, create work and jobs. These are all very important things. With those opportunities come responsibilities, and that seems right to me.
I live in a small town. Most of our main street businesses understand that their reputation matters a great deal. If they conduct themselves in a bad way, if they treat their employees badly, if they don’t contribute back to the community, their business would suffer. There’s a natural consequence to behaviour. But when you get to global firms, international firms like we’re talking about with the Facebooks, the Googles, the Metas, etc., we understand that they might not feel those same consequences. They might not make the same equation that we’re asking them here to make today.
To my friend from the Third Party, who talked about how we need to do more to help kids: well, of course, and absolutely. Children face all kinds of challenges. Growing up in this modern age is different than it was in other ages. I don’t necessarily envy them. There are amazing opportunities and technologies and connection points. There’s also some significant challenge, a dislocation from the world.
So we’ve put more money into sports and schools and arts. We put money into food school programs, for the first time ever, because we know that that’s important. We’ve put more money into conservation than in this province’s history, because we know being outside and having a beautiful place to enjoy is going to be critical to mental health. And we put money into mental health and addictions, particularly for kids, because we know that’s important. We put more money into schools and access to libraries, and those things are all to the benefit.
If they were enough, they would be enough. But we also need to understand the pressures that young people are facing. We need to hold the companies accountable who are helping create some of those negative pressures. I think that’s a reasonable position for a government to take. I think we’ve proven time and again, in the two cases that I cited, first taking big tobacco to court — we’re in the midst of that negotiation right now, in the settlement — and also taking the company that produced opioids that caused so much harm and sought damages to the public health system. If anyone wants to get up and say it wasn’t enough, I’d probably agree that the damages that Purdue…. And the suit that they sought…. Other provinces joined behind in both cases, and I suspect other provinces will join behind in this one as well.
Those worried about capital flight…. First of all, most of these social media companies and vaping companies that we’re talking about do not base their operations and enterprises here in B.C. Secondly, if you’re not causing provable public harm, you’ve nothing to worry about, which seems reasonable. We know on the opioid case and on tobacco, B.C. took the lead, and other provinces followed. They were provinces of all sorts of political persuasions. This is not a partisan issue. This is whether government should have this tool or not.
I’m a bit, I admit, surprised. I, at very least, thought the opposition would see the laudable desire within what the government is trying to do, would understand that we are all unified in the desire to protect kids and give them the best chance in the world and that we see the psychological impacts of some of the things that we’re talking about, particularly on social media but some of the health impacts with respect to vaping and highly caffeinated drinks, and that there would be an understanding that if we hold these companies accountable…. Even the threat of holding them accountable could perhaps change that behaviour, because it has changed the behaviour in other industries.
Companies were going to be sued, and were sued successfully, for putting lead in gasoline. They took it out over time. We saw that when tobacco companies were facing billions and billions of dollars of lawsuits because of individual harm but, most importantly, to collective harm of secondhand smoke and other things, they eventually made the move. When automobile companies were facing massive lawsuits with respect to not putting seatbelts in their cars, the same thing happened again.
I understand the resistance, and I wish…. I’ve been at this for years, so you can sense some of my frustration that I approached the largest companies that we’re talking about here in a previous life as a legislator in their home offices in the States, ten, 12 years ago now, and said….
There’s great benefit with the social media tools, enormous benefit in terms of sharing and connecting and all sorts of things that don’t need to be reiterated here. But they are incredibly powerful and, if handled badly and if handled without responsibility, can do great harm. The algorithms that are used are incredibly sophisticated, are incredibly powerful, and the tools, by design, particularly on the social media side but similar to the caffeinated products and similar to the vaping products, are addictive.
The addiction, particularly pointed at young people, and the harm that that causes is something that we all should challenge ourselves as legislators to say: “What are we going to do about it?” Are we just going to say: “Well, young people are going to feel worse and worse and worse about themselves, and the suicide rate for young people will be higher and higher, year after year. Obesity rates will go up, self-esteem rates will go down, and we’re just going to not occupy ourselves because we’re worried about the investment climate that may or may not come from us holding companies accountable for provable public harms”?
Lawyers are going to argue about this, and the scope of this will be proven out in court. If overly broad, the courts will pull us back. But the challenge and the focus of our ability to hold companies accountable….
I’m waiting for someone in the opposition to say that’s a bad idea. That would be more honest, actually, if they just said: “We don’t want to hold these guys accountable. We think there should be unfettered capitalism, even if it causes harm to young people who have not yet developed their prefrontal cortex, the ability to reason and make decisions based on risk and reward.” That doesn’t develop, particularly in young men, until they’re 25. That’s okay if they get targeted. That’s okay if we expose them to highly addictive products, knowingly causing them harm so that somebody somewhere else gets to make a profit.
It seems to me a staggering lack of responsibility as not just legislators but as leaders in our community, as parents and grandparents. We have an opportunity to do something, do something good and just ask for a modicum of corporate responsibility, which is to say: “With the way you conduct yourself, the products that you design, you should understand what their effects are.” And ask….
I challenge anyone here to ask any of the companies that we’re talking about for any of the childhood studies they’ve done on the effects of their products. Ask Meta; ask Alphabet; ask the makers of the vape products. “Show us the studies, the clinical studies that you’ve done on what the effects are of social media, vaping or highly caffeinated drinks on young people in particular, who you are targeting.” They can’t give them to you. They don’t do them because they don’t want to know the answers.
We have a responsibility, and I think it’s a good one. I think this is a challenging one. There’s some subtlety, and I’m happy to hear the critiques. But as a principle, I don’t understand why basic corporate accountability is not a good thing and why protecting young people, particularly from products that are designed to be highly addictive and have proven themselves to be harmful to the spirit, health and psychology of young people growing up in the world today — why we shouldn’t do everything we can to protect them and have things in front of them that don’t cause them harm, that don’t make them feel worse about themselves to the point where they kill themselves.
This is the most serious and grave of questions. The reason that legislation like this is increasingly being supported by parents and advocacy groups is because they need support and help. We can ask parents, and parents have a huge responsibility in this conversation. Schools have a huge responsibility in this, and we as a legislator have responsibilities in this as well. I hope that we can have a fulsome and good debate about this, make the legislation as good as possible and maintain some basic ideals and principles.
One of them is…. To be able to conduct a business within the confines of British Columbia means that there are responsibilities that we all share. One of them is not to do harm to another, to not knowingly do provable, public harm, which is what we’re talking about here today.
Thanks very much, Madam Speaker, for the time.
B. Stewart: It’s a pleasure and an honour to rise in the House today to speak to Bill 12.
I can’t help but…. After reading the bill and looking at some of the points that have been raised, and there have been some points raised by the business community that I know the member opposite just tried to speak to, I think that one of the things that we…. We’re relating other costs to the provincial government and the taxpayers of British Columbia to other things that have many more, I guess, issues that relate to addiction and other things that we’ve known for a long time.
It took us a long time to get rules in place to limit tobacco use and other things that are addictive. There’s a long list in the Tobacco Act, which is a piece of legislation here.
I think what’s more important is what’s not said in this legislation, and consistent with some of the other legislation that we’ve seen brought to this House has been what the legislation doesn’t say. It’s not really clear. What are we trying to effect?
The minister that came in spoke to the issue that is generalized, but it’s not specifically in the legislation. As legislators, we are left with the responsibility of trying to interpret that. What does this actually mean? What type of consultation has been done to narrow this down to know better what we’re trying to limit, what we’re trying to control?
Not trying to necessarily suggest that it’s a specific area. I know we talked briefly about cell phone use in schools. There are all sorts of things. I can’t think of how many possibilities there are when it comes to things that could be unhealthy, could damage, could cause health impacts and stuff like that that exist. So it’s a very broad, sweeping piece of legislation that doesn’t really help the public, doesn’t help the business community, and it doesn’t help me, as somebody who’s a legislator, understand exactly what it is that we’re trying to control here.
I think that when it comes to the business community that we have heard from…. I’m sure the members opposite have heard on that, because I know that this letter that I have a copy of here, written a few days ago, clearly lays out that the community in a broad sense is very worried and concerned about the impacts of the uncertainty and what does this actually mean. I think that that’s part of it.
Why not have an adequate consultation period? Why not look at maybe pausing and making certain that this piece of legislation is properly understood by the business community?
I can think of many examples. I think about…. It may be a twisted way of looking at it. We’re busy as a government saying that we’re going to make safe supply a priority. What about the consequences, the health consequences for people that aren’t really supposed to be getting those? But they end up in their hands, and they are getting addictive, what are deemed to be safe, drugs for people that are maybe dependent or addicted. What are we doing with that? Does that mean that the government, now the taxpayers, have to take on this increased new liability just because of the fact, I mean, that we have this legislation?
When it’s such a broad approach to things, I think that you do need to consider how this is going to impact and improve British Columbia.
Probably most people in this House have never really had a situation…. I had a situation where we had a product liability case against one of the world’s largest corporations. Believe it or not, simply put, we had a liability issue. The company, when they recognized that there was a problem, stepped up and made the repair to some machinery that we owned. It had consistent failures of front axles.
The bottom line is…. Otherwise, when you kind of take the approach that anything that you do could be wrong, you end up in a situation where…. Well, why would I do it in British Columbia? This is a place where there is complete uncertainty. I’m sure the legal profession would be quite happy to try to be defending or helping corporations.
Think about some of the things that get discovered here every day. Think about during COVID and the people that did that work. I forget the terminology. I think it was the RNA technology that led to an advancement and acceleration of the vaccine.
I’m just thinking. If I was hesitant, if I was a researcher working or somebody that was in the science, technology, engineering and math sector, am I going to have a future in British Columbia? All the companies that maybe could be investing here are going to be ill at ease because of the fact that there’s this lack of certainty in British Columbia.
I couldn’t help but think about during COVID, when all of the production of all of the vaccines and all of that was coming out of Quebec or Ontario. I’m thinking: “Here we are, 5,000 miles away. Why shouldn’t we be doing this in British Columbia?”
The life sciences sector is alive and well in British Columbia. We talk about it all the time. But are they going to feel comfortable, confident? Is the investment community going to backstop them here in British Columbia? Are they going to look at this as being a piece of legislation that creates that uncertainty?
I mean, there’s no way. The fact that some 30 businesses and organizations — not just businesses; this is way bigger than that. The Vancouver Board of Trade, craft brewers, the number of people, COFI, Restaurants Canada, CFIB — I’m just saying that these people are raising legitimate concerns. I think the situation needs to be considered or reconsidered and paused, as I said in the opening remarks.
When I talk about legislation that’s broad and ill-defined…. There are sections in here that talk about “benefit recipient,” no definition, “product,” “promote.” It signals a widening of the scope of this legislation.
I know this…. There are certain things that are intended by this legislation. Again, it’s not laid out clearly, and it’s not clear to the public. Certainly, I think that we need to provide that certainty to British Columbians.
I know a lot of that is going to come up during committee stage. I think that probably there’ll be many people on our side of the House, maybe even on the government side, that want clarity on this. I think that we should be trying to write legislation that gives a clear, precise direction and roadmap for British Columbia, whether you happen to be somebody that’s living here…. I frankly don’t see where….
I think there are things on the Internet we all depend on every day. I mean, there are perpetrators and people that are doing that, and I do think that we do have to work on that. I don’t think that should be ignored, but I don’t think this piece of legislation gets us there. It certainly doesn’t provide the clarity, and I don’t know who’s going to do that without the proper consultation.
I think this legislation suggests a reactive stance, seeking reparations after the fact rather than being proactive in preventing public health crises. Is this truly what the government can offer British Columbians?
I think that it’s important. Bill 12, while seemingly robust, skirts around the edges of the deeper issues at hand. It attempts to place a bandage over a wound without addressing the underlying cause and issues.
I think about this letter. This is, I’m sure, after only having a very short period of time to look at it…. These 23 business community members cite in their bill….
They write: “We are writing today to emphasize that the parameters of Bill 12 must be clear and appropriately delineated so as to not inadvertently expose a wider spectrum of businesses to legal risks. The current draft does not achieve this and has been advanced without sufficient engagement.”
Well, I’m not aware and I don’t think that these 23 companies have been advised that there’s any engagement whatsoever that has taken place. I’d say that that’s a failing issue. When you’re introducing such sweeping legislation, it needs to have parameters. It needs to have guardrails, not only for the companies that maybe do support this, but with certain commentary or parameters or whatever that limit where it is that businesses, regardless of what their background is, would be exposed.
“Our concerns arise from the potential ramifications of the bill’s expansive interpretation, as summarized in several articles from B.C.’s legal community, including analyses from McCarthy Tétrault, Aird Berlis and others. Our members have reacted swiftly to the proposed law as well, raising significant concerns as we scramble to understand the legal implications of such a broadly scoped bill. Given the uncertainty and the broad scope, we urge” — the business community — “the government to take time to work with interested parties to ensure appropriate guardrails are in place and that there are no unintended consequences.”
That is the least we should do. With new legislation that is not clearly defined, we should be questioning whether we’ve got it right and make certain that if it is not right, we amend it or pause and make certain that it comes back with some more information.
“Some of the concerns include: if enacted, the law appears to apply to any product, good, service or by-product, which we understand can create liability for almost any business operating in or connected to B.C.” Well, that’s a pretty sweeping statement.
“Similarly, the bill appears to apply not only to a product or service that may cause or may contribute to disease, injury or illness but also to any product or service that contributes to even the risk of disease, injury or illness without clear criteria for determining these risks or costs…. Potential consequences of these points could be significant. An expanded scope of liability, along with the related expanded legal and insurance costs….”
I hear “insurance costs,” and I’m thinking: how do the insurers deal with something like this? We talk about insurance, trying to get wildfire insurance, let’s say, in the Okanagan or Fraser-Nicola, where the insurance companies are wondering how they assess the risks. We’ve already given them a tough task like that, but the Insurance Bureau of Canada and the insurance industry is somebody that should be definitely consulted in this particular matter, because at the end of the day, when it comes to the liability, they have to assess this.
I know that trying to figure these things out…. I don’t know if my office would be a concern, but I know I just was notified that I have to increase my liability to $5 million, which I don’t think much of, having a manufacturing plant where $5 million has been the norm for 35 years. But I can certainly see the insurance industry wondering how it is that we are going to assess the liability of such a broadly worded and less-defined piece of legislation that impacts all manufacturing, all goods and services. There are no specifics.
These uncertain “costs come amidst economic uncertainty,” which we heard this morning from the accountants of British Columbia, the CPAs. The fact is that we have seen declines, etc. How are we going to be able to attract and get that certainty of being able to insure businesses or being able to get the investment capital, as I mentioned?
As opposed to maybe “a targeted approach, this legislation is written in the broadest possible fashion.” So their suggestion — again, I’m still quoting from the 23 businesses that wrote in — is to “pause the advancement of this bill and instead work with stakeholders to refine the intent, purpose and language of the proposed law.” I don’t think that we’re saying anything different there.
We have to be concerned when we do hear about economic slowdowns and stuff like that. We know taxes are going up. We know the deficit is up. We know the spending is up. How are we going to do that if we don’t have economic certainty?
I don’t have the answer to that. I think we have to create certainty. We have to make certain we create the right conditions, and we need to make certain…. I’m not saying for a moment that I would ignore any type of public health issues or whatever caused by something. If there’s something that you can point to that tells me and our caucus, I’m sure that we would be very supportive of Bill 12.
However, I still think that’s the problem with this. The lack of definition is part of the problem that just makes this more about uncertainty than certainty. Clearly, the conclusion that I think we’re starting to get to is that the consultation for this particular bill, Bill 12, has been lacklustre.
The aforementioned letter: “These costs come amidst economic uncertainty, low growth and rapidly rising population.” With B.C.’s economy slowing, as demonstrated by a year-over-year decrease in sales, in January 2024 data, invariably these costs, associated with increased liability and uncertainty, have to be paid by consumers and businesses.
You know, to contrast this, I think that if we had an opportunity and formed government…. I know the government seems to think there’s a small chance of that. I think that there is going to be a very good chance, with clear policies about economic certainty and what we’re trying to do. We would provide more clarity in terms of what legislation we’d bring forward to deal with the problem that we are perceived to be dealing with in this particular case. This includes fostering an environment that prioritizes health, safety and well-being of British Columbians above all, especially over ideology.
The business community’s united stance against this legislation gives strong reason for reconsideration.
I think about the things that we try to prevent. I know that there’s a recent piece of legislation that went through. I commended the minister, but it could be a little overreaching — maybe not — with the truck strikes on the overpasses and stuff like that, and the fines that are now going from, I think, $500 to $100,000. It’s a pretty big jump. It’s the 18 months in prison that…. I’m not quite certain how we are going to pin those down, unless they happen to be really offensive and they are really criminals in terms of what they are doing.
I do think that there is a balance between these boundaries, between the economic cost as well as the potential criminal risk that’s involved in legislation like that.
One of the examples that I couldn’t help but think about here was the slippery slope. If a skier, which happens on a regular basis…. We hear about, especially, North Shore Rescue; they’re always having to run out and find skiers that have skied out of bounds. Well, what happens if they get injured? The cost of the helicopters, the safety, the people that put their lives at risk to do that…. Is that all of a sudden going to become something that’s going to be a risk? Which I think is legitimate, and I think that the government can do that right now.
But is it going to become the norm that if you happen to ski at a particular area, now there’s going to be an increase in the liability because now the resort is part of the problem? Even though they had it all fenced and their ski patrol are out there telling you not to do this, yet there are always the few that just have to have that thrill of excitement.
I don’t like to think that that’s the way that we want to do things in terms of our business community, but we want to make certain that there are boundaries and the fact that people can be held responsible, as in the case of the skier that’s outside of those bounds. They’re legitimately liable for some of those costs.
That’s a simple example of where people can find ways that they’re not necessarily…. There are limitations to how businesses can work within those boundaries that we’re discussing and talking about.
Given the fact that this legislation doesn’t answer the questions that my community has, including the business community, I think we’re going to look at more increase in details when we move into committee.
We’re asking for the government to pause on this legislation until there is clarity to ensure this legislation truly serves the best interest of all British Columbians while addressing the health care crisis, which is the primary focus of this particular legislation.
G. Kyllo: It certainly gives me a great deal of pride to rise in this House to speak to Bill 12, the Public Health Accountability and Cost Recovery Act. As has been shared by some of my colleagues, the sheer lack of consultation is a common theme of this government.
I’m not sure who is actually asking for this piece of legislation. But as evidenced by the significant number of business organizations that have called out on this government to pause…. I think in their words…. Largely, they are supportive of government’s stated objectives. However, there’s such a lack of detail. There’s been zero consultation undertaken around the province to have a look at the unintended consequences.
That’s a very important part of government’s work, to make sure that whatever their stated objectives and goals are of a piece of legislation, that it’s well understood, that there’s proper, broad consultation around the province with all of the different organizations and business groups that may be potentially impacted, to have the consultation to better understand what the unintended consequences may or may not be.
We have a government that has continually degraded the competitiveness of B.C. businesses operating here in this province. We have a corporate tax rate that’s a full 50 percent higher than our neighbouring province of Alberta. Everything from employer health tax to paid sick leave — businesses are struggling.
It’s evidenced by the job growth numbers, with the disastrous numbers for the private sector, accountable largely to the legislation and policies of this current government. We’ve seen a ballooning public sector, about 140,000 new public sector jobs created in the last 6½ years in the province of B.C., costing taxpayers $17.4 billion, yet the private sector has largely flatlined. So there’s an imbalance that’s been created.
This, yet again, will just be one more detriment to businesses looking at operating in B.C. Look, B.C. has a thriving manufacturing sector, thriving life sciences. We need to be able to ensure that those businesses have a clear understanding of what the risks and rewards are of doing business in the province of B.C. With this particular piece of legislation, in its broadest form, there’s no clarity. There’s no certainty to businesses, as some of my colleagues have actually brought forward during the debate here today.
If we could just think for a moment. What about a medical services company that potentially builds medical implants? The best intentions — a company that actually manufactures implants to help with the life of British Columbians. Yet there may be unintended consequences that may not be understood or known for many, many years, as we’ve seen in the past with medical implants.
Although there are the best intentions and meeting all government regulatory requirements, we find out decades down the road that there are unintended consequences. Well, if you’re a cutting-edge company that’s actually looking to create those products in British Columbia, are you now going to potentially be subject to additional litigation and costs and the far reach of government to not only go after those companies directly, to self-determine what those costs may or may not be, and to even go after directors of the corporations?
The concern that I’m sure the life services sector will have is that many of those companies, which are actually doing great work creating very valuable, family-supporting jobs here in British Columbia, may look to move out of this jurisdiction.
B.C. will lose. We’ll also lose that opportunity for many of those companies to make those significant investments in B.C. But we don’t know. That is the challenge, because there has been no consultation with any of these industry groups that may be impacted.
That is an incredible concern and a common theme and a pattern with this government. Run forward with legislation in its most broadest form. Just tell the general public and tell the members of the opposition: “Don’t worry, folks. It’s all good. We’ll get this all figured out in regulation.”
The challenge is that the regulations are undertaken and developed outside of the scrutiny of this House. This is the opportunity in the people’s House for members of the official opposition, who have a very critical role, to be able to ask pointed questions of government. What are the unintended consequences of legislation? Have you undertaken the broad consultation with other industry groups that may be impacted?
But what we see from this government, time and time again, is the lack of any substance of detail in the legislation, which limits the opportunity for debate, limits the opportunity for government to learn and puts full faith in government to try to get it right through regulation. That is what the concern is.
The overall intentions of the bill, I think, are laudable. Absolutely. Nobody wants to see our kids subject to bullying and harassment. But that is not what this bill specifically addresses. As has been shared by my colleagues, it’s the broad form.
Some of the concerns brought forward from business organizations — Greater Vancouver Board of Trade, ABLE-BC, the B.C. Hotel Association, the Rural Liquor Store Advisory Society, B.C. Craft Brewers, the Retail Council of Canada, Canadian Federation of Independent Business, COFI, Restaurants Canada…. The list goes on of individual organizations and companies representing literally hundreds of thousands of workers in this province who have had zero consultation. Nothing.
That is a concern. We are asking for government to put a pause on this legislation to do the hard and necessary work that they are obligated to undertake on behalf of all British Columbians — to have those consultations, to understand what the unintended consequences are and to make sure that when the legislation is brought forward, the government has the ability to answer those questions to make sure that we don’t end up with a piece of legislation that has to be only repealed or amended down the road.
What is the urgency? Well, we don’t know. Government certainly hasn’t shared that. Our official opposition critic, the member for Vancouver-Langara, spoke at great length of some of the other parallel legislation that is currently being proposed by the federal government. This piece of legislation may actually pose challenges to the federal legislation that is yet to be enacted.
Government is moving forward hastily, without the adequate consultation. Again, back to the piece. Their consultation hasn’t been undertaken. Government doesn’t know what the negative impacts may be. The fact that the legislation as proposed also has the ability to go back retroactively….
I think the member for Vancouver-Langara referenced scooters. Well, I can remember as a young kid, electric scooters were banned. They were deemed to be dangerous and unsafe, yet this current government has moved forward with legislative changes to actually allow the use of scooters.
Government, on one hand, allows for scooters to be sold and to be utilized throughout the province of B.C. Yet if we see an increase in incidents of injury, those same companies that government has granted the ability and the authority to actually sell in this province somehow will be potentially on the hook for all the costs associated with medical bills associated with any individuals that may be impacted.
Do we want to have a jurisdiction where companies just decide that: “You know what? You might have legislation that actually allows for the sale of this product, but it’s too risky. The liability is too great. We’re going to be boycotted”? British Columbians could likely see products available in other provinces across Canada, but not available in B.C., only because of this type of legislation that puts too much legal uncertainty on those businesses.
You have to wonder what, really, government’s intentions are with the broad form of this legislation. Well, it’s hard not to think about no-fault, ICBC. So if there’s a collision or a crash, apparently nobody’s at fault anymore. But under this type of legislation, if there’s an issue with, maybe, an automotive defect, not only are those companies potentially on the hook for a lawsuit with the actual individual that might have been impacted by that defect. But under this current ICBC no-fault scheme, government could turn around and go after those companies for all of the medical costs that they’re covering through ICBC.
Is that potentially one of the ideas and goals of this government — to find a way of clawing back from other individuals that may be somehow held responsible for vehicle collisions and for personal injury in this province?
It’s for those types of reasons why, again, we’re asking for government to take a pause to do the necessary work to undertake that broad consultation. Ensure the unintended consequences can be addressed in a thoughtful manner that achieves the outcomes, the stated objectives of this government, but isn’t so far-reaching that it negatively impacts the ability of B.C. to attract capital investment and for a private sector to actually prosper in this province.
There are a couple sections of the bill that are incredibly concerning, and this is on clause 1. It states about the benefit recipient including a deceased person. Given later, this bill, this act…. It’s retroactive and would address wrongful death legislation requests.
This piece…. When we have a look at how far back…. What is retroactive? Are we looking at going back a year, two years, five years, ten years? Does that affect decisions of government?
We have a government that has made a decision to move forward with decriminalization of hard drugs. At 18 years of age…. It’s illegal in this province for an 18-year-old to consume wine or beer. But this government has deemed it okay for somebody at 18 years of age to be able to use hard drugs — cocaine, fentanyl or heroin. The legislation allows for an 18-year-old in the province of B.C. to utilize hard, highly addictive drugs but at the same time has a law and regulations that don’t allow for that 18-year-old to drink beer or wine.
Is government potentially going to be subject to what they are looking at other companies to be responsible for?
Safe supply. Our former chief medical officer Perry Kendall is part of a corporation that is now providing hydromorphone, highly addictive Dilaudid, in an effort to try and reduce the utilization of harmful or tainted drugs.
There has been lots of debate about the value of that. But in doing so, the government is also increasing recreational drug use. Diversion has been reported out widely now by the RCMP. Diversion does happen. We are seeing kids that otherwise, five years ago, stayed away from drugs. Drugs will kill you. There is a bad stigma with respect to hard drugs.
I have got a niece and nephew living in Langley. They’d indicate to uncle Greg that four or five years ago, you didn’t see hard drugs at parties. People were scared, but not now. They’re called dillies — government supplied. It’s safe supply. You can try it without worrying about getting killed.
We are seeing government action, on one hand, trying to protect those most vulnerable that are dying from overdose. At the same time, the message that’s being received by our youth in this province is actually increasing the utilization of recreational drug use.
When we have a look at government wanting to be able to find culpability for corporations and to go back after them for decisions, I’m just wondering if government is looking for this legislation to also apply to decisions that they are making and what those broader impacts may or may not be.
I certainly appreciate the opportunity to speak. Again, I think the government’s stated objective…. I certainly have no quarrel with it. But this legislation, as proposed, is very far-reaching, and we are asking that the government take a pause. Do the proper consultation, as is expected of governments, to ensure that everybody is fully aware of what their true intentions are, lay it out clearly in the legislation, and bring it back for debate in the next legislative calendar.
T. Shypitka: Thank you to my colleague just to the right of me. That’s the conundrum, sometimes, when us folks on this side, or any side that sit next to each other…. We will share our thoughts. I totally concur with the member for Shuswap on the concerns of Bill 12, Public Health Accountability and Cost Recovery Act.
On the outside, as the Minister of Water, Land and Resource Stewardship said, the bill has the ability to do some good things. There’s no question about it. Nobody’s arguing about safeguarding the physical and mental health and well-being of British Columbians. Nobody would ever argue that.
I will have some examples in my debate here on what I mean. But I want to make it crystal clear that nobody on this side of the House would ever put in harm’s way our most vulnerable, including our children, our seniors — everyone in our communities. They are our most precious resource. Nobody wants to see harm come to any of those folks.
Measures need to be put in place that look after the well-being. As we go through time here, lots of things are changing. The minister also mentioned things like social media platforms, technologies. They are advancing. Of course, with that come problems. We need to be on top of it at all times.
What this side of the House has been arguing…. It’s too bad there are not more on the other side that will rebut our concerns. But our concern is this bill is very broad in scope, very overreaching in some ways, without those clear definitions that are in place that make it clear not only what its intentions are, but also clear to those industries that will be directly involved in how this plays out and how it rolls out.
More importantly, I think Bill 12 is just another continuation of a pattern we see of habits of this NDP government. We’ve seen it time and time again. That is a lack of consultation, lack of engagement, reaching out, picking up a phone, asking industry or people that are directly involved: what could possibly go wrong with a bill this broad in nature?
Well, there have been many. The minister referred to the folks on this side of the House — that we are delivering the wrong message. But that’s not the case at all. We’re carrying the message, perhaps. Industry has definitely voiced up on this, and I’ll get into that a little bit later, on who they are, what they are and what they represent.
But this isn’t coming from opposition. This is coming from industry that is primarily the business community, our tourism sector, science and medical sector, that have been hit time and time again with layers and layers of barriers that cost them from being profitable. I’ll use the P word: profit. I know some folks in this House refer to profit as a bad thing, but quite honestly, it’s the only thing that motivates companies to take a risk.
None of these businesses are guaranteed anything. I would dare argue that for every successful business, there are probably 20 or 30 that never quite made it. So when we talk about some of these companies that do make some profit, it doesn’t come overnight. Quite honestly, some of these companies and some of these shareholders or some of the executives have been through the game a few times — maybe not so successful. And finally, they hit something right. So profit isn’t a bad thing, but this bill could impact that.
All we’re saying on this side of the House is to reach out — reach out to these businesses, reach out to these industries, walk through the intentions of what this bill represents and find out. And come back to the House and say: “Hey, listen. Guess what. We’ve reached out to all these businesses and all these communities and all these industries, and there are a few things. We will adjust this bill, in reflection, so it does bring better clarity.”
That would be the responsible approach. We have seen time and time again the lack of consultation. I look at things like the Zero-Emission Vehicles Act, where the government arbitrarily ratcheted up new ZEVs to 90 percent by 2030, when it was 30 percent previous to that.
Did they ask industry? Did they ask the car manufacturers? I know I did. I went out, and I reached out to Honda and Hyundai and Ford, and they all said: “There is no possible way we can make these targets by 2030.” The Canadian standard is 60 percent. That was a challenge. And 90 percent is a little out of reach. But there was no consultation.
We look at the Land Amendment Act. Thankfully, government has pulled back on that, because there was zero consultation with that. Some of the biggest land users in the province…. We’re talking about the Mining Association of British Columbia, the Association of Mineral Exploration, the Stone, Sand and Gravel Association, Tourism B.C., my local tourism group and bear-viewing companies. None of these people even got a phone call — nothing, zero. So, thankfully, the government did pull back on that one.
Wildlife management is another real classic. We saw it with grizzly management. Zero consultation with rod and gun clubs and those people, those conservationists, that are on the ground. Whitetail in region 4. This is something else that’s governed by regulation and something that’s reflected in Bill 12. It talks about a process to bring a bill here forward to the floor of the Legislature with zero consultation.
Caribou management. That was a real classic one. Just outside my area, in the West Kootenays, we have an area called the Darkwoods, and it’s about 80,000 hectares large. The industry has been shut down — no consultation — for caribou habitat, which sounds great, except the only thing is that there are no caribou there. The government moved those out years ago. I think there were three cows left, and they were moved to the Revelstoke area. But no consultation, once again.
Health care. Bill 35 — consolidation of colleges. I don’t know how many college professionals or health care professionals I talked to. Occupational therapists — they were never consulted in on that. They had no clue.
Autism funding — another classic that government had to come reeling back on. Jade mining moratoriums in the North — who was consulted on that? No one. And there’s a whole list I could go through. But it’s a pattern we’re seeing.
We’re seeing it here in Bill 12. This bill has definitions that need to be defined. We heard the member for — sorry, I can’t remember — Vancouver-Langara. How could I forget him? I owe him something for that. But we heard him talk for two hours about the definitions in the bill.
I’m just going to some of them here, such as: “‘health-related wrong’ means…a tort that is committed in British Columbia by a person and that causes or contributes to disease, injury or illness.” All right.
Then you go to the “disease, injury or illness” definition, and it defines it as, sub (b), “problematic product use” — I’m not sure what that means; “the risk of disease, injury or illness.” The risk of disease, injury or illness. Where are the parameters on that? You can understand why industry is a little concerned with this.
With the unclarity and uncertainty surrounding this bill, of course, it always comes down to unintended consequences. We’ve seen this time and time again, not only with this bill — well, what we perceive it to be with this bill, what industry is fearful of this bill — but also the other ones I’ve talked about.
When there’s no consultation and no clearly defined terms, and broadly scoped as this bill is, it brings a certain level of anxiety. Fear, I guess, would be another word — uncertainty. What would those cost measures and liability be? Without these clear objectives and consultation, as I said, this is a bad thing for industry. I’ll read into the record some of those concerns in a second.
Now, the minister…. I guess another thing we’re trying to say here are the specifics to this bill. There are no real, clear specifics. The Minister of Water, Land and Resource Stewardship said: “How could anybody argue about online media giants, the harm that it presents itself?” I agree 100 percent. I’ve got children. I’m not supposed to use props, but this thing is dangerous. I mean, there’s a lot of misinformation out there. There are a lot of apps. And you know, for me….
Ontario actually did a good change in their laws. They were specific — online gambling and the fact that they banned advertisement of sports heroes and celebrities. I think that’s important. I’ve got a 15-year-old son, and thankfully he’s been educated enough not to fall for some of the temptations that are out there on social media platforms and actually on advertisements every night on your Vancouver hockey game, where you’ve got some of these professionals.
I will use some of them, guys like Wayne Gretzky and Connor McDavid. They’re talking about making the bet and making it happen, and that’s pretty influential to kids. I was really tempted — and I still may, unless government wants to pick it up — to duplicate something that Ontario’s done. I’d be in full support of that, because it’s a real thing, and it’s a real addiction. Once you get into that, it’s just as quick as a click, and that kid’s lunch money has now grown into something a lot larger than that, which he can’t get out of.
Sextortion. A sad story. My son is a hockey player. Last year a 14-year-old colleague of his — they weren’t on the same team, but they played against one another — died because of sextortion. He released some explicit pictures of himself on whatever platform it was, a dating service or whatever it was, and it didn’t end well. Let’s just put it that way.
I think anyone on this side of the House, anyone in this province, would be totally supportive of making sure that these predators and these companies that develop some of these programs are put away and pay for those kinds of things. I don’t think there’s any amount of money that could ever pay for something like that. So we’re all in support of the general intentions of this bill.
The minister also talked about vaping, how it’s marketed with all the flavours — cherry, root beer, bubble gum. The minister noted that. Well, if I’m not mistaken, I’m almost positive that there was a private member’s bill brought up not once but probably four or five times addressing that exact issue and the banning of those certain flavours. Because those aren’t there for a 62-year-old guy like me. Well, about to be 62 — I’m not there yet. A 61-year-old guy like me.
Interjection.
T. Shypitka: I’m doing what I can.
Anyway, that’s not made for guys like me. It’s made for children to get into it, get that addiction going, and those companies can profit from that. We’re totally in line with that.
Tobacco cost recovery, the minister talked about, I think there’s already an act in place that identifies those cost recoveries from big tobacco companies.
What I’m getting at are the specifics. Bill 12 needs to be specific to the exact examples the minister highlighted. It may be as simple as just amending an act, tobacco act or Costs Recovery Act, I think it’s called, putting in place private member’s bills, bringing them forward. Be specific about what we’re trying to accomplish here. When you lump this all in in a broad way, it doesn’t give any certainty, no clarity, and people wonder, whether they should be in or they should be out.
For some apps, maybe their best intentions could be beneficial, but used in certain ways, they could be actually detrimental. Even if a software developer comes up with some sort of a research app, perhaps, that could be with the best intentions of getting the best research, it could go askew if misused and could be detrimental to the user. What amount of certainty would a software developer have in British Columbia? We know how great B.C. is in our tech development. What certainty would they have that they wouldn’t be held liable?
In the definitions of Bill 12, liability could skirt to a lot of folks other than the company itself. It could skirt to the shareholders of the company, the board of the company. We don’t know.
That’s why we want a pause put on this bill. We want a pause. Put it out to the industry, let them discuss, and come back with good dialogue, so that perhaps you can do some tweaking to the bill. I’m sure — well, I’m not sure; I’m positive — that every member on this side would be completely supportive if it had the support of industry and if those unintended consequences were looked after.
Responsibilities. I think the minister talked about responsibilities of companies. The member for Shuswap and I were talking back and forth, and he is a lot more articulate than I am. We talked about some of the measures that this government has put in place.
How would government be held liable for some of their actions? I’m sure none. I’m sure there’d be indemnity from any kind of lawsuit, but look at some of the bills they’ve put forward. They put forward the cannabis bill and legalized marijuana in the province. Would government be held liable for that or responsible for that in government cannabis stores?
Decriminalization of opioids was another thing that the member for Shuswap mentioned. There are some pretty harmful drugs right now. And my daughter…. I’ve been on the record about this many, many times, about “safe” and “clean,” the words that we use and the unintended consequences of that. I don’t want to get into any other details on how that has impacted my family.
The truth is that words matter. If that’s the case with this bill, and actions matter, then where would government be on assuming that liability? I would hope that it would be a fair, level playing field for everyone.
Once again, the minister said that he was concerned the members on this side were delivering the wrong message, but it’s simply not the truth.
I’ve only got 11 minutes here, but I think it’s important to read into the record the concerns from industry. I will start it off. This is a letter that went to the Premier and the Attorney General.
“On behalf of the signatory business associations and our collective membership, we are writing to express our shared concerns about the breadth of the recent Bill 12, the Public Health Accountability and Cost Recovery Act.
“The intention to safeguard the physical and mental health and well-being of British Columbians is laudable and an objective we support. We are writing today to emphasize that the parameters in Bill 12 must be clear and appropriately delineated so as not to inadvertently expose a wider spectrum of businesses to legal risk. The current draft does not achieve this and has been advanced without sufficient engagement.
“Our concerns arise from the potential ramifications of the bill’s expansive interpretation, as summarized in several articles from B.C.’s legal community, including analyses from McCarthy Tétrault, Aird and Berlis, and others. Our members have reacted swiftly to the proposed law as well, raising significant concerns as we scramble to understand the legal implications of such a broadly scoped bill.
“Given the uncertainty and broad scope, we urge the government to take the time to work with interested parties to ensure appropriate guardrails are in place and there are no unintended consequences. Some of the current concerns include:
“If enacted, the law appears to apply to any product, good, service or by-product, which, we understand, can create liability for almost any business operating in or connected to B.C.
“Similarly, the bill appears to apply not only to a product or service that may cause or may contribute to disease, injury or illness but also to any product or service that contributes to even the risk of disease, injury or illness, without clear criteria for determining these risks or costs.
“Further, Bill 12 expands the type and scope for costs the government to ‘other expenditures by the government, made directly or through one or more agents, other intermediate bodies or education authorities, for programs, services, benefits or similar matters associated with disease, injury or illness,’ creating significant risks to all sectors of the economy.
“The use of a certificate from a minister of the federal or provincial government as proof of expenditures without conclusive proof of actual risk or harm is alarming and without precedent.
“The potential consequences of these points could be significant. An expanded scope of liability, along with the related expanded legal and insurance costs due to the broad nature of the bill, are significant concerns for B.C. businesses. These costs come amidst economic uncertainty, low growth and a rapidly rising population. B.C.’s economy is slowing, as demonstrated by a year-over-year decrease in retail sales, per January 2024 data. Inevitably, these costs, associated with increased liability and uncertainty, are paid by the consumers and businesses.
“Specifically, the government’s communications and media reports have focused on ‘social media companies’ and ‘algorithms’ as reasons why this legislation is being introduced. While the signatories to this letter may have different views individually, a thorough discussion and consultation on the rules governing online behaviour and commerce to ensure our laws are up to date for our digital age would seem appropriate. Presumably, this would also entail consultation to ensure the desired outcomes would be achieved in any new initiative.
“As opposed to a targeted approach, this legislation is written in the broadest possible fashion. The result is that there is a real risk that this legislation could cause some to consider alternatives to investing in B.C., raise costs or, at worst, relocate existing B.C.-based operations. In our view, it is critical that there be thorough discussion and airing of views on the broad scope of this law prior to its passage.
“As such, we request the government pause the advancement of the bill and instead work with stakeholders to refine the intent, purpose and language of the proposed law.
“In conclusion, it is important to once again stress that we support the government’s stated objectives, which include protecting British Columbians. We look forward to collaborating and finding a path forward.”
I couldn’t say it any better. Our colleagues are saying the exact same thing. We need to have proper consultation and engagement with industries.
[S. Chandra Herbert in the chair.]
Some of these signatories are quite significant: Greater Vancouver Board of Trade, Retail Council of Canada, B.C. Alliance of Beverage Licensees. That’s ABLE. That was an association I would have been associated when I had the bars and nightclubs. B.C. Craft Brewers, Canadian Craft Distillery Alliance, rural liquor store advisory society, Restaurants Canada, Canadian Federation of Independent Business, wines of British Columbia, Tourism Industry Association of B.C., Canadian Beverage Association.
There are a lot more here than I’m reading out; that’s for sure. One of them that was the very last signatory I never really heard of before, and that’s the Chemistry Industry Association of Canada. I looked, and they were concerned about this bill. Who is, exactly, the Chemistry Industry Association of Canada? Well, it’s only a $53 billion agency, or association — $53 billion. I’ll say that one again.
The signatories with the Chemistry Industry Association of Canada are signatories to responsible care. That inspires members to take action that improves the sustainability of their operations and reduces harm throughout the entire life cycle of their product. So this association essentially is exactly doing what the bill would intend to do. At the same time, it’s giving them a lot of doubt whether this bill is for them or not. This Chemistry Industry Association of Canada is the fourth-largest manufacturing sector in Canada, and they’re the second-largest exporter among all Canadian manufacturing industries.
I would argue that if a company or an association of members like the Chemistry Industry Association of Canada is timid about this bill that’s being presented, I think every member in this House should take note, as every other signatory to this letter.
The B.C. Chamber of Commerce, the backbone of our economy…. Small business makes it up. We’ve heard that many times before. So why wouldn’t the backbone of our economy be consulted and engaged in a bill that could have unintended consequences to its members?
The request is a very simple one. Let’s get back to the drawing table and do this in a good way. We hear government talk about made-in-B.C. types of bills and legislation. Let’s make this made-in-B.C., and let’s talk to the people that make up our businesses here in British Columbia and listen to their warning.
It’s pretty clear. The letter is pretty clear. The Premier has got it in his hand. He has looked at it. Apparently, it doesn’t resonate. The Attorney General has got it in her file as well. Apparently, it doesn’t resonate with her either, because the purpose right now is to get this bill through and have it pass without the consultation that’s required. I think that’s just plain wrong.
With that, I’ll turn it over to my colleagues and call it a day.
P. Milobar: It’s my pleasure to rise and speak to Bill 12.
I was going to read the letter that my colleague has just read, word for word, into the record. He has saved a bit of time there for me.
I thought it was an important jumping-off point. Although my colleague touched on some of the signatories, I’ll read into the record all of the signatories to that letter, because it is a very diverse group within our province.
For people at home that think Bill 12 is just the concern of people that sell liquor or manufacture liquor or, perhaps, cannabis operations or things of that nature…. I think when they start to hear the breadth of concern from across all industries in the province that signed off on this letter, asking the province to put the brakes on this bill and actually consult and get things right…. There are wide-ranging ramifications.
We have the Greater Vancouver Board of Trade. We have ABLE-BC. We have the B.C. Hotel Association. We have the Rural Liquor Store Advisory Society. We have the Retail Council of Canada. We have the B.C. Craft Brewers Association. We have the Canadian Craft Distillery Alliance. We have the British Columbia Craft Distillers Guild. We have the New Wave Wine Society. We have COFI, which is forestry, as a signatory to this. We have the wines of British Columbia.
We have the Canadian Federation of Independent Grocers. At a time when we’ve never seen pricing for groceries as high as it is, they are concerned about the ramifications of this bill. The Business Council of B.C. The Food, Health and Consumer Products of Canada. Restaurants Canada. The CFIB, the Canadian Federation of Independent Business. The B.C. restaurant and food association. The tourism industry of British Columbia. Tourism is concerned about the wide-ranging ramifications of Bill 12. The CBA, the Canadian Beverage Association. The CME, the Canadian Manufacturers and Exporters Association.
The AHAM, the Association of Home Appliance Manufacturers. Home appliance manufacturers are concerned about this bill. We actually have a thriving gas fireplace manufacturing industry in British Columbia. It is one of the larger centres for that in North America, actually, which most people do not realize. The Chemistry Industry Association of Canada. The B.C. Chamber of Commerce. The B.C. Greenhouse Growers Association.
Now that’s a pretty wide spectrum of industry and potential risk that people are exhibiting about Bill 12. All with different points of view. All with different ways that they can see that this opens up legal challenges to them for things that are not laid out very clearly in Bill 12.
When the government tries talking about social media companies in relation to Bill 12, fine. Why is Bill 12 not just dealing with social media companies? Why is Bill 12 totally wide open to interpretation on such a wide variety, literally from forestry to manufacturing to other industries to tourism in British Columbia? It’s because the government got the bill wrong.
The government, under UNDRIP, is also supposed to consult with Indigenous communities on legislation that could impact them. When you look at the wide range of industries that are expressing concerns, many of which are land-based, one would have to conclude that there’s a lot of Indigenous operators of forestry companies and resource companies and other opportunities out there that would be directly impacted by Bill 12, but no consultation there either. The government sure likes to pick and choose when it wants to wrap itself with UNDRIP and the fundamental principles of it. When it seems to be convenient for government, they do. When it’s not convenient, they don’t, as we see with Bill 12.
Now, why is this a worry? In British Columbia, we just saw tax dollars going to help the wine industry, rightfully so and understandably so. On the one hand, the government is trying to give financial support to the wine industry. On the other hand, with Bill 12, they’re sending a very clear message to all wineries in British Columbia that they could be next for legal action from the province.
It doesn’t define that they will or will not be. In fact, when you read the legislation, it’s more likely they would be included in legal action from the province, if the province just suddenly decided one day to do that.
You think of the impact on tourism. You think of the impact on employment. You think of the impact of all that investment that has gone into the wine industry in British Columbia over the last 30 or 40 years, trying to develop an industry that rivals any of the wine destination areas, especially in North America.
I can remember when I drove my daughter down to university in California. My wife and I were driving back, and we decided to stop in Napa on the way back, when we were towing our trailer. We had never been. We stayed for a night. A nice enough valley. It was pretty interesting to see that many wineries there. Napa is pretty world-famous.
Now, we were coming back, and it happened to be our wedding anniversary that same weekend. We were coming back. It would have been around a Tuesday or so that we were in Napa. On the Friday or Saturday, we decided we should go down to the Okanagan once we got back to Kamloops and meet up with some friends and have lunch down at one of the wineries.
You realize, with that quick of a turnaround time, the difference between the Okanagan Valley, sitting on a patio overlooking Lake Okanagan and the wineries…. Just how stunning our wine area is, even in comparison to Napa, which is a much tighter valley with wineries on both sides and a narrow single-lane road going in each direction. Just how stunning our offering is to the world.
The wine industry in Kamloops has grown now. The wine industry further south, into the Okanagan, has grown. We’re seeing the fruit winery up in Prince George, which is a signatory to this as well, flourish. All of that is potentially at risk with Bill 12.
I know, to the viewers at home, it might seem like we’re trying to fearmonger, as opposition, and shine a light on things that aren’t real. Well, the wines of British Columbia association…. Their president, Miles Prodan, signed this letter because it is a very real threat to them.
Then you look at all the craft brewers we have in this province. How proud areas of this province, like in the Port Moody area and others, have developed a subculture, within their own towns and areas, of brewery districts. All that small-scale brewing that happens, the kind of community it creates, with people being able to gather in a lifestyle choice. All a threat to this.
It’s not just the brewers. Remember, it’s the brewpubs as well. Many of them branched out into distilling. Other small-scale distillers have just started doing it on their own.
We have two distillers. We previously had none in Kamloops. We now have two independent, actual full-fledged distillers, with a third on the way, and another brewpub that actually started distilling as well. All small-batch craft distilling. All at risk with Bill 12.
That’s the problem. With no guardrails on Bill 12, as to the limits the government is trying to take this legislation, no one actually knows where it can go. It’s interesting that in the letter, “guardrails” was used. Has the government looked in the mirror?
If we want to talk about a lack of guardrails, we have to look no further than decriminalization and the lack of guardrails this government has with that program. They were supposed to be in place. They’re not in place. Does that mean the government is actually liable now?
They didn’t actually follow through on the guardrails they were supposed to have in place under Bill 12. Does that mean that the government turning a blind eye to the diversion of dillies and other so-called safe supply, under their program, being diverted to high schools and high school students having access to that…? Does that make the government liable under Bill 12?
Who would actually pay? Would a minister responsible be personally liable, or would they hide behind the taxpayers’ dollars to pay out any settlement? Unlike the individual business owners that would now be responsible on their own.
That’s the problem when there’s a lack of accountability from the government and a rush to appear to be doing something with a piece of legislation that apparently no one was actually calling for. You look at all the other areas out there where people have been calling for help and change from this government, which have been ignored over the last eight years. Out of the blue, the government decides Bill 12 is their priority in the backdrop of all the other chaos we see going with their failed programs out there. Failed programs that are actually harming people.
Does the increase in street disorder and petty crimes and violent assaults and vandalism and theft count as harm, under Bill 12, to a neighbourhood or an individual? Does that make the government liable under Bill 12? Do you think we could actually get a forthright answer from the government when we get to committee stage on Bill 12? Not likely.
Those are very real concerns. Unfortunately, the government is willing to shrug off the very real concerns from all of these associations and private business owners. They have nothing to worry about. It’s not a problem. Nothing to see here, folks. They also feel they don’t have to actually provide an answer on how this will impact their own operations.
Ministers of the Crown actually have a fiduciary duty to protect the Crown. Does Bill 12 expose the Crown to lawsuits? If people are buying cannabis products that get shown to be an impact to their life, to their family’s life, to their health, to their financial health, from a government pot shop…. Does that now expose the government to liability on a piece of legislation that they knowingly brought forward to expose the taxpayers to that type of liability?
What about government liquor stores? Where does that fall into this? Is it strictly the manufacturer that’s on the hook, or is it the retailer knowingly selling?
Now they say that anything in moderation is somewhat okay. Does that mean they will now need to put restrictions on how much any one customer can purchase at a time, or otherwise that clerk is knowingly selling somebody too much alcohol, which would actually be a harm to their health if they drank it all in one session when they go back to their own private residence?
I know it can sound far-fetched, but the problem is that when you’re dealing with laws and when you’re dealing with the legalities of the wording, this is where things can land when laws start to get challenged and when people start to demand compensation under certain laws.
When you have a bill like Bill 12 that is scheduled…. Commencement: “This Act comes into force on the date of Royal Assent.” Well, isn’t that interesting? At least in other pieces of legislation that they leave all to regulation, those clauses are highlighted as waiting to come into effect during OICs, orders-in-council.
In this, anything left to interpretation, anything the government, the Attorney General, refuses to answer with any detail at committee stage, will be left for interpretation by the courts in a legal action. Any potential changes to regulation to any of this, or anything that’s left hanging out there within Bill 12 that’s still waiting for final regulation, although the bill will be law once this gets royal assent, too bad.
So again, why the rush? Why the rush by the government to bring forward a bill no one has been asking for and clamouring for? A wide range of business associations have spoken up and said: “Put this on hold so we can understand what the actual ramifications of this bill are.”
There’s no clear line of sight into what type of Indigenous consultation was done whatsoever by this government and how this bill might actually impact their business interests around this province. None whatsoever.
With the backdrop of chaos on our streets that has all increased because of government policy over the last year and a half as it relates to decrim…. Yet there’s no recognition from this government that they have played a part in that.
Instead, they want to bring forward Bill 12 to potentially turn the screws on a small-scale distiller that has sunk every penny of their life savings — probably mortgaged or double-mortgaged their home — on a hope and a prayer that their idea will catch on and they can build something for themselves and their family. Now they get thrown in legal limbo by this government, because they don’t know what the fallout might be and how far it spreads.
You have tourism operators that don’t know what the impact will be if this impacts the winery industry. You have retail operators that aren’t sure what this will mean to them at a retail level on a wide range of products that they sell that if misused will dramatically impact your health in a negative way.
What safeguards is the government proposing to make sure things aren’t bought in such a volume that it impacts your health in a negative way?
It might shock the Speaker to find out that I’ve had the odd person in my life tell me I could stand to lose a pound or two. Is this meant to protect me from myself? That is the problem with Bill 12. No one knows what the government’s reach is going to be.
At a time when businesses are struggling to stay solvent, at a time when they see nothing but cost pressures ever mounting on their operations and they’re pretty much hitting the ceiling on what they can charge their customers, the government thought that was a good time, on the backdrop of 32 new or increased taxes that add $22 billion to the overall tax bill in British Columbia, a great portion of which is picked up by small businesses in our province, a backdrop of the government flooding our streets with so-called safe supply that they’re winding up in our high schools….
The government’s priorities seem to be to bring forward an ambiguous bill like Bill 12 that will provide no certainty or clarity to those businesses, take no responsibility or acknowledgment of their failed policies that they have that are actually causing great community harm and public health harm.
That’s the problem. There’s harm that gets created. There are people that are being helped, absolutely. But Bill 12 doesn’t say: “As long as you’re helping some people, you’re absolved if you hurt others.” And that sounds an awful lot like what’s happening under decriminalization right now. You have some being helped, and you have many, many more that are being harmed.
A high school student that didn’t have a dependency issue, that starts taking so-called safe supply because they are told it’s government-issued and it’s safe and it’s pharmaceutical-grade — still sends them down a path of addictions, especially when it’s diluted. And it’s, as they call it, dillies, which are incredibly addictive. Ironically enough, they are made by the same manufacturer, it’s my understanding, that the government sued about the opioid crisis. How messed up is that? The government sues a pharmaceutical company on the opioid crisis, and then turns around and contracts for one of their other products that’s an opioid derivative for the so-called safe supply program that gets diverted into our high schools and university campuses.
Maybe that’s what the business associations are saying with their opposition to Bill 12. Maybe they’re saying: “The government should get their own house in order first, before they keep trying to expand and do what they do best: point the finger at everyone else for creating the problem and take no responsibility for themselves as government to actually solve a problem.”
It’s always someone else’s fault with this government. There’s always someone else to blame. There’s always somewhere else to point a finger. Nothing they have done has been wrong in eight years, according to this government. Doesn’t matter what facts you present. It doesn’t matter what data you show them. It doesn’t matter what shows up on newscasts on a nightly basis. It doesn’t matter what police reports say. Those must have been wrong. It’s someone else’s fault, according to the Premier, not him and his cabinet.
Well, if that was the case, health care wouldn’t be in a shambles. Housing wouldn’t be in a shambles. We wouldn’t have the most expensive housing in British Columbia…. We wouldn’t have crime and street disorder like we’re seeing. We wouldn’t have record levels of opioid deaths, let alone non-fatal overdoses. We wouldn’t have record levels of stress and trauma on our first responders that keep going to these calls.
We wouldn’t have a child welfare system that is in disarray, despite the government trying to pretend it’s not and trying to turn a blind eye to it, while more and more kids are faced with challenges — horrific, horrific situations. It was like dragging the Premier’s feet to try to get some sort of change and accountability within that ministry.
That’s the type of lack of accountability that makes the business community sign a letter like they did about Bill 12. News for the Premier: leadership isn’t pointing the finger at everyone else in the province when you wanted to be the Premier. No one forced the Premier to take on the job. In fact, he forced everyone else out from trying to do the job instead of him. It’s time for actual leadership and actual results instead of bills like Bill 12 which are designed to point fingers and blame others and not provide any actual detail to what this government plans to do.
We hear it time and again, announcement after announcement, legislation after legislation. No detail. Details to come. They referenced the flipping tax in the flipping budget as going to be in the budget implementation bill. That was back on February 22. Guess what gets announced tomorrow?
We finally get to see the legislation on the flipping tax. The government couldn’t even have that ready to go. But somehow a bill, in Bill 12, that no one asked for…. They managed to have that hit the floor of the Legislature before something they’ve talked about since February 22. Talk about all talk and no action and no result.
When you have groups as diverse as beverages, as forestry, as chemical engineering, as manufacturers and exporters, as retail, just standard retail, as tourism…. Why would the hotel industry be so worried about Bill 12? It’s because of the unintended consequences that are going to be triggered under Bill 12.
I grew up in a family with a family-run, family-owned hotel. Margins aren’t what people think they are, despite what a lot of the rates are. There’s a lot of worry when you start to see government lining up to try to figure out who they want to make the next scapegoat for the next problem that they’ve not been able to deliver on and solve the problem for.
I’ve lost track. If you want to talk about how many problems they pointed the fingers at, I’ve actually lost track of how many different people they have blamed for the housing crisis. It started with offshore investors. Then there was a whole bunch of rhetoric fueling anti-Asian sentiments out in the province, which only grew under COVID and this government’s watch.
Let’s see. They had money laundering as the culprit until the Cullen commission shot that down. Then what did they come back to? I think, then, again, we were back to speculators. Then we were back to offshore money.
Municipalities have played a part, apparently, all through this, but we’re not entirely sure with the government where they ever point the finger at. Then the federal government was at fault. Now the federal government is a good guy in this again. Next week they’ll probably be the bad guy again.
That’s, literally, what this government has treated housing like. It’s what they’ve treated the opioid addiction crisis like. It’s what they’re treating Bill 12 like. They’re sending a very clear signal to the business community, which is why the business community sent the letter they did, that it’s open season on them. Any one of them could be the next scapegoat when the province feels like they need to try to change the channel on something. Given that it’s, what, Tuesday today, that could happen by Thursday, the way this government keeps stepping in it.
It’s simply not good enough. It’s a very simple request: put this on hold to have proper consultation with the business community and, actually, with Indigenous communities as well.
No one was asking for this. You have to ask yourself: what problem are they trying to solve, or what problem are they trying to appear to be solving with a desperate attempt to try to look like they’re a government taking action? All the action they are taking is sending a shiver through the business community that any one of them could be the next scapegoat by this government. That’s not a way to govern, and that’s certainly not leadership.
I thank you for the time on Bill 12.
M. Bernier: When I see members from the government side…. I was just waiting to see if they wanted to speak. I was willing to give up the floor and that opportunity for some of the ministers or members to speak to Bill 12, but in absence of that, I will take my spot and do just that.
We’ve heard a lot today from the opposition side of the House raising legitimate concerns, starting with our critic, the member for Vancouver-Langara, who, rightfully so, spoke as the designated speaker, at length, with a lot, I would say, of a cautionary tale with some very legitimate points and concerns around Bill 12 and why we are suggesting to this government that they pause, as my colleague from Kamloops just talked about.
I’ll get into my commentary on this, but as we’ve been saying, too, this is not us just saying that this needs to be paused. These are groups, organizations all around the province of British Columbia. The common theme that we are hearing — not just in this piece of legislation, in Bill 12, but for so many pieces of legislation that this government has brought forward without bringing the holistic approach in that piece of legislation, whether it’s the definitions or the interpretation or the lack thereof within the clauses — is the unintended consequences.
Time and time again when pieces of legislation have hit this floor, there has been.... Maybe outcry is too strong of a word in some of the situations, but definitely concern raised by community groups, by the official opposition, that because of the lack of information presented in a bill, the lack of consultation that was done prior to the legislation hitting the floor of this House, it will create unintended consequences. We’ve heard that time and time again.
Over the last couple of months…. I will almost — I guess I will be — sounding like I’m giving government credit here, because there have been times where they’ve realized their mistakes, where they’ve had to come out and say: “We’re not putting through all the regulation right now, as we thought, on that piece of legislation. We’re pulling back.” Or: “We’re going to be changing or not imposing the full piece of legislation because we’re recognizing some of the unintended consequences that people in the public or the official opposition have raised.”
I know the government will never stand up and say that the official opposition was right, even though in many of the cases of the commentary that we brought forward, we were, when we were bringing it forward on behalf of people in the province of British Columbia who were also raising those concerns. But here we are again in the Legislature debating a piece of legislation that many groups in the province of British Columbia are flagging — that because of the lack of consultation once again, it could have unintended consequences.
Now, I know the Attorney General will have a lot of opportunity when we get to committee stage…. Our critic, the member for Vancouver-Langara, will be bringing forward, as he has already highlighted through his commentary, a multitude of questions, concerns that are being raised, ensuring that we give the minister the opportunity to, maybe in some cases, correct some of the information that’s out there, or also give more guidance to this House based on the direction of this government, what they’re trying to accomplish.
As the member before me and a few others have said too, we’re trying to understand what problem this government is trying to fix with this piece of legislation.
Now, when you look at Bill 12 and you’re talking about public health accountability and cost recovery, on the surface, the merits of that sound fine. There’s going to be no argument that we need to be looking at an accountability approach, as it has been addressed by a multitude of speakers already today. But it’s once again the lack of legal terminology and definition that’s put forward in this bill.
Without those specifics and the definitions, it leaves people to start trying to interpret all the gaps that are out there. And because there was no proper consultation, people have to start interpreting what the objective may or may not be. That, once again, falls flat on this government for not doing their due diligence in front of this piece of legislation being brought here to this House.
Now, the minister herself, the Attorney General, earlier in presenting this bill…. I was quite surprised. The commentary was very brief, did not give a lot of clarity, did not really address the concerns that people have been raising.
In all fairness, we’ve spoken after the minister, as the official opposition. But the general public and the organizations in the province spoke before us. They spoke before the minister by putting a letter forward highlighting some of the issues and concerns that they have with this legislation. The minister had an opportunity to address those, to give the clarity that would be required, but that didn’t happen. Unfortunately, even the minister’s own speaking points that she brought forward around this bill, in a lot of ways, not only did not help give clarity but created more uncertainty through some of that language.
I’m looking at some of this that the minister said, and I’m quoting from the Attorney General. This bill will allow government to sue wrongdoers, regardless of their individual or corporation entity, “who either cause or contribute to the disease, illness or injury or the risk of disease, illness or injury. Currently, the costs of some wrongdoers are covered by the province and not the wrongdoer.”
Now, the minister is speaking right out of the bill with some of these talking points but, again, doesn’t give clarity — the whole point of a lot of these organizations writing to not only the minister in advance of our commentary here today but also to the Premier, to every member on the government side of the House. Of course, we’re privy to that information, as we were all cc’d on that letter of concern on the scope of Bill 12 that was put forward on March 28 by these different organizations.
When I read that letter, it drew me to the legislation. What concerns may they be identifying through the pieces of legislation? I won’t read the entire letter. I know some parts of the letter have been read previously by members in the House. I think it’s also important to at least reiterate a few points that were brought forward and concerns that these business associations have put forward, because on the surface, it appears that government once again wants to start setting up not only government but organizations within our province for litigation, for more money being spent in the courts.
Rather than being in front of the issue, this government is reactionary all the time. Rather than showing leadership and trying to solve some of the health issues, trying to solve some of the concerns that are being raised, “let’s just wait until there’s a problem and then react to it, and possibly in the courts.”
Looking at this letter again, from these groups…. I’ll quote from the letter here, the very first paragraph, which I think is important. “The intention to safeguard the physical and mental health and well-being of British Columbians is laudable and an objective we all support. We are writing today to emphasize that the parameters in Bill 12 must be clear and appropriately delineated so as not to inadvertently expose a wider spectrum of businesses to legal risk. The current draft does not achieve this and has been advanced without sufficient engagement.”
I’ll pause there for a second. This seems to be the ongoing practice of this government. Rather than doing the work up front, it’s: “Let’s bring forward a piece of legislation without the proper engagement. Let’s throw it out and see if it sticks. We may or may not change it down the road, after we’ve forced it through with the majority government.” So much of it has been interpreted or left up to regulation after the legislation has passed here in the House.
This one’s a little different. Unless I’m missing it when I read through this piece of legislation, rather than having, to this government’s credit…. Almost every piece of legislation I’ve seen here leaves it up to regulation at a later date. For this one here, every piece of this legislation, every section — 18 sections that I see here — comes into force at royal assent. That is different than most of the pieces of legislation that I’ve seen from this government, where some comes in royal assent and a lot of it is left to determination and regulation at a later date, through order-in-council, through cabinet.
On the surface, when I saw that, I almost didn’t know what to think. Usually I am concerned when this government says: “We’re leaving it all up to a later date, through regulation, because we don’t have enough information, and we’re going to determine, through regulation, some of the processes, possibly through consultation at a later date.” That’s what we hear from this government.
This piece of legislation is contrary to that. This piece of legislation says and almost acknowledges: “We did not do the consultation. We know there’s concern out there.” There are letters that have been distributed to this government. They have it. I haven’t heard one of them acknowledge it yet, but they have this, these letters of concern. “But don’t worry. This time we’re not even going to wait and do regulation after consultation. We’re just going to ram it through in the next couple of days, and it’ll come into effect right away, through royal assent.”
I think you can see why not only these groups but the opposition is trying to raise a flag here. In this piece of legislation, government has not even given themselves a window to climb out of. They have not given themselves an opportunity to change something afterwards, because this entire piece of legislation is going to come into effect upon passage here in royal assent.
There’s no loophole. There’s no area where it says “regulation after consultation.” There again, when you look at that first paragraph that these organizations have put forward, they’ve highlighted very specifically that this current draft does not achieve the goals that government looks like they’re trying to accomplish here, and it has been advanced without sufficient engagement.
This is not just a couple of small groups that people have never heard from before. Some of these organizations are major, well-respected organizations in the province of British Columbia. Some of them represent hundreds, if not thousands, of members, which in turn represent groups from every single corner of this province.
We’re looking at the Retail Council of Canada, the Vancouver Board of Trade. We’re looking at the Hotel Association of British Columbia; the B.C. Craft Brewers — one of my favourites, on a side note, I want to add; and COFI, I think it was acknowledged by one of my colleagues earlier. We’ve even got forestry industries that are attaching themselves to this letter.
The Canadian Federation of Independent Business, the Business Council of British Columbia, the B.C. Chamber of Commerce, the B.C. Greenhouse Growers Association. I haven’t even listed half of them. These are major organizations that are trying to get the government’s attention, to say that this piece of legislation needs to be reconsidered.
Maybe internally, within this legislation in Bill 12, there are points in here that people can understand and support, but in the way it is defined, the way things are put forward by the Attorney General and this government — frankly, the Premier — in this piece of legislation, the absence of that detail raises flags and raises concerns. That’s all we’re trying to say.
We’re actually trying to help government here by saying that there is no flaw, no harm, and no reason to be concerned if you say: “Look, this letter has raised some valid points. We are willing to stand down this piece of legislation until we do the right thing, until we engage and consult with the groups that have flagged their concerns.”
I hate to say it this way. We will ask very pointed, distinct and articulate questions. Our member for Vancouver-Langara will put those forward. Regardless of the answers, it will not change the wording in the legislation — which, in essence, will still leave gaps and flaws.
I am hard-pressed to think that the minister is going to be able to articulate…. That’s not a flaw of the minister. The minister is quite a student, as a lawyer herself, and will be able to debate the terminology. But that will not change the actual wording in the legislation.
Now, Bill 12 is really mostly about health-related wrongs, when you go into the actual legislation. I’ll flag some points here that are raising some questions from me, questions from the opposition. Again, I can understand wholeheartedly the concerns or questions that some of the organizations that I read out are flagging. It’s because of the lack of definition and the terminology required in the legislation to give certainty around the intent.
When I look at, even under definitions, when it talks about health-related wrongs, that means, and I’m quoting out of the legislation: “‘health-related wrong’ means a breach by a person of a common law, equitable or statutory duty or obligation owed to persons in British Columbia, or a tort that is committed in British Columbia by a person and that causes or contributes to disease, injury or illness.”
Now, the wording makes sense on the intent, but the broadness of that definition is what raises flags around unintended consequences that need to be considered. When we look under that, when it talks about disease, injury or illness within a health-related wrong, I then jumped over into the same definition, under “Definitions,” for the definition of “disease, injury or illness” as defined within this piece of legislation,
It says very specifically: “physical or mental injury or illness; problematic product use” — I’m curious to know what that means; “addiction” — addiction is its own issue; “general deterioration of health; or the risk of disease, injury or illness.”
Risk, though, isn’t defined. What does that really mean: the risk of something? We talk about unintended consequences, and we use that term quite a bit for obvious reasons. With the gaps within not only the definition but the pieces of legislation through these sections after definitions, it raises those concerns. I think about personal liability, personal concerns that individuals must have.
Let’s talk about “product use,” as it’s talking about here. When we get into some of the definitions around product use, where is the personal liability in here, the personal responsibility? I guess I should use it that way. Here’s a perfect example, based on the gaps that are in here.
I will ask this question of government. Actually, I’m not allowed to use props. I actually have them right here, though: my earbuds. When you buy earbuds and you put them in, there are very strict requirements that say they could cause hearing problems if you have it too loud. Fortunately, I’ve played in a rock band most of my life, so I already have a lot of hearing problems. I am trying to figure out, if this piece of legislation goes through, whom I can sue to cover my hearing aid requirements. I’m not sure if that will be the manufacturer of the drum kits.
In all seriousness, the gaps here are immense. If I put in these earbuds, I’m listening to some loud music and my hearing goes downhill because of that, the warnings were all there. The product warnings are there on almost everything. We’ve gotten into a society where we have to put on gasoline: “Don’t drink, because it might cause you harm.” We’ve gone so far down a rabbit hole of warnings, because companies have been pushed into a situation where we have to make sure they cover all bases. Okay, fine.
If I play that music too loud and I start losing my hearing, is it the company’s responsibility? The way this is worded…. That product has caused me a physical illness. Does that mean that the company is now responsible? Or will they be able to determine, because it’ll go to court now, that no, they’ve given every warning possible and it’s not their responsibility?
It might sound, on the surface, what I’m saying, absurd. But the way this legislation is worded, and the lack of consultation to actually define and put bookends to allow companies to feel confident on the intent, we have these gaps. That’s why we have these concerns. That’s why we have these organizations writing to government, saying: “Please pause this until we understand more holistically what your goals are, the intention of trying to help people from a health-related wrong — not actually open up the door for litigation, when the intent was not there from a company.”
I understand, when this was first put forward, there was a lot of talk around social media and other platforms that government, the Premier and the minister were speaking to, but that’s not defined as the major intent of this piece of legislation. It’s left so wide-open that we don’t know anymore where it could go.
In fact, when I was reading through this piece of legislation…. I’m going to flip forward to…. I think it was under section 2(6). “If the government seeks in an action under subsection (1) to recover the costs of a health care benefit….” This is where again, Mr. Speaker, there are concerns, and we have to flesh these out.
“If the government seeks an action…it is not necessary to identify particular individual benefit recipients or to prove the cause of disease, injury or illness in any particular individual benefit recipient, or” the government does not need “to prove the cost of health care benefits for any particular individual benefit recipient.”
When you read that piece of the legislation, on top of the other lack of definitions, of course there are concerns that are flagged. It’s saying now that the government can seek legal costs, can seek damages of somebody: a company, an individual, or members of a board of directors, who are sometimes liable in these cases. But it says that government doesn’t have to prove much now.
Now, of course, the minister will stand up and say: “Well, in certain cases….” I’m sure the minister will try to define what that means, but should that not have been more descriptive in the legislation? One would think so. One would hope so.
In fact, if you look at the people that signed this letter, they expect that. That could have solved a lot of problems, in the forefront, if that work had been done up front by government and by the minister.
In section 9 of the bill, it talks about “setting out the health care benefits that have been provided and will likely be provided for a benefit recipient or population of benefit recipients who have suffered damage caused or contributed to by a health-related wrong.” Well, the first thing that jumps out to me when I read that is: has the government just opened up the door for government now to be liable and sued?
We’re in the middle of an opioid crisis. We’re in the middle of a government’s failed decriminalization strategy and policy. We’ve seen down in the United States where they’re now backing away and changing their policies around decriminalization because they’ve acknowledged it’s a failed experiment. Not here. They want to continue full ahead without the guardrails to help people.
But right in the piece of legislation, the first thing that pops up when I read that is, well, that this government has opened the door now for government to be sued because they have utterly failed to have the guardrails around when they brought forward changes around decriminalization.
So by the wording of this legislation, this government has created a health-related wrong. By the wording in this piece of legislation, that health-related wrong holds them liable, not just as government, but as cabinet. Or is it a case of: “We’re going to hold everybody else responsible, but we’re not going to look in the mirror for the work that we’re doing ourselves as a government”?
Again, there’s a reason why these organizations we’ve been highlighting have been raising the flag. They’re not saying that they don’t agree with the intent of trying to make sure that people’s physical and mental health and well-being in British Columbia is taken care of. Of course they do. Of course we all do.
What we were all trying to flag is the approach this government’s taken with this piece of legislation. It’s flawed because they haven’t done the work up front. That’s why not only we, but these groups, are asking government…. I quote again: “We request the government to pause the advancement of this bill and actually, instead, work with stakeholders to refine the intent, purpose and language of the proposed law.”
So it’s what we’ve been saying here. Because of the way this piece of legislation.… Again, it’s not the intent, but the direction it’s gone without the, once again, guardrails put in, I’ll say. Without the specific determination of what the goals and intentions are of this government, it’s been left too broad.
All of these organizations…. I really hope the NDP government members take it to heart.
Maybe go back to their caucus room and not only question their Premier and the minister, but take to heart what all of these organizations, representing tens of thousands of British Columbians, are saying. Pull it back. Do it right.
I’ll tell you that if they did that now, instead of organizations writing to government saying, “Please pause,” they probably would have had a lot of these organizations signing a press release, like government is always looking for, saying: “We applaud government for the direction they’re going.”
But government is not getting that right now, and that should be a caution to government. Now, we’ve seen, being an election year, that this government is pulling back on some of the things because they didn’t get it right. Fair enough. As we’ve seen with them, they say what they have to, to get a vote.
Here’s another opportunity. Government can do the right thing. The minister can do the right thing. We don’t even have to go through committee stage. Government can withdraw this bill now, do the consultation they didn’t do, and then we can all move forward and try to get it right the first time.
Interjection.
J. Sturdy: Oh, well, thank you — from the government benches. I was hopeful that we would see some government members up on this bill. Evidently not.
I’m rising to speak to Bill 12, the Public Health Accountability and Cost Recovery Act, 2024, a piece of legislation that I think most in this House would recognize, on the surface, is certainly something that has some value — has potential value, anyway — because we’ve seen this type of legislation in the past.
We’ve seen it through the Tobacco Damages and Health Care Costs Recovery Act — I think that was brought in, in the ’90s, and updated again in the 2000s — and then, more recently, the Opioid Damages and Health Care Costs Recovery Act. So it’s similar in nature, but there are some significant differences in this case.
Those pieces of legislation tended to be constrained or targeted, focused on a particular objective and outcome, whereas what we’re seeing here in this piece of legislation is very broad and ill-defined, in fact, if defined at all. It grants, as well, unprecedented power in the way of the minister issuing certificates that really just allow for a statement that there have been costs associated with a perceived ill.
This bill, really, after being introduced a few days ago, was very much condemned — or an expression of concern from a huge range of businesses who really have expressed a concern about unintended consequences and the lack of definitions or broad definitions.
It’s a wide range of the business community. As we look at who some of these signatories are, we have to recognize that it really represents the vast majority of businesses in this province, who, as I said at the outset, really acknowledge that there’s a value here in terms of the intention.
This is to safeguard the physical and mental health and well-being of British Columbians. It’s an objective that we would certainly all support. But the concern is that there are no definitions, that it’s too broad.
It can be interpreted in a variety of different ways and, ultimately, may well, being that, as some of my colleagues mentioned earlier, it is being brought into effect on royal assent with a lack of definition and guardrails. So much of what we’re going to discover here will be discovered through legal action and the courts, which is something that government has spent quite a bit of time talking about in the last little while, specifically around the Land Act, in which the goal was to limit court actions and create resolutions outside of the court. But the way that this legislation is being introduced and the parameters around it will in fact encourage that.
What does this appear to do? Some of these concerns appear to apply to any product, good, service, by-product, product and/or service, which can create a liability for almost any business in this province or connected to this province.
What businesses are we are we talking about here? Well, the signatories of this letter include the board of trade of greater Vancouver; the hotel industry; the liquor industry writ large; the retail liquor store advisory society; the Retail Council of Canada; the Craft Brewers Guild; the distillers; the wine industry; the forest industry; Canadian Federation of Independent Businesses; the Business Council of British Columbia; Food, Health and Consumer Products of Canada; the restaurant industry of Canada; the restaurant industry in British Columbia; the tourism industry; the beverage industry; home appliance manufacturers; chemistry industry; the chamber of commerce; even the greenhouse growers.
I mean, this represents virtually all but the public sector in this province, all expressing a similar type of concern, that this legislation expands the type and scope for cost of the government to all range of expenditures by government and a significant power, as I mentioned earlier, to the minister to issue a certificate as proof of expenditures without actually conclusive proof of actual risk. It is described in this letter as alarming and without precedent. So that’s certainly something that should cause government to pause and to reconsider and to think: “Okay. Are we on track here? Have we got the right focus?”
I notice the Premier’s Office had mentioned this was to be focused on social media enterprises and the potential impacts of algorithms and the processes that these social media companies use to generate traffic and to generate interest in users.
It’s ironic that we don’t see that sector identified in this list of companies that is expressing concern, because the reach is so broad, because there’s such uncertainty here that it could literally affect every business in British Columbia.
As the signatories mentioned, as opposed to a targeted approach, this legislation is written in the broadest possible fashion. The result is that there is real risk that this legislation could cause some to consider alternatives to investing in British Columbia, raise costs or, at worst, relocate existing B.C.-based operations. We already have evidence of an exodus from this province, both from a resident point of view, moving to Alberta or Ontario, as well as businesses either moving or considering relocation or considering the investments that they want to make right now.
We heard mention of some ironies here. The wine sector is having enormous challenges right now around weather issues and the impacts of cold on the sector. Yet on one hand, while government is suggesting that they’re going to invest in the sector, at the same time, we’re creating uncertainties and, potentially, very significant liabilities for exactly that same sector.
The request from this group and these organizations is that the government pause and instead work with stakeholders to refine the intent, purpose and language of the proposed law, which seems like a very, very reasonable approach.
Who would you think would benefit from all this, given the vagueness of the legislation and the fact that it will likely be challenged and challenged again?
There has been some concern raised or some issues raised that the government may find itself a subject of challenge, especially around liquor and cannabis, being that these retail operations are very much a creature of the province. I would point out to my colleagues that it’s unlikely government will go after itself, although it’s interesting that this is applicable to both the federal and the provincial government. I guess it’s possible that either the federal government could go after the provincial government or vice versa.
The question was: who would benefit? Well, certainly, the legal industry is probably likely to benefit, but they also express some very significant concerns around the intention to facilitate civil suits seeking cost recovery on an unprecedented scale, which is a bit alarming when you think on the surface of it.
These are some of the implications of Bill 12. The proposed legislation permits British Columbia or the federal government to recover on an individual or aggregate basis a broad variety of costs related to injury, disease or illness, including those associated with benefits, services and programs.
In other words, if government determines that we need to educate — to not participate in something, to not consume something or use something — then those educational costs could flow back and, ultimately, be recovered from that sector.
What is a product? Well, it’s broadly defined to include a good, a service or a by-product, which is pretty much everything.
[Mr. Speaker in the chair.]
It will allow government to commence an action against nearly any company doing business in British Columbia. If that doesn’t provide a chill to the business sector in this province, I don’t know what will. Again, it allows the government to commence an action against nearly any company doing business in this province.
What else does this legislation do? It requires the court to presume causation where the government is able to establish, on a balance of probabilities, that benefit recipients were exposed to a risk, just the risk, of disease, injury or illness as a consequence. So the court doesn’t even have an opportunity to determine whether or not there is causation. The court is required to presume causation.
This legislation also has…. The liability limitation is extended to 15 years. Even if you have made a settlement or if you already have an action that’s dismissed…. These dismissed actions are potentially revived. So no action is barred that is commenced by the province or the federal government within 15 years of the coming into force of the act on the day in which the claim is discovered.
There was a limited liability before. Now there’s almost an unlimited liability, 15 years at least, and there’s a double jeopardy type of consideration. If you’ve settled before, it’s not a defence. You are going to be subject to an action again.
As well, for the directors and officers of companies in this province…. They should be aware and concerned and alarmed at their own personal liability. There is, ultimately, on directors and officers, no cap on damages.
This is from one law firm. There are many other law firms that all have expressed similar concerns.
With that, I will note the hour, reserve my place and adjourn the debate.
J. Sturdy moved adjournment of debate.
Motion approved.
Committee of Supply (Section A), having reported resolutions and progress, was granted leave to sit again.
Committee of Supply (Section C), having reported resolutions, was granted leave to sit again.
Hon. G. Lore moved adjournment of the House.
Motion approved.
The Speaker: This House stands adjourned until 1:30 p.m. tomorrow.
The House adjourned at 6:24 p.m.
PROCEEDINGS IN THE
DOUGLAS FIR ROOM
Committee of Supply
ESTIMATES: MINISTRY OF
EMERGENCY
MANAGEMENT
AND CLIMATE READINESS
(continued)
The House in Committee of Supply (Section A); R. Parmar in the chair.
The committee met at 1:35 p.m.
The Chair: Good afternoon, Members. I call Committee of Supply, Section A, to order. We’re meeting today to continue the consideration of the budget estimates of the Ministry of Emergency Management and Climate Readiness.
On Vote 21: ministry operations, $79,047,000 (continued).
Hon. B. Ma: My thanks to the member for Cariboo-Chilcotin for his last question, regarding the ministry’s role in the context of these investments — but likely more broadly, as well — given the relationship and the participation of so many other ministries, as I had noted earlier.
The Ministry of Emergency Management and Climate Readiness was created, as the member knows, in December 2022. In doing so, prior to the creation of the ministry, largely, the functions of the ministry around response to emergency management had been done by an organization known as emergency management British Columbia that existed within Public Safety and Solicitor General.
Now because emergency management is a shared responsibility across all levels of government, across multiple levels of society, our approach to emergency management is very partnership-based. It is not a command-and-control model. We work with a lot of partners. Certainly, when the Ministry of Emergency Management and Climate Readiness was created, many other ministries already had accountabilities under various aspects of work that we might lump into emergency management today, and they did not lose those accountabilities when our ministry was created.
For example, I mentioned the Ministry of Water, Land and Resource Stewardship, which had recently adopted the river forecast centre from the Ministry of Forests. The river forecast centre has significant staff expertise. They monitor rivers; they monitor water situations. That kind of technical expertise is extremely valuable to us during a drought situation.
However, it is also extremely valuable operationally to the Ministry of Water, Land and Resource Stewardship through their normal accountabilities. So we did not duplicate that kinds of technical expertise. Rather, we work with Water, Land and Resource Stewardship, together, during emergency situations.
Similarly, the Ministry of Forests still maintains forest roads, and they have that accountability. Despite the fact that we may need to access areas using forest service roads, we did not take away that accountability. Rather, we work with them, and we coordinate with them. The ministry, EMCR, is the B.C. government’s lead coordinating ministry on emergency management. As a partner, we pull together partners.
We do play a leadership role, but like I said earlier, this is not a command-and-control kind of situation. We do not direct ministries and direct partners to do things so much as we bring the right people together. We’re having the right conversations. We’re interfacing with ministries and other partners on their priorities that they identify, working with partners to identify needs and priorities.
Really, a big part of our role as a ministry is to make sure that all of these other ministries that have important accountabilities in various areas that might be relevant during an emergency situation around different hazards are actually keeping a focus on emergencies.
I mean, if you look at the different ministries, they all have enormous operational responsibilities. Well, if you only focus on your operational responsibilities, you might lose sight of the need to prepare for or mitigate disasters that are unexpected before they happen.
We play that role. We’re identifying these hazards, these risks. We’re working with partner ministries to make sure that they’re keeping an eye on those as well. We certainly track the work of government and our investments across the overall emergency management landscape so that we can identify gaps and work towards filling them.
It’s likely easier to think about our role across the emergency management spectrum. As you know, there are four phases. There’s preparation, mitigation, response and recovery. I would say our operational role around response is the most robust and developed because EMBC had done that before. During an actual emergency response, we play that very strong coordinating role. We provide task numbers to communities. We administer funding for emergency support services and that kind of response activity.
Under the recovery phase, we provide support to communities. We develop the recovery strategies on behalf of government and work with communities on their recovery. We administer the disaster financial assistance program. And then on preparation and mitigation preparation, I would say that we’re really working to ramp up the involvement in the work that we do as government. So that’s part of our role too.
Suffice it to say, it’s still a developing ministry, really. We’ve been around for less than a year and a half, and we’re rapidly working with different ministry partners to identify all these different gaps and figure out how, as a government, we fill them. So that’s why there are so many ministries involved with that response to the member.
L. Doerkson: Thanks, Minister, for that very fulsome response.
I’ve got a quick question. We touched earlier on cooling and warming centres, so I’m hoping that that information is still very easily accessible. I’ve got just two or three questions that I’ll ask all at the same time, and then the member for Kelowna West has a couple of questions about ESS.
Could the minister again confirm how many cooling and warming centres we opened, how many people they may have served and, also, what cost we would have seen attached to that function?
Hon. B. Ma: I’m going to provide the member with a number of numbers. Previously I had noted that in 2023, EMCR issued 45 task numbers to support cooling centres and 57 task numbers to support warming centres.
Now, it’s worthwhile to note that each task number could be associated with multiple cooling centres and warming centres. A community will request a task number, and it can apply for that hazard for the duration of the season. Many communities will use the same number to open a cooling centre, and a few days later, if the temperatures are up again, they might have to open another one or, vice versa, for warming centres as well. I can also provide the member with the number of community requests around warming centres. Again, each task number can serve a number of centres.
In the fiscal year 2022 to ’23, there were 83 community requests around warming centres. Fiscal year 2023 to ’24, there were 77. For cooling centres, under ’22 to ’23, there were 78 community requests. In ’23 to ’24, there were 22. For how much it costs, the number I have here is: incremental costs of about $300,000 have been reimbursed to communities in association with extreme heat and cold response. Keep in mind that the EMCR provides reimbursement around incremental costs.
Many, many communities use existing community centres, and they simply increase the hours or add some staff. Maybe they’re adding some cold drinks or hot drinks, depending on the temperature outside. Security costs. They might have some transportation costs related to that as well.
It’s also worth noting these costs are not the aggregate sum of costs that the province has put towards extreme heat and extreme cold response. B.C. Housing also runs their extreme weather map response. Ministry of Health is responsible around heating and cooling responses in their facilities. It doesn’t cover the B.C. Hydro program to provide low-income people with free air conditioners. These are really just the incremental costs provided to communities in supporting the running of their cooling and warming centres.
Oh, and the member asked about how many people these centres have served. We do not have an aggregate number on that, because they are operated by the local governments, and we don’t collect that information from them.
B. Stewart: I know the member for Cariboo-Chilcotin mentioned that I wanted to ask some questions about ESS. I know that the minister and I have spoken about this particular matter on many occasions.
I want to be very succinct and understand where the responsibility of the ESS, in terms of the operation…. Where does that lie in terms of the accountability and responsibility to deliver those services? How is that going to unfold in 2024 and the years beyond, at this point?
Hon. B. Ma: Emergency support services is a program that is funded by the province but delivered operationally by the local authorities. What the province provides support around is training, policy development, funding. We also produce the ERA tool, the evacuee registration and assistance tool.
I think that’s the succinct answer to the member’s question. I’ll let him ask that….
B. Stewart: I’d like to ask the minister just a question about accountability. As the minister knows, and was on site during the McDougall Rim wildfire this year, we had over 10,000 people that were evacuated within a couple of days of that fire breaking out. Some of these people were sleeping in their cars. It wasn’t just a case there weren’t hotel rooms. There was a complete lack of kind of a timeline or accountability.
I guess what I’d like to know then, to clarify: is the minister saying that the accountability for the timeliness of the ESS centre, in terms of the supports that they are to provide to evacuees, is entirely on local government?
Hon. B. Ma: Emergency support services, as a program, is activated literally hundreds of times every year across the province, for incidents as small as a single-family-building fire, all the way up to mass evacuations. In the vast, vast majority of activations, the local authority, which would be the First Nation, the municipality or the regional district…. In the vast majority of those activations, they are able to deliver emergency support services in a timely and effective way.
The program is designed and is intended to provide same-day support to people. When you are evacuated, it’s supposed to step in immediately. That’s important, because even people who may have insurance coverage, for instance, might not know what their insurance coverage is, or they might not know that they have coverage. They don’t know where to go.
It’s such a tense, high-emotion, high-anxiety time that it’s important for people to not have to wait multiple days to get it. Emergency support services is designed to provide that immediate support.
However, it is the case, and we saw that in 2023, that a large-scale evacuation can have so many evacuees that it actually overwhelms the ability of local authorities to process those evacuees in a timely way. That is why the province did step in to provide supports that wouldn’t normally be provided in the vast majority of activations of ESS.
That’s why we spun up the Service B.C. centre, put 81 dedicated callers in there to help clear the queue. We changed the way that accommodations are approved for people, to authorize the Central Okanagan regional district to fast-track people right into accommodations and get them out of those cars, get them out of those waiting situations. We set up virtual reception centres in over a dozen other communities, so other communities’ emergency support services teams actually stepped up to help serve people in the Central Okanagan regional district’s area, but virtually.
So there are ways that the province can and, based on the experience of 2023, should be prepared to support communities in cases of mass evacuation. But yes, the need…. For the vast, vast majority of ESS activation, the local authorities are able to handle the delivery of emergency support services with very little, if any, intervention.
B. Stewart: Thank you, Minister, for that answer. To sum that up, you say that the idea of ESS is same-day support in most instances As you mentioned, you also stepped in and provided additional resources.
Now, I don’t know how many it is, but in the 15 or so years I’ve been an MLA in this area, we’ve been confronted by more than a dozen wildfires, evacuations of over 5,000 people. In this particular case, it was a large number. I think the number that your ministry uses is that about a third of the people that are evacuated reach out for services, so let’s say 3,000.
In a lot of these cases, there seemed to be a resistance at the local level to making any changes. It wasn’t that they were being…. They were being asked. The resources just didn’t seem to happen. It was not a day or two; it took a week or more.
Really, at the end of the day, when it comes to the evacuees, who are the ones that are impacted, the 80-plus seniors that are sleeping in their cars for three or four days without any supports at all, who is accountable to them? Is it meant to be the regional district, in the case of the Central Okanagan, as the local government?
Frankly, a lot of these people…. Forget about the losses they have incurred. They suffered personally, and they shouldn’t have to do that. Where I’m trying to get to on this is to improve the system so that there is not a repeat.
I know that there are things that you’ve made changes to, Minister, but I think that the situation is that there’s no excuse for evacuees to have to sleep in their cars for days and days, especially seniors, not knowing where to go and being able to process that.
It seemed like there was a fixation on the process: “We know what we’re doing.” We just need to change that mindset. You know, we need to be able to be more dynamic. I guess, really, what it is, is: for the evacuees, who is it that ultimately is responsible for this program and making certain that they’re attended to in a timely manner?
Hon. B. Ma: I know I’ve said this many times before, but it certainly continues to be true that emergency management is a shared responsibility across all levels of government. It involves community members in all sorts of different ways, right down to the individual in their household. Everyone has a role.
Those partnerships that we establish with local governments and other emergency management and emergency response partners are incredibly important to us. It is important to us that we respect the way that municipalities, regional districts and First Nations see fit to deliver services, to manage situations within their community, and that we work with them as partners and not as commanders. There is a level of respect that we want to maintain, in terms of being supportive but not being too prescriptive on communities in how they manage situations.
That being said, it was clear to us in 2023 that it was necessary for the province to step in and provide that direct support. Based on lessons learned in 2023, we are looking for ways for the province to be able to be prepared to step in in future situations like this, where perhaps we’re seeing a local government struggling and where additional support might be required.
This is part of our commitment to continually improve the way that we respond and support communities. It’s part of the work that the Premier’s Expert Task Force on Emergencies was set up to look into. There have been many, many engagements on the delivery of emergency support services, in particular, as well as wildfire response with communities, including communities like those in the Central Okanagan, about what happened, how the province can better support communities, and also learnings for us as to when it is necessary for us to be a bit firmer about stepping in as well.
B. Stewart: Thank you, Minister, for the answer on that.
It’s a shared responsibility, and I understand that you don’t want to take that command and control away from the local people. I think that there’s always that sense that the local people that have an evacuation or an ESS plan on the shelf, and they try to execute it…. But there needs to be at some point some sort of measurable for accountability.
As I mentioned, people that are seniors in my riding were sleeping in their cars for days upon days because of the fact that there was a lack of accountability. I didn’t make that criticism. I just tried to work with yourself — the minister — and the staff, making certain that we had a better result. But there was a lot of resistance, and that resistance was initially about the program.
This is the way the program is. It’s ERA. You have to fill this out. I know the minister brought extra resources, and that was fabulous, Minister. But the situation is that there was a point when there were so many people lined up….
I think the day you might have visited, everybody had these colour-coded cards. They would tell you, approximately, when you were in the queue. Now, those cards, just so you know…. I don’t know how many there were per colour, but they were only processing between 200 and, maybe, 300 people in a day. They had at least 10,000 or more evacuated, of that a third. So you do the math, which I’m sure…. It’s just the processing time. There needed to be a check-in.
My question on this is really about the results and the point of knowing that there’s a problem and acting in a manner that’s quick enough to put the extra resources in that the province either has or is prepared to share. I don’t think there was resistance on the province’s part, but I don’t think that the communication worked the way it is.
I’m thinking more about the accountability. You said it’s a shared accountability. The real question is: who makes that call? Who makes the call that things aren’t working? Is it the province? If there’s resistance from the local government to say, “No, things are fine….” I know that on the firefighting side, we had great support and hundreds of firefighters and support people from around the province, the B.C. Wildfire Service. But at the end of the day, this evacuation was probably the worst in British Columbia history.
I’m really asking about who has the authority and accountability to say: “This isn’t working. We’ve got to make some changes.”
Hon. B. Ma: I want to start my response by emphasizing that I agree with the member that it is not acceptable for people to be waiting for emergency support services, particularly when the entire point of the program is to provide same-day support when people need it. Waiting overnight for one night, let alone two or three, or being told that they are going to be waiting for multiple days for that support isn’t in the spirit of the program and not the kind of delivery that we typically see from communities for this program.
The province was in contact with the local authorities throughout the wildfire season, offering support, and constant support, in every way that we can, while also wanting to respect the fact that the reception centre is the reception centre of the local authority.
That being said, after a few days passed and the situation was not resolving, that is when we did make the decision to step in with the additional supports that I described: Service B.C.; the virtual centres; deploying experienced volunteers from other communities; and sending emergency support service specialists from the ministry, providing on-site training. So we did end up stepping in there.
I believe that everybody involved in that emergency support service delivery operation has taken stock of what happened in 2023. Certainly, we have at the province with the launch of the Premier’s Expert Task Force on Emergencies. I know that local authorities have been taking stock of lessons learned from that time as well.
Our focus now is to ensure that we don’t run into the same situation again. We’ve seen this happen. We saw what it took for the province to be able to step in and help the situation. We want to be prepared to be able to do that again, instead of responding to what, ultimately, ended up being a very unacceptable situation of people waiting multiple days.
I also know that it is not possible for everyone, every emergency management partner, to anticipate all of the situations that will come at them in an emergency situation. If we could operationalize every response to every situation that would come at us, we wouldn’t call them emergencies.
The goal here is to be as prepared as possible, to make sure that we’re learning lessons from the past and to make sure that we are ready for whatever might come this season, as best as we can be. Certainly, I also anticipate that we will learn more lessons from the 2024 wildfire season and 2024 drought that we will have to adapt to and then work to operationalize for the future.
B. Stewart: I guess the answer, what I’m kind of struggling with, is that there was…. Initially, it was only a few hundred people on the Tuesday night. Sorry, Tuesday was when the fire started. By the next day, it was up to a couple hundred, and then it became thousands of people.
The space that I know the minister visited had a total of about 12 workstations, maybe 14, but it was limited with computers because of the need for that. I guess the question is that the space for housing the evacuees was not what it had been in previous evacuations, which were smaller, with thousands of people. The ice arenas — there were two of them that were unused, and we used two portables as council chambers where, for over a week, we were processing people.
I guess what it really comes down to is knowing that we have a problem takes some sort of level of authority, and it’s either a mutual or joint decision. There’s some sort of threshold, but there has to be something better than just what happened in August of this year.
So my question is…. The authority to act and do what they did do eventually had to be taken sooner by the residents. I mean, they moved into the school gymnasium, and I know that there was resistance from the school district because they were doing HVAC renovations. However, this is an emergency, and it did end up moving into the gymnasium at Mount Boucherie Senior Secondary.
My question is: what does it take for the shared decision-making to make this decision in a timely manner? What is it going to take, when the next evacuation happens with thousands of people, and the decision to use such a small and inadequate space is overturned to look at a more appropriate space?
It took over a week, more like a week and a half, to activate the Mount Boucherie Senior Secondary school gymnasium, get the computers that were needed to do ERA. All of the people that you mentioned that were brought in — Service B.C., Service Canada — were all great. But that didn’t improve the actual outcome. It got them to a stage, and then they still had to wait. And there was none of this kind of chit system like we’d used in the past.
I guess what I’m really wondering is…. British Columbians that are evacuees need to know: what is it going to take? What is expected by the minister?
Hon. B. Ma: We do rely on local governments to identify the locations where they want to set up their emergency reception centres, and we provide funding for that. So that funding is available to communities. If a community sets up a reception centre, we cover the incremental cost of that. If the community wants to move the reception centre, if they require more equipment for the reception centre, funding is also readily available for that from the province.
We do rely on the local government to identify where they want to set up. They know their community best. They understand what spaces are available. We provide support to them by providing funding. We can deploy emergency support services specialists to provide training and expertise if required.
That being said, we also recognize that the province has a role in being able to step in when the situation isn’t going as well as it should. And that’s what we did in 2023. Through the work of the Premier’s Expert Task Force, we are working on their recommendations to ensure that we are ready to step in and work even more quickly if a situation like this happens in the future. And, as well, Budget 2024 is….
I’m reading from the budget document now. “Budget 2024 will broaden support for evacuees by funding specially trained Service B.C. call centre agents who provide virtual navigation for accessing information and emergency supports. Other new Service B.C. staff can also be directly deployed to impacted communities to facilitate critical emergency services such as emergency funding distribution and on-site replacement for official documents.”
Certainly, I cannot control the decisions of other levels of government. I am, however, accountable and responsible for the decisions and the preparedness levels of our provincial government. At the provincial level, we are taking…. I guess we’re ramping up different strategies to complement the delivery of emergency support services by local governments at that local level.
B. Stewart: Thank you, Minister.
As I said previously, the minister and I had many conversations about this situation as it was unfolding, and it was, I’m sure, difficult for her and her staff to try to work. Local government seemed to be, maybe, resistant. I don’t know. Maybe it wasn’t local government.
Minister, there was a point when the…. As a matter of fact, it was just after yourself and the Premier and the Minister of Forests had left the site where we’d had meetings. The situation was, I was advised, that I was, I guess, seen as a threat. The same with some of the local city councillors and even the mayor, who were feeling…. Well, not feeling; they were told.
Physically I was escorted off the property because I was seen to be causing a problem. My recollection is that I was more reporting to you and to the people. There seemed to be a lack of that ability. I’m not quite certain how elected people should be forced off this site.
I realize they’re using the site, but there’s a double standard here. The MLA for Vernon-Monashee was also at an evacuation centre and had no problem with that, yet at this particular evacuation centre — the same fire — myself and councillors from the city of West Kelowna were escorted off the property. I don’t understand that, and I can’t understand how it is that we’re not seen as a resource.
Could we get some clarity as to how that should work and how we can provide constructive, solution-based advice to either the evacuation centre, the EOC or the ministry?
Hon. B. Ma: I think the member for Kelowna West will know I certainly welcomed feedback from him. My chief of staff had multiple conversations and was readily available to him throughout the wildfire season as well.
I want to thank the member, as well, for being candid in sharing his observations on the ground with me and my ministry, so that we could ask questions and respond in a productive and meaningful way.
Certainly we do, and I personally do, value very much the feedback and comments I’ve received, not just from the member for Kelowna West but from all members of the House who have seen fit to contact me during emergencies within their communities. I believe that we — I personally, as well as my team, together — have been very open to working with members on both sides of the House, providing as much information as candidly as possible to MLAs, regardless of their political affiliations, so that they’re able to better communicate with their communities.
I can’t speak to what happened between the member for Kelowna West and the local authorities within those reception centres. I was not there, and the decisions made around who may or may not remain on the grounds were decisions of the local authority.
B. Stewart: Thank you to the minister.
Well, just for the minister’s benefit, I had offered to have staff trained and had several that had worked previously at ESS centres. Because they worked in my office, they were singled out, by the authorities locally, and they didn’t want them in the same building either. I think that this is an issue that is becoming partisan, and it shouldn’t be. It should be all about solutions.
Anyway, you’ve cited the Premier’s task force on this particular issue. When is that report going to be available to the public?
Hon. B. Ma: Before I move to a response on that specific question, I also want to thank the member for Kelowna West for his feedback around the emergency support services training that he provided to me, my chief of staff and to our ADM.
It was among the important pieces of feedback we received that led to the development of the streamlined one-day training, so volunteers could rapidly on-board to volunteer during a large-scale emergency. I do want to again thank the member for that and thank his staff for their willingness to support their community during challenging times.
In terms of the Premier’s Expert Task Force on Emergencies, there will not be a formal report. The Premier had very specifically formatted the emergency task force to not be one of those government commissioned task forces that spend 18 months or more producing a report that is then released and seen by government for the first time after the wildfire season is already over and when we don’t have time to implement those recommendations. Instead, the recommendations have actually been shared in real time as they are developed.
Many of the recommendations we have already announced actions on. Those include the streamlined one-day training for emergency support services volunteers, expanded recruitment in rural remote communities, more opportunities for partnership at the ground level with First Nations, increasing equipment, the asset inventory for firefighters and increasing aviation fleet resources for the B.C. Wildfire Service. There will be more to come. There won’t be a report that is released; however, the remainder of the recommendations that, again, we are already beginning work on will be announced in the coming days and weeks. Pretty soon.
L. Doerkson: Thank you, Minister, for that exchange.
I just have a couple of follow-up questions on this same topic. We spoke a couple of weeks ago at length about the situation that developed with search and rescue teams throughout the province. I’ve just noted that ultimately…. I think what the member for Kelowna West is trying to understand…. We shared during Bill 31 debate many times the word “hierarchy.” I think he’s just trying to understand clearly where the responsibility is or where the buck stops. It sounds like potentially that’s right here with this ministry.
Now, noting that the minister funds ESS through this ministry, is there a potential for a similar situation to develop that we saw with BCSARA? Could it develop in this situation with emergency services?
Hon. B. Ma: I was hoping the member might be able to rephrase his question. I’m not sure I fully understand.
L. Doerkson: We talked about volunteers, Minister, a couple of weeks ago when we first started these estimates. We talked about the letter that was sent out, in your absence, to volunteers, which really suggested, I think we agreed in the end, that there was a need to sign the document or not be deployed.
Is there anything being contemplated with ESS, which, of course, is largely volunteers?
Hon. B. Ma: No, because emergency support services volunteers are volunteers of the local authority. So they are municipal or regional district or First Nations volunteers, whereas ground search and rescue volunteers are independent or organize themselves as independent organizations. By offering the opportunity to sign up as a public safety provider, it allowed for the civil liabilities protection for the organization, which is afforded to them under the EDMA, to apply to them.
No such opportunity exists for emergency support services volunteers specifically, as they actually belong to the local authorities.
L. Doerkson: I want to move along now to a couple of questions about specific situations that are developing or have been developing over the last couple of years that I think the minister would be quite involved in.
The first is obviously my own community. We have talked at length about Terra Ridge, of course, and I want to just get a better understanding of what developments the minister may be aware of there.
I will say this: the residents and the minister and I have talked about this on a number of occasions. The four residents that have been most affected by the ancient landslide that is in the Dog Creek area I believe now have all found accommodation. I’m grateful for the support that they did receive around Christmastime and certainly at the latter part of last year, when their four homes were condemned.
Now, there are 80 units in this facility. The latest breaking news on this…. The minister may not know this, but insurance has been an incredible challenge for the entire complex. What have been temporary insurance solutions have now quadrupled in cost. So now we’re looking at the neighbourhood of around $425,000 for a year of insurance on this complex.
It is incredibly frustrating, I think, for the residents that are living in this facility. They’re living in a situation where they find themselves under basically an evacuation notice. An alert, I suppose, would be more appropriate. But it’s playing havoc on many fronts for the entire community.
What I want to try to understand…. The minister has said today a number of times that there is all kinds of cross-pollination between this ministry and others. I guess what I’m looking for is a little bit of an update with respect to Terra Ridge. What’s happening? I know that MOTI has been involved at the top of the hill, where they’ve been drilling test wells and all kinds of things, trying to monitor water and all of those things.
Then, further to a bit of an update there, I want to also understand whether or not the minister has contemplated any funding outside of what has been offered for lodging in the emergency situation that we dealt with at the end of the year last year and also outside of any funding that has been given to the municipality of Williams Lake. What I’m more focused on is: has there been anything contemplated for the owners of the four units that have been evacuated from their homes?
Hon. B. Ma: The latest that we have that I’m aware of…. I welcome additional information from the member, as I know that this is in his community, and he likely has even more up-to-date, on-the-ground information than I do.
So far, we’ve committed just shy of a quarter of a million dollars to the city of Williams Lake in response and recovery support to assist in structural and geotechnical assessments, security for evacuated residents, hiring an emergency support services manager and additional support towards accommodations.
We understand the state of local emergency around this site is still in place. We believe that the city of Williams Lake does have the final report in terms of structural and geotechnical assessments, although we are still awaiting a copy of that report.
There is ongoing collaboration between our ministry with the Ministry of Transportation and Infrastructure; Ministry of Forests; the city, of course; Williams Lake First Nation; and the Cariboo regional district to develop climate-resilient, long-term options for mitigating the impact of the slide. We do understand that there are future engagements with residents planned.
As the member knows, the Hodgson Road landslide has been an active landslide with a well-documented history over many decades, which makes it ineligible for disaster financial assistance. So they’ve not received the assistance under that program.
L. Doerkson: Although the Zoom link clicked out just as the minister was saying the word “ineligible,” I believe it’s what she had suggested. I see the minister nodding, so thank you very much for that.
I am aware, under the specific outline of how this program works, that this is an ineligible application, which to me seems, frankly, frustrating and shocking. We talk about DFA. We have talked about it at many opportunities. I want to continue to advocate for a program that even under…. I believe it was PSS at the time. We made two applications that both failed. We made those with the help of residents that had actually at that time lost their homes to a slide.
Now, I can appreciate that in the situation that has been developing on this hillside, it’s been developing for a lot of years. But in the case of one of those homes, it was actually a situation that the home was only a few years old. It was approved and had many different studies and all kinds of things that allowed it to get built. So it was a very sudden impact for the Kuttnick family, who lost their home as well.
I guess my question to the minister would be: is the minister satisfied with the disaster financial assistance program in this province, the way it works for our residents — not for the municipalities; for our residents?
Hon. B. Ma: I think the member is raising some really important context for what happened with the Terra Ridge building. Unfortunately, it is a situation that is not limited to Terra Ridge. When it comes to mitigating the impacts of disasters across the province, one of the very important pieces of work that all levels of government have to do is to understand the risk of various hazards within their communities and to discourage building in high-risk areas. This applies also to, for instance, floodplains as well. This is a very significant challenge, for sure.
Many in some communities…. I mean, although Terra Ridge…. At the Hudson Road landslide, it has been known about for many decades, but there are also some other areas where landslide risks are more recent, and buildings that have been built on those high-risk areas were actually permitted decades before the risks were known. If there are communities that are permitting or agencies that are providing permits in high-risk areas, it’s certainly very concerning and something that needs to be discouraged.
I will say that the disaster financial assistance program is a dated piece of regulation, which is why, with the newly released Emergency and Disaster Management Act, we are also working to modernize the disaster financial assistance program. We just recently concluded public engagement on this regulation. I had also made a commitment to the member that members of the House from all political parties would have an opportunity to engage with the ministry to help inform the development of the new regulations. That is still something that we intend to do.
There is significant work to be done around the modernized disaster financial assistance regulations. We are not close to finalizing it whatsoever. We look forward to engaging with the member and his colleagues as soon as we set it up.
L. Doerkson: Thank you, Minister. I’ll maybe try that a different way. I referred to the Kuttnick home, which the minister may or may not be familiar with. But as I said, that was an attempt to see if we could make DFA work for that family.
In the case of Terra Ridge, it’s certainly not a new development by any stretch of the imagination. It’s a few decades old itself, and we may be looking at sort of a chicken-and-an-egg situation. You know, which came first there? I’m not certain, honestly. The minister may know that information, but I’m not certain.
I’ll go back to these residents, four of them. In fact, the minister is well aware that they were all senior citizens, some of them quite senior, and for them, I can appreciate that the ancient landslide there has been documented for a number of decades. But I can definitely confirm that for officials to show up at their home at nine o’clock in the morning and evacuate them by six o’clock that evening, that was certainly a very sudden loss for them. They haven’t been able to return to their homes to live in them. I understand that they have been able to return during the day, but it’s a very serious situation for certain.
I’m going to ask about a few more, not just in Williams Lake but other areas throughout the province. Before we go there, I want to get clarity, Chair, with respect to where the minister stands.
Is the minister satisfied with the way disaster financial assistance is working in this province?
Hon. B. Ma: I would say that if I or our government were satisfied with the way disaster financial assistance is working for British Columbians in this province, we would not be going through the effort of creating an updated regulation.
L. Doerkson: Thank you for that, Minister. I appreciate that, and I definitely look forward to any opportunity that I am afforded to engage on that because I think it is a very serious situation throughout the province.
I know that it’s marginally working for municipalities, and certainly, ESS has helped with lodging and those types of things. But I do think that these sudden losses are very significant, and they are complete losses in most cases.
I want to turn our attention a little bit to Lytton. I just want to get a better understanding of what role EMCR is playing in Lytton.
Hon. B. Ma: My apologies. Would it be possible to request a brief recess, maybe 15 minutes?
The Chair: Okay, we’ll recess for 15 minutes.
The committee recessed from 2:47 p.m. to 3:03 p.m.
[R. Leonard in the chair.]
The Chair: Calling Committee of Supply to order again.
Hon. B. Ma: Thank you to the member for the question.
Recovery efforts in the village of Lytton follow the interim disaster recovery framework, which basically lays out that the recovery is community-led. The village of Lytton, as a council led by the mayor, makes all the decisions around recovery. EMCR, on behalf of the province, plays a supporting role to the village and also a coordinating role in terms of the province’s response and participation in that recovery.
EMCR, for the first several years, has been, effectively, a point of contact for the village of Lytton into the province. Then we provide that support, we provide guidance and advice, and we coordinate with other ministries to secure funding for the village of Lytton.
Funding that has been secured for the village of Lytton so far includes $58.5 million, of which about $47.1 million flowed through EMCR. Similar to our earlier discussion, some funds out of that $58.5 million flowed through different ministries, most notably Municipal Affairs.
Of the $47.1 million that flowed through EMCR or is committed through EMCR, is the $18.4 million to cover the costs of removal, archaeological monitoring, soil remediation for municipal and all uninsured and underinsured properties in the village; $21 million to cover the cost of critical services to enable the rebuild, municipal infrastructure repairs, recovery, staffing, planning and engagement costs; $5 million to cover increased costs of debris removal, archaeological monitoring as part of soil remediation.
Of course, we also provide funding for emergency support services for evacuees and worked with not-for-profit partners like the Canadian Red Cross to provide longer-term housing supports to evacuees.
We also, of course, administer the disaster financial assistance program, which has so far approved some additional funding for water treatment plant recovery work.
EMCR community recovery staff. Our team continues to monitor ongoing recovery work led by other ministries, such as the Ministry of Forests. The Ministry of Forests is the ministry within which the archaeology branch exists. We work also with the Ministry of Health and Ministry of Municipal Affairs.
EMCR also offers assistance to residents as they navigate insurance extensions with their insurers. So EMCR has worked with the Insurance Bureau of Canada to work through some of the challenges around insurance time limits.
I will say, though, that particularly in recent months, the village of Lytton has moved into a rebuild phase and has been requiring less involvement by EMCR community recovery staff. The Ministry of Forests has actually been taking a leading role in the oversight of the archaeology management requirements in the community. As the village of Lytton has been building up their capacity and ability to operationalize their recovery activities, EMCR has been able to be involved less and allow the village of Lytton to embrace that leadership role.
L. Doerkson: What funds might be allocated in the coming year that may flow through EMCR, or funds that the minister may be aware of that might be flowing to the community in the coming year?
Hon. B. Ma: Of the $58.58 million that the province has so far committed to the village of Lytton for their ongoing recovery efforts, there remains $17.6 million to be disbursed to the village of Lytton, all of which will flow through EMCR. That’s remaining funding to cover the remaining costs of their critical services to enable rebuild, municipal infrastructure repairs, recovery staffing, planning and engagement.
L. Doerkson: I can’t imagine…. I know the MLA for Fraser-Nicola has advocated fiercely for this community. I think there are still so many questions at many different levels. I do have some here from a TNRD director as well.
Who is taking the lead on Lytton? Is it EMCR? Is it the province? I mean, who is trying to drive this effort in Lytton?
Hon. B. Ma: The recovery of the village of Lytton is community-led, so the decision-making and the primary leadership and drivers are the village of Lytton mayor and council.
That being said, in the beginning, because of the amount of devastation that the community had faced, they faced significant capacity challenges, significant challenges really figuring out how to get started. So in those early months and years, the EMCR was there in a significant way to help provide advice and guidance. However, the decision-making rests with the village.
L. Doerkson: I guess maybe the final question with respect to the actual village itself: is the minister satisfied, then, to move on and just allow the community to operate it as it has been for the last little while? Is the minister satisfied with the efforts the province has put forth with respect to the redevelopment of the community?
Hon. B. Ma: I would say that the experience of working with the village of Lytton and the experience the province has had working with the village of Lytton to rebuild the village of Lytton after such devastating impacts of the 2020 wildfire, we certainly have a lot of lessons to be learned that we’re looking to incorporate into future, I guess, recovery approaches. So lots of lessons learned.
That being said, in the last half year or so, since the village of Lytton hired their two latest community recovery managers, we have seen a drastic shift in their ability to lead the recovery work, a significant increase in capacity, expertise and experience.
They are in a…. We believe that they are in a good place now to see progress, and that is translating into real progress. There are building permits being issued. There is an RCMP detachment operating in the community. There’s a Scotiabank operating in the community. They’ve got their main power back on. We see water running. So there is substantial progress in the last half year or so since the hiring of their latest two recovery managers.
L. Doerkson: I’m glad to hear that update that we have seen the RCMP and a number of other things built. Perhaps the minister could tell me how many houses have been rebuilt in Lytton.
Hon. B. Ma: At this time, they have issued building permits. There are no completed rebuilds, no completed residential rebuilds.
L. Doerkson: I just want to ask a couple of questions on behalf of a TNRD director as well.
One of the concerns that Tricia Thorpe has had with respect…. I’m sure the minister is well aware of the concern. Essentially, beyond the borders of Lytton the same benefits/supports have not been offered.
Could the minister clarify whether or not that’s true and, if it is true, provide an explanation as to why?
Hon. B. Ma: I think, as the critic will know, and as most British Columbians know as well, what happened in the village of Lytton was truly unprecedented in so many different ways, one being that the fire burned so hot that witnesses to the aftermath described seeing car batteries boiling. So the environmental contamination was very, very significant — although I will say environmental contamination, not uniquely significant.
However, that, in addition to the fact that the village of Lytton was built on a known archaeology site — meaning that it required significant attention to ensure recovery activities were compliant with the Heritage Conservation Act and respectful of the significant archaeological values underlying the village that do not exist outside of the boundaries of the village of Lytton….
The third layer complicating the recovery efforts for the village of Lytton was the fact that the village lost nearly all government infrastructure, including all village records, making the early stages of recovery very, very challenging and improbable without provincial support and intervention.
Those three aspects of what happened in the village of Lytton made it uniquely challenging from a community recovery perspective and are among the reasons why the province sought to provide, I guess, extra support, special support, to the village of Lytton that was not otherwise provided outside of the community.
The most significant piece in terms of…. I mean, that’s from the community level, in terms of the local government. Residential recovery within the village of Lytton site held significantly greater obligations under the Heritage Conservation Act, because of the fact that it’s an archaeology site. Those are the conditions that are specific to the village of Lytton as opposed to the broader TNRD.
That being said, there was support that was provided to properties outside of the village of Lytton. For instance, each eligible property received $30,000 to support debris cleanup. The province also provided, if I remember correctly some support to the village.
I just want to double-check this and make sure I’m giving the most accurate information. Just a moment, please.
L. Doerkson: To refresh the minister’s memory here, I was asking not about the village of Lytton itself but those properties that are outside and in the TNRD area. I heard the minister refer to $30,000 that was potentially given to some of those residents. I guess I’m really trying to seek clarity as to: is that actually the case, and how many residents have actually received that support that are outside the community?
I appreciate the complexity of what’s happening in the community, although, if I recollect, there’s been about $60 million spent in that community. Certainly, that could build some houses, no question about it. But when we come back to what’s happening outside of the boundaries and in the TNRD, that’s what I’m trying to understand better.
Hon. B. Ma: The purpose of me explaining the unique circumstances of the village of Lytton was to attempt to respond to the member’s question as to why the support levels appear to be different within the village boundaries and outside the village boundaries.
But yes, the member is correct that the province, in collaboration with the Canadian Red Cross, had provided a one-time debris cleanup program for properties outside of the village of Lytton but within the TNRD. This was contracted through the TNRD, so the TNRD actually administered the program. Each eligible property received $30,000 for one-time debris cleanup. We don’t have the numbers. It was administered by the TNRD, though funded in collaboration by the province with the Canadian Red Cross.
L. Doerkson: If I’m understanding the minister right, then there is a separate set of requirements outside of that boundary that obviously would not be affected by the HCA that the minister just referred to.
But certainly, the cleanup, the soil removal, all of those types of things, and arch. studies — do they not extend to properties outside of the TNRD?
Hon. B. Ma: Wildfire is an insurable hazard, so the expectation is that property owners insure their properties for wildfire. However, because the situation within the village of Lytton and what happened to the village of Lytton was particularly complex, and I explained some of the complexities that added to the challenge of their rebuild, the province stepped in with additional assistance in that case.
Outside the village of Lytton area, certainly the environmental and archaeological standards do apply. However, there were not known archaeological sites of the high intensity that we knew the village of Lytton was likely to be. So within the village of Lytton, it was known that it would likely require significant attention from the archaeological perspective. The funding that was provided to properties outside of the village of Lytton, the $30,000, is meant to be support in addition to the insurance that property owners are also expected to have.
L. Doerkson: I want to maybe turn our attention now to another question with respect to a landslide that…. Well, it was a significant mudslide on Highway 8 that occurred in 2022. It was in the Dot Ranch Cut-Off Road area, and the damage to the farmers’ fields, infrastructure, etc., was pretty significant. However, there was not a significant amount of people affected, given the rural location, and it was not officially declared a disaster despite the land mass and monetary impact.
The mudslide was exacerbated by a 2021 disaster, the Lytton Creek wildfire, and then of course by the atmospheric river, which is something we have seen throughout many parts of British Columbia. Is there a way that this can be more equitably addressed going forward?
Hon. B. Ma: Thank you for the question. I remember those properties along Highway 8 well.
The member noted that they had been impacted. The cumulative impact on their properties, over multiple different events, did not qualify for disaster financial assistance. I think it was in the summer or the spring of 2023. I had actually gone out to visit with those ranchers and property owners on their land, and I saw the impact to their land.
When we had calculated the potential amount of money that they might have been eligible for under disaster financial assistance, if they had been eligible under that program, it turned out that the amount of support that they would have been able to receive was very, very minimal. It would not have supported them. We actually ended up working with the Ministry of Agriculture to find other pathways of support for those property owners, and the province was able to secure funding for those ranchers through the Ministry of Agriculture.
I will say that when we’re looking at eligibility for disaster financial assistance, there are a number of checkpoints that have to be considered. There’s the eligibility of the property owner if an event is declared a disaster financial assistance–eligible event. Then there are triggers for when an event is eligible to be declared a disaster financial assistance–eligible event.
One of the shortcomings of the existing Disaster Financial Assistance Regulation is that it doesn’t take into account the cumulative impacts that the land base and properties can experience as a result of multiple events over time. This is actually one of the factors that is being contemplated and explored as part of our work to update the Disaster Financial Assistance Regulation.
L. Doerkson: Just a quick question. Could the minister confirm how many dollars were issued in this specific case?
Hon. B. Ma: We are happy to take that question on notice, as the funding was administered through the Ministry of Agriculture, although I will note that the Ministry of Agriculture is also having their estimates coming up shortly after us. The member might actually get a quicker response directly from them. If not, we’re happy to take it back and make sure that the member receives a response.
L. Doerkson: That would be great, Chair. If I could get that from the minister, that would be fantastic.
I have a few more moments left here and want to turn our focus to Merritt. We have talked a little bit about what has been presented by the city of Merritt. The loss in this whole area of Fraser-Nicola is just staggering. I think the minister has been to Merritt to see the devastation that is in that community. I know that they are struggling now to put things back together. There are all kinds of issues with DFA for residents and also for the community.
The one thing I definitely have to understand better today…. It’s my understanding there’s a very significant amount of money that has been issued by the federal government that is tied to funding that must come from the province, to the tune of around $21 million. I want to understand that situation better, because the amount of money that has been suggested…. It’s my understanding, anyhow, that the amount of money that has been suggested is very significant, around $80 million or so from the federal government.
I see the minister shaking her head. Can the minister please clear this up for me?
Hon. B. Ma: The province has, so far, committed almost $64 million to support flood recovery and resiliency in Merritt and, in addition to that, has recently approved an estimated additional $46.5 million, in principle, through the disaster financial assistance program, for the repair of two dikes that were damaged during the 2021 atmospheric river events.
Those two dikes are being built to a higher standard than the original dikes were built. That is the intention. That also means that those two dikes require a greater footprint of land, and the city of Merritt needs to acquire that land. The city of Merritt currently is estimating that the acquisition of the additional land is $21 million. My ministry, along with the Ministry of Water, Land and Resource Stewardship and the province generally, continues to work with the city of Merritt to achieve a path forward on the acquisition of that land.
The $46.5 million that is being cited as a federal contribution to their dike repair program is actually a provincial commitment. It is the case that the province will likely go to the federal government to apply for a partial reimbursement through the disaster financial assistance arrangements program. That is a program between the federal government and the province. Our commitment to the city of Merritt stands, regardless of the reimbursement that we might or might not receive from the federal government. The $46.5 million is a provincial commitment.
I am aware of a document that the city of Merritt has circulated. I believe that on the top, they call it the Coldwater renewal plan north. It notes a total amount of $98.2 million that is funded. Of that, we understand $73.3 million actually expected to be coming from provincial funds, including the $46.5 million that we recently approved in principle. There are some funding amounts there that we understand they are applying to the federal government for, although I’m not aware of federal confirmation of some of these numbers, actually.
The funding for the dike repair is a provincial commitment, and that is on top of the $63 million that we have already committed to the city of Merritt. Pardon me. The $46.5 million is a commitment in principle. There is some design work that has to be done in order to finalize that number.
L. Doerkson: Thank you, Minister.
I appreciate there are some big numbers being thrown around in Merritt. Fundamentally, there’s some misunderstanding, I believe, and I’d like to try to get this cleared up. Not only is it my understanding there’s actually a commitment from the federal government provided — and the minister did reference the Coldwater renewal plan, which is the same plan that I’m looking at — but this funding is not to rebuild dikes. I do understand there’s a significant effort to do that as well.
Of course, the community wants to build to new levels, and I think those measurements were…. I think the 100-year highs were around 150 metres per second, and now, after the atmospheric river and the rain on snow, I think that we actually saw movement of debris of around 400 or 450 per second.
Obviously, that is a massive concern. But it’s my understanding that there are tens of millions of dollars that have been promised on….
Interjection.
L. Doerkson: Okay, well, then we have got, obviously, some misunderstanding happening here.
Is there a chance that the minister would commit to meeting with Mr. Strang, who is the CAO there, who has also had some challenges getting meetings with the minister?
I guess what I would encourage is an opportunity to meet with the minister. I see the minister smiling. I’m not sure if that’s been a challenge or not, but it’s been suggested to me that this process has somewhat stalled and that there is a timeline on these funds.
Hon. B. Ma: I want to emphasize that I do appreciate the critic’s question. I understand why he would have those questions, given some of the comments that have been made about the $46.5 million that the province has committed in principle.
I cannot speak for why Mr. Strang is making the comments that he is. What I can share is what we know to be the case. Under the Coldwater renewal plan, there are multiple items listed here. I’m sure the member is likely referring to the same document that I have.
Item 1 is the Voght Street bridge. We know this to be the Middlesboro Bridge. That $15.5 million was funded by the province through DFA and through an additional one-time funding commitment, so DFA plus additional funding from the province of around $10 million, an additional $10 million. That’s provincial funding.
Item 2 is a project that I understand they have applied to the federal government for funding for, through the green ARDM program, but that funding commitment has not been announced publicly by the federal government yet.
Item 3, public works dike, $2 million. That is funding that the province provided through the community emergency preparedness fund.
Items 4 and 5, dike 130 rebuild and dike 129 rebuild. That’s the $46.5 million that the province has provided commitment-in-principle for, through disaster financial assistance.
Items 6 and 7, Main Street bridge and Canford pump station, that’s $18.8 million that the city of Merritt is applying to the DMAF program for. The DMAF program is a federal program, but the federal government has not made any decisions or communicated any decisions on their funding allocations through that program.
Item 8, Fir avenue stabilization. That was provincial funding through the Ministry of Environment. No. 9 is the land acquisition piece that I spoke about earlier that we are continuing to work with the city of Merritt on. In fact, in the city of Merritt, staff members and provincial staff members met recently on March 22. They met for three hours to discuss the path forward on that. We continue to commit to working with them to find a path forward on it.
In terms of lines of communication, I’m in contact with Mayor Goetz on a regular basis. He has my direct number. We’ve had multiple conversations directly and in recent weeks.
Certainly, if Mayor Goetz, as the spokesperson and leader of the city of Merritt, would like me to meet directly with Mr. Strang rather than through our staff…. He is a staff member. We normally have staff members meet with staff members, but if Mayor Goetz would like a formal meeting on this topic, absolutely. I’m happy to do that. In fact, I believe we’re arranging a meeting with Mayor Goetz at the political leadership level shortly. In the meantime, I have regular phone conversations with Mayor Goetz.
L. Doerkson: Thanks, Minister, for the answer.
Yes, I think there is probably some confusion here. I understand much of what the minister has just indicated, but I think there is value, for sure. I will reach back to Mr. Strang and have him reach out, potentially, for another meeting. I met with him just before March 26, along with council and the mayor, as well. I think there is definitely some confusion here that I’d like to clear up.
That said, my time has run out here. I want to thank, certainly, the minister. I want to thank the staff for answering questions for the last number of hours and couple of days.
I’m going to turn it over to Parksville-Qualicum. The member for Parksville-Qualicum has a few minutes of questions as well.
A. Walker: I want to begin by thanking this government for recently funding the capability increase with Arrowsmith Search and Rescue as well as with the Alberni search and rescue. This capability has been incredible for our SAR teams locally. It means that when they get a call-out to some of the rugged, beautiful terrain that’s the backdrop of our community, we can rely on aerial fixed-line rescue, as opposed to having volunteers go out and put themselves at risk as they remove people from the woods in stretchers and gurneys.
One of the challenges with the search and rescue using this fixed line is that during the winter months, we’re limited to daytime hours. Now, prior to Arrowsmith having direct access to Ascent helicopters, if there was a rescue in Parksville, the SAR team would have to phone up Campbell River. Campbell River would have to then phone the helicopter in Parksville. They would both fly and drive and meet in Courteney. Then they’d come back to Parksville, which obviously wasn’t working great. So this has fixed a lot of things.
One of the challenges, though, is the limited daytime hours. It is my understanding, chatting with some of the SAR teams locally, that a few years back there was a pilot project initiated that was accepted by North Shore Rescue for nighttime operations.
My question is to get an understanding of where this pilot project is at. How could my local SAR team, Arrowsmith Search and Rescue, potentially have access to nighttime capabilities? Recognizing that Ascent helicopters, which now, or shortly, will be doing all of the B.C. Ambulance air rescue across the province, day and night capabilities there, how can my local SAR team get access to nighttime capabilities?
Hon. B. Ma: Thank you to the member for his question.
The pilot is ongoing. It is a 24-month pilot. We’re about halfway through. We will continue to work with them to gather information that will be used to inform recommendations moving forward, including recommendations around whether or not the capability should be expanded to other teams in the province.
A. Walker: Thank you, Minister. I appreciate that.
The next question is about some of the capabilities around rope rescue and the ministry’s ability to work with the SAR teams to get some of this new technology into the field.
I very much appreciate, especially since last November, ministry staff reaching out directly to some of our SAR volunteers and team leads here. One of the pieces of equipment that took a long time to get approved by the ministry was the CMC CLUTCH. My understanding was that it actually took local volunteers to personally pay for the testing of this equipment before the ministry recognized that it could be used in the field. This particular piece of equipment was CE listed, UL listed and had already gone through manufacturers’ testing.
I guess the question is: what can SAR teams expect moving forward?
I will recognize there have been some other new technologies that have been brought forward to the ministry that have been approved quite quickly recently, But what can SAR teams expect, moving forward, as to new technologies, whether it’s rope rescue or other forms of rescue tech, to make sure that we’re able to get these approved and operationally as quick as possible? Not just because it’s good for the operational capabilities of these teams, but it also, in many times, actually makes it a lot safer for the volunteers to do this work.
Hon. B. Ma: There are a number of partners that are involved in establishing capabilities or use of technologies and having them actually used in the field. We work with requesting agencies such as the RCMP and emergency health services. They’re the ones who actually request for SAR support and various capabilities.
Together, EMCR and the requesting agencies working with B.C. SAR…. It is our intention to work together to basically define a path forward to enable more capabilities and technologies. That was a really ineloquent way to say that the work is still ongoing.
We have contracted a consultant to help perform a needs analysis of requesting agencies around technology and capabilities to identify gaps and how best we can go about to fill them. We are working with BCSARA, B.C. Search and Rescue Association, right now to set up a structure that includes search and rescue groups as well to enable them to provide more effective input into the types of capabilities and technologies that they’re hoping to be able to incorporate into their search and rescue work.
We need to hear from search and rescue groups and we’re working with BCSARA to set up a structure to be able to receive that input more effectively. We also need to work with requesting agencies around what their needs are in terms of capabilities and technologies. The three groups together need to work through any concerns and barriers that we might face in adopting those technologies or capabilities.
That’s work that’s ongoing right now. That’s probably a confusing answer but hopefully it made a little bit of sense there. My apologies.
A. Walker: The minister can’t see me nodding away as she’s answering there so I appreciate that.
I hope through that engagement, if the process is to reach out to BCSARA and then connect with agencies…. Arrowsmith Search and Rescue does swift water, they do fixed-line aerial rescue and they do rope rescue, so if there’s any way they can engage with the ministry’s team, as far as providing advice…. We’ve got a really incredible team here, as do search and rescue teams all across this province, so we’re very lucky to have these volunteers doing this work.
Similar to that with capabilities, I keep hearing from the SAR teams this concept of a new capability freeze. We had a volunteer a few years back come to Oceanside from Surrey, and she brought with her a fully trained search and rescue dog. As the minister can imagine, in a community like Parksville-Qualicum, where a lot of the searches that are being dispatched from RCMP and other agencies are looking for individuals lost in the woods, a dog is certainly one of the best tools that could be used to scout people off-trail and what have you.
The question I have: is there currently a new capability freeze, and what can be done for search and rescue teams like Arrowsmith Search and Rescue when opportunities come up like that, that are very unique — dog is fully trained, ready to roll — to be able to get those new capabilities in a way that that really puts the team on their best possible footing to do their job?
Hon. B. Ma: I do want to acknowledge that, in recent months, I’ve heard from many search and rescue groups and volunteers and from the B.C. Search and Rescue Association themselves about the importance of providing pathways for search and rescue volunteers to continuously increase their capabilities to learn new things and to be able to incorporate new technologies and capacities into the work that they do.
Search and rescue volunteers are so incredibly important, and they do it out of the goodness of their hearts. They are motivated through means that are not financial. Part of their motivation is to be ever-growing and ever-better in order to be ever-stronger in being able to serve their communities in the search and rescue capacities that they do.
What I have learned from speaking with many of the search and rescue volunteers is that being a SAR member isn’t just a hobby. It’s not just something that they do on the weekends or in the evenings. It’s part of their identity. When you relate so strongly to something so important, you want to constantly be finding ways to be better at that and be able to build up and maintain that skill set, including expanding the skill set that you’re able to deploy.
I heard from many search and rescue volunteers about how frustrating it was to feel as though they didn’t have a pathway forward with the approval of new capabilities and technologies. That’s a big part of the reason why we are engaged in the work I had described in the previous response: working with the B.C. Search and Rescue Association; working with requesting agency to identify gaps and needs for search and research teams to have in the province; and then figuring out, collaboratively, a way forward.
I want to be able to do this quickly. The ministry is already engaging in a provincewide assessment this year. I believe there are opportunities for us to move elements of this forward even more quickly. That’s work that’s underway.
In the meantime, we do continue to accept requests for new equipment where significant public safety risk is identified. Certainly, there is that pathway as well. I think, aside from those specific requests, we have broader work to do provincewide, because it’s clear that the speed at which we have been moving to adopt new technologies or to approve new capabilities in various search and rescue groups across the province has resulted in significant frustration.
We don’t want that, not when these volunteers are so incredibly important to us. We’re committed to working with them and working with BCSARA on moving things along.
A. Walker: I appreciate the minister’s words. The SAR teams we have here…. I was a search and rescue volunteer for a couple of years. The calls in the middle of the night — you know, the pager, back in the day — are a huge disruption. But it was very meaningful. When you’re part of a team that can go out and find folks that without the help of these volunteers would certainly not come home….
I don’t want to put words in the minister’s mouth, but she didn’t answer whether there was a freeze or not. I recognize there’s work that needs to be done. That work is taking place right now, and we should see through that engagement with staff and some of these SAR teams. Hopefully we can see some new capabilities, moving forward.
I’ll move along to some of the challenges that exist in community with warming and cooling centres. I was able to catch some of the previous remarks from some of the other members here.
I will give the minister credit. When we were, early this year, having extreme cold weather in Parksville–Qualicum Beach, the minister was there to respond to that directly, both through her staff and herself personally, and it was very much appreciated. That was a very difficult time for our community.
We, without getting into the details, because I don’t want to throw any elected officials under the bus — not the minister but at a different level…. What happened were some challenges with local government maybe not being as open to the idea of providing a warming centre during some really extreme weather. We had a facility. We had an operator. We had volunteers. We had staff. We had everything lined up, but we weren’t able to get funding flowing because of some barriers.
I’m sure this isn’t the first time this has happened. What work is being done right now, moving forward, to ensure whether we’re talking about a cooling centre in the summer or, again, warming centres next year to prevent that type of thing from happening? That warming centre in Qualicum — it was the 11th hour that it opened. I had to threaten to open it out of my office, which the legal staff here were not happy about.
What work is being done right now to try to make sure that, coming into the next season, we don’t have these types of barriers get in the way?
Hon. B. Ma: I really appreciate the member’s question around this. He is correct. The situation he’s describing is not the first time that a local government has been reluctant to open a warming or cooling centre to support their community. Warming and cooling centres specifically are led and operated by local authorities — municipal governments, regional districts or First Nations.
The province, through EMCR, does provide funding to cover all incremental costs, from hot and cold drinks to rental fees, if there are rental fees, to extra energy costs, security costs or transportation to get vulnerable populations to and from the warming and cooling centres. Funding is usually not the reason behind a reluctance of communities to open.
I can’t speak on behalf of communities as to why they might be reluctant to open a warming or a cooling centre, but I certainly want to reiterate that all extra costs are covered by the province.
Emergency management — I have said this before — is a shared responsibility that involves partnership and requires partnership from all levels of government. In EMCR, we don’t take a command-and-control model. I can imagine some large-scale, emergency situations where a provincial government might take a command-and-control model, although really, it would have to be a pretty large-scale emergency.
Even then, I don’t know that would be the most effective path forward, because those partnerships and the collaboration between levels of government and different community partners is so incredibly important. We aren’t able to force local governments to open warming or cooling centres, but we can work on our partnerships with them. We can educate them as to why it is important and provide information and data.
EMCR pulls together partners. We work with the Ministry of Housing, the Ministry of Social Development and Poverty Reduction, the Ministry of Health and the First Nations Health Authority to gather information and support communities in their work to support their populations. There have been cases where non-governmental organizations that are plugged in have been able to use that information to convince local governments to do the right thing.
Also, as a ministry, we work on the HEAT committee. It had to be clarified for me that the acronym HEAT is not just about extreme heat; it is about anomalous temperatures. HEAT stands for “health effects of anomalous temperatures.” It is a committee of the province, led by the Ministry of Health.
They’re going to be revising their anomalous temperature response guidelines, based on the health impacts to people. These guidelines, we hope, will be able to inform communities as to when it is appropriate for them to open warming and cooling centres and to encourage them to do so. It really is ongoing work for all of us, I would say.
A. Walker: Thank you, Minister. I think we both recognize the challenges that can exist.
I hope the minister’s team is considering other options when it comes to…. It’s basically about flow-through funding in a local community. The current regulations, I think, sit under the Ministry of Housing.
In our community, I believe, it’s below zero and a weather warning or below four. At any rate, that’s working out pretty well. The challenge is just if there is that block to provide that service. I’m happy to say that service ran, I believe, for close to a week. We had one complaint, for vagrancy. It turns out that it was an individual walking their dog. So it was a huge success.
It was a shelter that was utilized by not just the sort of regular unhoused population that we tend to see often at these shelters, but there was a senior whose heat wasn’t working. There were Ukrainian refugees. There were youth, other seniors, so it’s hugely valuable.
Recognizing that my time is up here, I was hoping that the minister would elaborate on some of the work being done proactively to prepare for earthquake and wildfire in my community. Both are a risk.
I will save the minister the time on that and just thank the minister and her team for the incredible work and being as accessible as she is. When things get really difficult in the community, it’s always nice to know that there’s a leader who’s able to work collaboratively to get things done, and I genuinely do appreciate that.
With that, I am done.
The Chair: Seeing no further questions, I ask the minister if they’d like to make any closing remarks.
Hon. B. Ma: I want to thank all of the members who have asked questions. I know many of them have asked questions on behalf of their colleagues as well. It’s the nature of coordinating questions during estimates. I know that we’ve got three Houses running and a lot of work happening.
I do want to acknowledge, as well, the value that I place in hearing from members about what’s going on in their communities, regardless of the political affiliations that they may carry.
During an emergency, we’ve all got to pull together, and we have seen people come together in extraordinary ways through past years. It is my hope that British Columbians are able to continue to pull together in the future — my hope, my expectation. I expect that British Columbians will, because they’ve demonstrated their ability to do.
We have a lot of work ahead of us. I want to say again that if we were able as a province — not just the provincial government, everybody in the province — to operationalize responses to every situation that might occur, we wouldn’t call them emergencies. There will be situations in the year or years ahead, months and years ahead, that we collectively, as a population, didn’t anticipate. We’ll have to be agile, and we will have to be flexible, and we’ll have to work together.
In the meantime, British Columbians have the commitment of me, my ministry and our province that we will do everything in our power to be as prepared as possible, to ramp up our efforts to mitigate the impacts of disasters before they happen, to support communities through recovery and, of course, to continue to be boots on the ground and all hands on deck during response.
In addition to that, we have to continue our work to drive down greenhouse gas emissions that are causing climate change to begin with.
Lots of work ahead for all of us and grateful to all the members who have asked questions, not just during estimates but also during all debates, and who have reached out to me personally when things in their community needed to be brought to my attention.
The Chair: Thank you, Minister, and all members. Seeing no further questions, I’ll now call the vote.
Vote 21: ministry operations, $79,047,000 — approved.
Vote 22: Emergency and Disaster Management Act, $36,420,000 — approved.
The Chair: Thank you, Members. We’ll take a ten-minute recess now as we change ministries.
The committee recessed from 4:18 p.m. to 4:33 p.m.
[R. Leonard in the chair.]
ESTIMATES: MINISTRY OF
AGRICULTURE AND FOOD
The Chair: I call Committee of Supply, Section A, back to order. We’re meeting today to consider the budget estimates of the Ministry of Agriculture and Food.
On Vote 12: ministry operations, $95,004,000.
The Chair: Minister, do you have any opening remarks?
Hon. P. Alexis: I do.
I’d like to begin by acknowledging that we’re on the territory of the lək̓ʷəŋən people, the Songhees and Esquimalt First Nations.
I’d like to welcome the opposition critic, and I’m looking forward to taking questions from all members who will be joining us over the course of these estimates.
The ministry’s budget for the 2024 fiscal year reflects another record high for the ministry as our government continues to invest in the people who provide us with healthy, delicious local food that feeds our families and communities. With a budget that has increased over $50 million from a decade ago, we’re backing up our commitment to support farmers, ranchers and seafood producers and strengthen food security for all British Columbians.
Today I’m pleased to have support from my ministry’s executive team, which includes Deputy Minister Peter Pokorny; Assistant Deputy Ministers Eric Kristianson and Michelle Koski behind me; and executive lead Paul Squires; in addition to the chief executive officer of the Agricultural Land Commission, Kim Grout.
I know that people have many questions. Since we don’t have much time, I’d be happy to get right to it and take questions from the hon. member.
I. Paton: Thank you to the minister and staff for being here today.
I’d like to go on the record by saying what a huge disappointment this is, the fact that just not too many years ago, I had 14 hours of estimates time. Here we are with two hours. I have…. Agriculture is so encompassing. There’s so much to it, so many different categories to agriculture that I could ask questions for two straight days. But thank you.
I’ll begin with, and this may be no surprise to you, carbon tax. Currently farmers pay a carbon tax on essential farming activities such as irrigation, grain drying, feed preparation, heating and cooling of barns and more. As farmers often have no viable fuel alternatives for critical food production activities, the carbon tax creates a large financial burden without any potential for significant emission reductions.
At the end of August 2023, the B.C. Ag Council surveyed B.C. farmers and ranchers to learn which input cost was the highest concern and the biggest threat to the viability of their business. The cost of fuel came out as the number one across the entire sector.
B.C. United has called for the removal of carbon tax for diesel, gas and propane for all sectors of agriculture.
My question is to the minister. Have you lobbied the Minister of Finance and other ministries to have this tax removed for farmers and agriculture?
Hon. P. Alexis: Thank you, Member, for the question.
As the member will know, the structure of the carbon tax and how it applies to different sectors in British Columbia is the responsibility of the Ministry of Finance. I encourage the member to raise this specific question to that ministry’s estimates.
That said, I can tell the member that in virtually every conversation I’ve had with farmers over the past year, the two key issues they’re wrestling with are climate change and the costs of production. So over the past year, my ministry has focused on working with farmers to develop programs that will help them deal with these challenges.
Just as an offside, the Ministry of Finance and the Minister have been very supportive of the programs that we’ve introduced over the last two years.
I. Paton: Specifically, my question was: have you lobbied the Minister of Finance to have this tax removed? I’m not quite sure I got that specific answer.
My next question. Carbon pricing is a concern for many in the agricultural sector due to its potential impact on operational costs and overall competitiveness.
How is the ministry addressing these concerns, and are there specific measures in place to mitigate the financial burden on farmers and ranchers, thereby ensuring the affordability of food and competitiveness in B.C.’s agricultural products? Are there any incentives that are provided by the provincial government for farmers to convert to greener modes, such as electric tractors, electric pumps, etc.?
Hon. P. Alexis: Thank you, Member, for the question.
There are a number of programs that we’ve launched over the last two years that help with the cost of production. For example, I’ll just name a few.
The $20 million food security emergency planning and preparedness fund. The $20 million Fraser Valley flood mitigation fund. The $20 million food processing growth fund. The $20 million food affordability and innovation fund. The $15 million agricultural water infrastructure program, which we just upped, of course, an additional $80 million last week. The $15 million perennial crop renewal program, which also saw massive injection just in the last couple of weeks, and the $5 million farmed animal disease program.
In particular, one program that you might be interested in and that falls under the SCAP program is the agritech on-farm adoption program.
And we’ve actually given $2 million out to the farming community specifically looking at agritech and the use of agritech to become more efficient and therefore more productive.
I. Paton: As the shadow minister for Agriculture, I know about all the programs. Thanks for shouting them back to me.
I still haven’t had an answer…. You know, you’ve given me back programs that I know about, but we’re specifically asking about the carbon tax and how it’s affecting the farm industry.
I mean, everything we do in agriculture to get things to the grocery store is carbon tax, Whether it’s a truck that picks up the milk, the truck that delivers the vegetables, the truck that brings the shavings to the farm, the veterinarian that drives a truck to get to the farm, the list is endless of people paying carbon tax, which is increasing the price of groceries in the grocery store.
One more try. There’s an 80 percent greenhouse rebate for carbon tax for the use of natural gas in our greenhouses. That has been in place for several years now, and it was even improved with a point of remuneration for the greenhouses.
My question to the minister: why couldn’t this same 80 percent rebate be given to other industries such as poultry heating their barns, mushrooms heating their barns and people using grain dryers in northeastern B.C.?
Hon. P. Alexis: We absolutely recognize the discrepancy between the greenhouse and regular farmers who use different heat sources or different fuels for different parts of their operation. As we speak, right now farmers are eligible for PST exemptions for heat, natural gas, fuel oil, tractors, combines, incubators and more. B.C. farmers can also claim a point-of-sale carbon tax and motor fuel tax exemption on coloured gasoline and coloured fuel.
Absolutely, the commercial greenhouse growers can claim a point-of-sale carbon tax partial exemption for purchases of natural gas and propane.
As far as addressing this item further, I urge you to actually speak to the Minister of Finance regarding further measures for farmers.
I. Paton: I would have thought that the minister would have expected my opening three or four questions to be about carbon tax and just have a bang-bang, quick answer for carbon tax questions, but we’ve already used up half an hour of my time.
Another quick question will likely be referred to the Ministry of Finance, but I will ask it anyway. For many, many years in this province, hay, which is the staple of livestock and horses, has never been charged PST on hay for horses. Suddenly now the ministry is tracking down hay companies, which have always sold hay to horse people with no PST on it, and hay dealers are having to charge PST on hay to recreational horses.
I’m wondering if you might have an answer for that, or if you could take that forward to the Ministry of Finance to ask why this change has taken place. It’s having a huge effect on the equine industry. That was a bit of a statement; thank you. If you could look into that for me.
My next question is on farm classification. The B.C. Agriculture Council, as you know, for several years has kicked this idea around, about farm classification.
My question to the minister. As it’s sitting right now, it’s roughly $2,500 of income to show you have full farm status. Will the Ministry of Agriculture be looking into raising that farm classification status? They’ve recommended the figure of $7,000.
Hon. P. Alexis: Thank you, Member.
We are in the early stages of reviewing the dollar value, but I just want to say on record that no changes are imminent at this moment, because the work is complex. We need to do a much deeper dive and obviously do our consultations with all those that are impacted. But we need to find the correct amount that’s appropriate for today’s market for sure.
E. Ross: Fish farms. We have known historically how much employment and how much revenue has been brought to B.C. through fish farms, and they are listed under the agricultural ministry. We also know that Premier Eby sent a letter to Justin Trudeau regarding fish farms transition and also regarding First Nations who support and oppose fish farms, but it wasn’t really clear on what the long-term outcome was going to be. I know it’s going to take a long time to figure it out.
Considering the amount of reconciliation that’s gone into this for First Nations and considering the amount of revenues it provides the B.C. government, can I ask: why aren’t fish farms and all that they entail part of the agricultural ministry’s market promotion campaigns?
Hon. P. Alexis: Thank you, Member.
The question regarding regulation of the fish farms actually belongs to a different ministry. It’s under WLRS. Water, Land and Resource Stewardship is responsible for that. That’s why the second F was dropped from Agriculture and Food. It used to be Agriculture, Food and Fish, but it was dropped. It’s now just Agriculture and Food, AF. So that’s the regulatory aspect of your question.
The second question with respect to market promotion. We absolutely do have programs in place that promote seafood as far as export — various programs like Buy B.C., for example. Under the SCAP funding, we also have a very specific program for seafood. SCAP is the sustainable Canadian agricultural partnership.
The Chair: Just a reminder that we speak to the Chair, through the Chair.
I. Paton: We will switch gears here for a minute about some insurance programs.
The insurance programs are going to have to change as climate change continues to give farmers unexpected losses. In the past few years, farmers and ranchers were heavily affected by cold snaps, drought and wildfires. We know DFA is for uninsurable losses and is provided through EMCR, but wildfire is not eligible nor water entry from above ground.
My question is for the assets that are not insurable but are fundamental to an agricultural program, such as eroded or damaged land in case of a flood or any stored or harvested feed and fencing. Which programs will cover these items and provide financial relief to keep farms afloat right after wildfire or floods?
The Chair: Minister.
Hon. P. Alexis: Through the Chair. Thank you.
Thank you, Member. Under those circumstances that you, certainly, gave us as an example, flooding and fire, AgriRecovery is the framework under which we would work with the federal government to address those extraordinary costs.
Having said that, I have been speaking to the federal Agriculture Minister about the frequency that we have had to actually connect with the federal government on providing the AgriRecovery. Is it the right mechanism for the circumstances that we’re faced with in British Columbia right now? Because we’ve had to go every year to the federal government to actually engage and find some help for the farmers. We are meeting fairly regularly to discuss this very thing.
I. Paton: This year’s drought…. I want to go back to my travels, which is an enjoyable part, as you would know, Minister, of our job.
This summer I was in Dawson Creek, Fort St. John, Chetwynd, Vanderhoof, Quesnel dealing and seeing the devastation by the drought and the lack of feed for livestock. This year’s drought and feed shortage led to farmers selling some of their generational herds.
AgriStability payments are triggered when a producer’s current margin dropped more than 30 percent below their average historical margin. However, some were ineligible for AgriStability right after the feed shortage because of the larger sell-offs than normal. In other words, they sold a whole bunch of their cattle in the month of July or August, which brought them in a whole bunch of income.
Some of these farmers didn’t hit the quota that was needed. How is the ministry changing short-term insurance schemes to meet the needs of farmers right after disaster hits?
I can lump one more in there. What I would also like to ask is…. The $71 million AgriRecovery funding came through in October to deal with emergency expenses incurred during the 2023 droughts and wildfires. It took five months for this to be approved.
My question to the Minister: do you think that five months is a reasonable amount of time for AgriRecovery to be approved, given that people’s farms were non-operational from the fires. They’re literally without any income, waiting for AgriRecovery to come through.
Hon. P. Alexis: I agree with you. The time is not great for farmers, and that five months was significant.
Part of that was because British Columbia, Alberta and Saskatchewan were all waiting for those funds as well. So the federal government had to negotiate with all three provinces, not just one. This is why I’ve been talking to the federal Agriculture Minister that the time is not right and that people can’t wait.
Just as a stopgap measure, we did flow money immediately. That was in a fund called the targeted advance payment program. We had that launched within weeks, and that served 125 producers that accessed approximately $6 million to help with the time that it was taking to get AgriRecovery launched.
I. Paton: Insurance programs in British Columbia need to be revamped in agriculture. Right now a farmer has to file so much paperwork after a loss, and now we have compounding disasters — wildfire, drought, flooding — it’s hard for a farmer to deal with the ramifications of the actual disaster plus all the paperwork. They have to file AgriStability, DFA, paperwork to replace fencing, another batch of paperwork for crop loss, something else for AgriRecovery.
At the end of December 2023, the province consultation for updating DFA was completed. What has come of this consultation with the public, and has the ministry considered a one-stop shop or some other way to reduce the workload for farmers in what are going to be regular and continuous emergency events?
Hon. P. Alexis: The DFA question actually should go to the Minister of Emergency Management and Climate Readiness, because she administers that part.
The risk management programs are our programs, and they are indeed working. We have invested in additional staff, because we’ve seen nothing but disaster for the last couple of years. We have invested in IT programs that will help improve the efficiency of that data collection. All farms are unique, and they do need that special attention, that one-on-one.
When I was in Fort St. John this summer and visiting regions that had been hard hit by drought, I was with this one farmer whose local agrologist in the region had phoned every week to make sure that (a) he was aware of programs and that (b) if he needed help, he was right there for him. We are there to support the farmer, 100 percent. That business risk management program exemplifies that support.
I hope that answers the question.
I. Paton: To go in a completely different direction, in my travels the last couple of summers, there’s a huge issue in Elk Valley up and around Cranbrook. They estimate that over 8,000 elk are walking about farmers’ fields and alfalfa fields and ruining their pivot irrigation systems.
On Vancouver Island, it’s a terrible issue with elk that are walking right into barnyards, right into people’s agritourism businesses. People are scared to even get out of their cars with elk. I have numerous phone calls and emails from our farmers and producers on Vancouver Island that have gotten hold of me: the Balme family, the Horton family, the Ellis family, Mr. Doug Hoare. I mean, it’s just endless, the problems with elk on Vancouver Island.
For instance, here’s a quote from Ken Horton: “As we have previously indicated over the past three years, we have put very significant time and money into completing the elk fencing of the entire five-kilometre perimeter of our farm, as recommended by provincial staff as the only recourse currently available to us to deal with the elk damage to our farm. The current fencing cost to our farm is over $250,000.”
My question: what is the Ministry of Agriculture going to do to somehow take care of a cull or a relocation or something being done about this massive elk problem we have on Vancouver Island and in the Kootenays — not to mention other parts of B.C. as well, affecting farmers?
Hon. P. Alexis: We absolutely recognize the elk and the conflict that is certainly between those that are trying to produce food and keeping their food safe from the elk. We understand that. We’re working with WLRS, which is responsible for the protection of animals. That’s not Agriculture’s responsibility, but we are working with them to address the conflict.
Certainly, there are two, I think, components to how we’re approaching this. The first one is that we do have a program called the agricultural wildlife program, which helps with the compensation aspect that you addressed. This last year we had 600 different farmers access that particular fund.
Then the second thing that we’re working on is the prevention. We know we’re in this situation, so we’ve got to provide some sort of measure to help the farmer. We need to make sure that it doesn’t continue to happen in the future, so there are two parts of our consultation with WLRS.
I. Paton: Unfortunately, I’m racing. I had 15 questions on affordability and insurance programs, and now we’re talking about elk. Frustrating.
I know about the AWP program because my farm is part of the program for damage from ducks and geese and swans eating the grass in my hayfields in the winter. And I do get a small stipend that doesn’t cover even the grass seed to replant.
I guess I’ll try this one more time. I have to speak to these farmers that have been so affected by elk, and my question is: what can I tell them? Can we increase the money that they’re going to get for fencing? Can we look at a culling program? Can we look at relocating these elk? They’re damaging alfalfa fields. They’re walking on top of irrigation pipe. I’ll try one more time if there’s an answer.
Hon. P. Alexis: I wanted to add a little bit more detail.
Of the 600 that access funds…. I know you said that you were one of those. It was $9.6 million that went out just for those 600 in the compensation aspect.
I want to say that everything is on the table with our conversations with WLRS. The culling, the relocation — all of that is on the table.
I would really urge you, I think, to have a conversation with WLRS to talk about the people that you’ve spoken to that are experiencing these issues with the terrific number of elk in the region. I know, in particular, Creston and Cowichan are very, very bad. So perhaps to reinforce the position, it might be a good idea to speak to the minister through estimates.
I. Paton: Thank you for that bit of advice.
I’m going to switch now to avian influenza. Of course, I have had — I’m sure like yourself, Minister — so many phone calls and emails from poultry farmers that have been so affected, for several years in a row now, by avian influenza.
The government introduced $5 million for the farmed animal disease program in 2023 that helps farmers enhance their biosecurity measures, equipment for disease response, research and training to better prevent the flu from entering the barns. However, farmers who have been hit two or three times by avian influenza do not get coverage for the aftermath of the disease on their farms.
In other words, we all know that CFIA will pay for each dead bird that is euthanized, but they do not get coverage for the aftermath of disease on their farm — disposing of carcasses, cleaning up and disinfecting barns, loss of income for four months waiting for new chicks to come to the farm.
I want to read a letter from a young lady that I met, in tears at a dairy banquet, of all things, in Vancouver, but who is also a poultry farmer from Chilliwack.
I quote her by saying: “We only have birds in one of four of our barns at the moment due to supply chain issues with getting chicks due to avian flu. We will be without any income for eight months, and according to our cash flow projections, we will be $500,000 further into debt by our fiscal year-end. This debt will be incurred due to paying our usual mortgage, loan payments, utilities and regular costs of doing business, paying our foreign workers, etc.”
What she’s asking…. What she could have used as far as support during this time is access to some interest-free loans from government. That’s her ask number one. I’d like that as a response from the minister.
The second question is…. This young lady, Jacqueline Boer, has asked: when will chicks be getting vaccinated? Do we know when chicks will be getting vaccinated for avian influenza?
The Chair: Just a reminder to not use the word “you.”
Hon. P. Alexis: Okay. It’s hard. Thank you.
First off, I want to say that I, too, have been all over the province and have spoken to a lot of folks who have been impacted not once but twice or three times. But I have also received a lot of positive feedback of the work that has been done by the provincial government with CIFA as well. We are on the right track.
I haven’t heard about the interest-free loans that were suggested. So thank you for that. I’ve not heard that one before.
With respect to the vaccination of chicks, there are some trials in Europe right now. The federal government would be responsible for approving a vaccine and will take things into consideration like trade, health and safety, etc.
I think those are all of the questions answered there.
I. Paton: Just to keep on avian influenza for a minute, I’m going to lump two questions together here, hopefully, for an answer. At the 2023 Poultry Conference, it was announced that there would be a new alert system for animal diseases. Could the minister expand on what this program entails?
My second part of the question is…. There was an announcement 15 months ago to a plant and animal health laboratory in Abbotsford. To me, it’s a beautiful building, relatively new. We were suddenly told that it’s going to be rebuilt and relocated. It’s now been a year since announcing this new initiative, which is still in the business planning stage.
Where is the new location for this Agriculture B.C. plant and animal health lab, to be relocated?
Hon. P. Alexis: With respect to the alert system that you talked about, the alert system for animal diseases, we need a little bit more information on that one.
The federal government monitors and is responsible for animal disease, so I don’t know if it came out of that one. But we’ve got all the big guns behind me here, and we’re a little stumped, so we need a little bit more information about that one.
With respect to the animal and plant health centre and the laboratory, we are nearing a closure of the business plan. We will release details as the plan is solidified.
I. Paton: It’s a building that was only built, I believe, in the 1980s. I’ve delivered deceased animals there for lab results. My question is: why is it being replaced? If it’s being replaced, who would take it over? Obviously, we wouldn’t tear it down, I wouldn’t think. Would it be used for another purpose? If it is to be for another purpose, why doesn’t it just remain as the lab?
Hon. P. Alexis: To the question, “why are we taking the building down,” the engineering studies done after the flood determined that we would need a new site to operate a lab in, as the current building isn’t suitable.
I don’t know about you, but I think you might have been with me. Did we not visit the site together?
The Chair: Minister.
Hon. P. Alexis: Sorry.
With respect to future use, the Ministry of Citizens’ Services will make the call as to what it will become.
I. Paton: I’m going to switch gears now, to some ALC and ALR issues. With all due respect to Ms. Grout, who is here today, I honestly think the ALC and the ALR are in a total state of dysfunction.
I drive 16th Avenue quite often from Delta to Abbotsford. The state of our ALR properties is absolutely out of control, with trucks being parked on lots, monster homes.
Bill 52 came in to limit the size of our homes being built to 500 metres squared, and we are seeing monster homes still going up everywhere, but not completed. They’re just in the frame-up stages as I drive 8th Avenue, 16th Avenue. Any side street in Abbotsford, you’ll see these monster homes still going up. My question is: why? How could they still be going up, if we made a legislation of 500 metres squared? There are so many questions I have about this, and I don’t even know where to start.
I’ll start with the Heppell farm on 192nd Street in Surrey, one of the most productive 230 acres of farmland you will find anywhere in Canada. In fact, the Heppells planted potatoes on that property literally ten days ago, the earliest in Canada.
Now, what does this have to do with the province? It’s a federally owned piece of land, but we went to, and I spoke at, a public hearing in Langley about the Heppell farm. The land commission representatives were there to listen that night. When they left, they said: “We’re very much on side with the 200 people that showed up and spoke.”
My question: what has the provincial government done to lobby the federal government to keep this piece of property agricultural in perpetuity, rather than being exposed to what’s next door, at Campbell Heights, of nothing but concrete and warehouses?
Hon. P. Alexis: As always, my position is to protect agricultural production. Having said that, Heppell farms is, as you pointed out, federal land. Therefore, I have no jurisdiction. But I have spoken to the federal representative about the value of agriculture on that land specifically.
I. Paton: I have so many questions about ALR properties, enforcement. I see every year in the budget…. That’s what we’re here for: budget estimates. Every year, it’s $5 million, $5.3 million, $5.6 million. There’s really no big increase to the Agricultural Land Commission budget. We’re told there are six enforcement officers for the entire province of B.C. But I digress. I’ll move on.
I want to read this out. It’s from your mandate letter: “As every British Columbian knows, we won’t have a secure food supply and manage food costs for British Columbians if we don’t look after our farmers and use our land base wisely. Our province’s proud history of the Agricultural Land Reserve shows our commitment, through many changes of government, to protecting land for food for ourselves and future generations.”
My question to the minister: productive farmland is being lost rapidly. I’ll give some examples: 230 acres of the Heppel farm, which I just referred to. However, it’s federal land, but nobody wants to see that piece of property turned into warehouses. Some 193 acres in Central Saanich, 150 acres recently in Richmond, 30 acres in Cloverdale on Highway 15, which I’m told has recently come out of the ALR for a maintenance yard for the new SkyTrain system that’s going to go to Langley. That was a bit of a surprise to me.
Red Bull. I heard there are roughly ten acres in Chilliwack that have suddenly come out of the ALR for a Red Bull energy drink facility, behind the Molson Coors facility, which also came out of the ALR. How do we explain this? How can someone explain to the shadow minister how these properties are coming out of the ALR?
Finally, the reason I read that out is that it’s in your mandate letter to protect food security and our valuable farmland. Can you explain to me…?
Cowichan Bay. The most beautiful farmland that I’ve come across. I’ve visited many times over the last 30 years. I was there last summer. There’s a proposal by Nature Trust and Ducks Unlimited to remove this piece of land, not necessarily remove it from the ALR; breach the dike; ruin 110 acres of prime farmland with salt water and turn it into a saltwater marsh estuary.
My question to the minister: are you in favour of this dike being breached and this prime farmland in Cowichan Bay being flooded with salt water?
Hon. P. Alexis: I just want to get some facts out there for the member.
Between 2012 and 2017, the area of land in the ALR decreased by 7,380 hectares. Between 2017 and this past January, the ALR decreased by only 3,800 acres. So there’s terrific support for ALR land by this government. Just wanted to get that one out.
With respect to the case in Cowichan, the application to remove the dike is currently with the ALC, so we can’t really comment on that.
It’s important to understand the story behind the Cowichan estuary.
I. Paton: I know the whole story.
Hon. P. Alexis: You know the story? I’d like to just talk about it, though, if I could.
The Cowichan River is one of the key indicator streams for measuring the health of chinook on Vancouver Island. In other words, if the Cowichan River is in trouble, Vancouver Island salmon returns are in trouble. Fifteen years ago the chinook returns had dropped to fewer than 1,000 fish, but hard work by the members of the Cowichan First Nation and community volunteers have reversed this decline. It’s very important.
Last year the Department of Fisheries and Oceans predicted the returns of 6,500 chinook, and the actual returns were over 21,000. The Cowichan River is a success story for how communities can restore and protect salmon. The estuary project will further that important work.
Finally, I’m going to note that as part of this budget of 2024, the province is providing $14 million to the Cowichan Tribes and the Cowichan Valley regional district to replace the weir on Lake Cowichan. This project will both improve water storage in Lake Cowichan and improve water management in the rivers to the benefit of water users, farmers and salmon. I just wanted to make sure that we’re all on the same page with that.
Hon. Chair, I move that the committee rise, report resolution and completion of the estimates of the Ministry of Emergency Management and Climate Readiness and report progress on the Ministry of Agriculture and Food and ask leave to sit again.
I. Paton: I have time for at least one more question. It’s 6:14.
The Chair: Okay, all right. We’ll have one more question.
I. Paton: Thank you, Madam Chair.
To the minister: you signed the Cowichan watershed planning agreement in May of 2023. I sent you a letter about the issue of the Dinsdale Farm, which is farmed by a good friend of mine, a dairy farmer named Gerald Poelman. I’ve been there. The most beautiful corn crops, grass being grown there.
I sent you the letter, which you received, and your staff indicated it had been received on August 28, 2023. Then, in question period on October 5, 2023, you were asked the question….
The Chair: Member, just address the Chair, please.
I. Paton: Through the Chair, thank you.
Minister, you were asked the question about this project of flooding the Cowichan Bay, and you said: “I am not familiar with this particular case.”
Through you, Madam Chair, can you explain how you signed the agreement in May of 2023? I sent you a letter on August 28 of 2023, and in October of 2023, you said you were not familiar with this particular piece of farmland.
Through you, Madam Chair, my statement is: if I was the Minister of Agriculture, I would be embarrassed to stand up and say that I would look after the little fish or whatever’s coming down the Cowichan and Koksilah rivers versus saving 110 acres of prime farmland.
My question. I have heard that one of the reasons they want to flood this farmland is to grow an indigenous vegetable called camas. My question, through you to the minister: can you explain to me what camas is?
Hon. P. Alexis: Hon. Chair, I move that the committee rise, report resolution and completion of the estimates of the Ministry of Emergency Management and Climate Readiness and report progress on the Ministry of Agriculture and Food and ask leave to sit again.
Motion approved.
The committee rose at 6:15 p.m.
PROCEEDINGS IN THE
BIRCH ROOM
Committee of Supply
ESTIMATES: MINISTRY OF ENVIRONMENT
AND
CLIMATE CHANGE STRATEGY
(continued)
The House in Committee of Supply (Section C); S. Chant in the chair.
The committee met at 1:40 p.m.
The Chair: Good afternoon, Members. I call Committee of Supply, Section C, to order.
We are meeting today to continue the consideration of the budget estimates of the Ministry of Environment and Climate Change Strategy.
On Vote 24: ministry operations, $188,053,000 (continued).
Hon. G. Heyman: If it pleases the Chair, I have an answer to a question that was asked earlier this morning with respect to the total amount in fiscal year ’24-25 that will be allocated to the climate action tax credit.
The Chair: If the Minister would carry on, please, that would be fine.
Hon. G. Heyman: I will, and I will give this answer with the caveat that if the member wants to dig into it more deeply, I will refer that question to the Minister of Finance. The reason it took so long to answer the question this morning was that, looking at different columns of numbers, without a fairly detailed explanation that we got over lunch, it didn’t jibe for me. I can assure the member that it does jibe, but if she wants to know how, she should ask the Minister of Finance.
The total amount in budget year ’24-25 is $1.022 billion.
R. Merrifield: The minister is correct. That is not the number that I was expecting.
I’ll reference page 75 of the budget, where, under “Climate action tax credit enhancements,” it actually says that effective April 1, 2024, the new revenue from the carbon tax is $229 million, and the climate action tax credit is forecast to be $687 million. From that, I’m not sure or understanding where the minister is quoting $1 billion. If he could just direct my attention to it, that’d be great.
Hon. G. Heyman: That figure is from page 125.
R. Merrifield: Could the minister explain where we got $1.022 billion in planned costs and how that correlates to the $229 million plus the $687 million?
Hon. G. Heyman: As I said to the member earlier, I would strongly urge her to take that question to the Minister of Finance.
R. Merrifield: It’s little bit disappointing that the minister doesn’t actually understand or know how the climate action tax credit is going to be giving money back to individuals, or the amount that is going to be given back.
The minister has been on his feet quite a bit in the last few days explaining how that money is going to actually benefit British Columbians, but — and I say a big “but,” from the budget documents, as well as their own estimates on how much will be given back to British Columbians — those numbers are not adding up in any way, shape or form. In fact, they give reason for pause and, maybe, understanding when it comes to why the other provinces are getting a lot more back than we are.
I will ask the minister. British Columbians right now are paying the highest net fuel and carbon taxes of any province. Even weighing in the minister’s assertion that B.C. pays less carbon tax and, therefore, we get less back, we should be a net positive, according to every other province. We should not be, in any way, in a deficit position to the amount that we actually get returned or that we pay.
We also know that 44 percent of British Columbians are $200 away from bankruptcy, and 22 percent of them are just flat out of money. How does the minister justify the continued increase, with so many British Columbians just barely making it?
Hon. G. Heyman: Well, Chair, I can assure the member and you that I fully understand what the amount of the climate action tax credit will be. It will be $1.022 billion. I also understand that 100 percent of the carbon tax increase in fiscal year ’24-25 is being used to enhance the climate action tax credit. Both of those things are true, which is why I answered the question with both those things.
If the member wishes to understand why, in her view, that isn’t shown clearly in the budget documents, I’m sure the Minister of Finance, who is responsible for the budget documents, particularly with respect to tax measures, can explain how all of that fits together and works. But both those two things that I stated twice now are fact.
With respect to British Columbians getting less back than other provinces, I have also explained to the member that when people pay a lot more in carbon tax because they’re polluting a lot more, they are also getting a higher tax credit back in other provinces, or a higher rebate. In British Columbia, people’s carbon pollution is lower. They are paying less carbon tax, and therefore, they are getting less of a rebate back.
But the other important thing to note is that we support industry in a number of ways with carbon tax revenues as well. For instance, the CleanBC industry fund is a very significant and effective measure to both reduce emissions and keep heavy industry in British Columbia competitive.
R. Merrifield: Thank you to the minister for answering the question. I can canvass the Minister of Finance, for sure.
The minister, I think, is possibly incorrect, because I’m using net numbers. I’m not using the total amount of carbon tax paid and the total rebate.
If what each of the governments is saying is true, we should see those numbers almost equal to zero. There should be no differences between any of the provinces. But I am using net numbers, specifically to equalize between the amounts that are paid and the amounts that are rebated. In all cases, the NDP are giving back less to British Columbians than in all of the other provinces, save only in P.E.I. and Newfoundland.
I will go back to ask the question. Honestly, the numbers are very striking. These are the numbers in the government’s own documents, but the numbers are quite striking. It almost incents an unattached individual making $80,000. They actually will net out a lesser amount or difference than will two parents with two kids. That’s a huge difference for middle-class individuals trying to make ends meet and trying to move forward.
Again, these are the government’s numbers, not my numbers, and I’m using net numbers, which would equalize what the minister is trying to say, in that we pay less but we also get back less. This is not the case.
We are still netting a far greater amount of payment than other provinces. They might actually pay more in carbon tax initially, but they’re getting far more back than what British Columbians are, and it’s across the board. Other than if you make $30,000 a year or less, across the board, we pay more than every other province on net carbon and fuel tax.
I’ll ask again. How does the minister continue to justify the increase with so many British Columbians in these categories that are not making it?
Hon. G. Heyman: The problem with the member’s calculation is she is looking at the carbon tax and the climate action tax credit as the only thing that affects affordability for individual British Columbians. She is not looking at, for instance, the significant drop in ICBC rates that was introduced by this government. She is not looking at the significant enhancement to the B.C. family benefit as well as the B.C. family benefit itself that puts substantial amounts of money in people’s pocket.
She is not looking at the fact that there are no longer tolls on bridges for people who have to commute to work. She’s not looking at the fact that we introduced the largest middle-class tax cut in B.C. history by eliminating the Medical Services Plan premium. She is not looking at the fact that a family of four earning $100,000 a year is paying $3,000 less in provincial taxes than happened in the last full year of the B.C. Liberal, now B.C. United party, government.
You cannot look at one measure in isolation. You need to look at all of them.
The other reason that we don’t have as significant a rebate as some provinces today, although we’re scaling it up, is we also have the CleanBC industry fund and we have a B.C. output-based pricing system that are quite different from the national formulas, and that is intentional.
That is so we support industry to decarbonize in a way that works for them and in a way that matches their consultations with us about what they would like to see in a B.C. climate plan and a B.C. carbon-pricing plan. And it’s important to do that because by doing that we are supporting British Columbia businesses to remain competitive, to continue to employ British Columbians at good wages that also contribute to household stability, and we are at the same time reducing emissions.
I would say: look at the entire package. Anyone, myself included, can pull one item out to make a case. But if you want the accurate picture, you have to look horizon to horizon.
R. Merrifield: I would disagree with the minister. The carbon and fuel tax net values actually give us an equal-to-equal way of assessing how much each person in every province is paying. I could equally talk about Alberta’s private auto insurance capacity and the ability to actually see lower rates than what we see in B.C. I could talk about rebates that they just delivered to each and every Albertan. I could talk about the fact that Alberta never had tolls to take off. I could talk about their health care and the fact that they have less wait times than what we do.
I could talk about all of those different aspects. I could even talk about the personal taxes and talk about the new study that was just done that shows that 50K is the new 30. To say that inflation…. Despite any reduction in personal income taxes, inflation has absolutely obliterated that. You’d have to compare what a $50,000-earning person makes compared to what they were at $30,000, compared to 2017.
With all due respect, the minister is neglecting the fact that we have an apple-to-apple comparison that we at every single…. The government uses it to put in the NDP’s own budget book that allows us to see what Alberta is paying and what Saskatchewan is paying and what Manitoba is paying back to its citizens versus what B.C. is actually giving back.
Now, you could make an argument that many of these are federal, but then I would come back with the argument that says: why wouldn’t we follow the federal system in its entirety then? It seems like a better system because they all get more back than what we do, save only, as I said before, the Maritimes. We know the federal government has tried to equalize that as well.
In 2022, in estimates, I actually asked the minister: “British Columbia pays more than double what any other province does. How does the minister answer to that?” Part of the minister’s answer was: “But British Columbians also have made it clear that they want the government to take action on climate change.”
I’m going to ask the minister again. What will the minister say to 50 percent of British Columbians who are $200 away from insolvency, 70 percent who did not want the increase that happened yesterday to the carbon tax and 60 percent who don’t want the carbon tax at all? How does he explain why these same British Columbians pay the highest amount of net carbon and fuel tax in Canada?
Hon. G. Heyman: What I would say to British Columbians is….
If you look at the comparison of provincial and federal taxes by province in 2017, right after the last full year of the B.C. Liberal government, the total tax paid by a two-income family of four earning $90,000 was $19,041. That includes a whole host of taxes, including sales, fuel, net carbon tax, provincial income tax, property tax, etc.
If you look seven years later, the total tax for a two-income family of four earning $90,000 is $12,741, about $6,300, if my top-of-the-head math is right…. That is a significant reduction in taxes paid over the time this government has been in office.
This is what I mean when I say…. If you’re going to do comparisons, look at the whole picture.
What I would say to British Columbians who are struggling…. I know they’re struggling with a whole lot of costs, which is why we’re giving the B.C. family benefit. We are increasing it. We are putting 100 percent of the carbon tax revenue into the low- and middle-income climate action tax credit.
What I would say to those British Columbians is…. You should be very thankful that you’re not still in the era of the B.C. Liberal government, in 2016, when you paid almost $7,000 a year more in provincial taxes and all taxes prior to it being adjusted for inflation.
R. Merrifield: Any person has to adjust for inflation. If I compared a $30,000 income in 1994 to what a $30,000 income was being charged in taxes in 2012, I think I can make the same assertion. Why? Because no longer are those two numbers equal.
I just quoted from the Vancouver living-wage study. It showed that $50,000 is the new $30,000.
I agree. You can’t compare an apple in 2017 to an apple in 2021, which is precisely what I’m not doing. I’m comparing the orange to the orange to the orange in every single province in the same year.
I’m not comparing it to a different year. I’m comparing all of those numbers to one another. To take a 2017 number, I would have to adjust for inflation, and I would have to adjust it into 2021 numbers.
At what point will the minister consider a pause on the carbon tax? It is affecting inflation. By the Trevor Tombe report, it affects 10 percent of our inflation rate. It is giving back less money to every British Columbian, outside of a $30,000 income, and is at his disposal because we have our own tax.
Hon. G. Heyman: The member is quite correct. It’s important to compare oranges to oranges and apples to apples, which means, of course, it’s important to adjust for inflation. Without adjusting for inflation, the difference between the tax load for British Columbians today and the tax load when the opposition was still in government is about $6,300, or a drop of about 33 percent. But if you adjust it for inflation, that amount increases to $8,927, or something more closely approximating 44 or 45 percent.
R. Merrifield: I think the minister did his math in the wrong direction. If you look at $90,000 of 2023 values, which, in net present value, in 2017 would have been the equivalent of $71,422…. The minister chose $90,000 because it’s an interesting change or switch in where the gaps are. I understand governments make those changes because, also, $90,000 is where the vast majority median income hits, in that range there, so that’s where the vast majority of taxation occurs.
But if you look at $71,422, which is the net present value of those 2023, $90,000, in 2017 that would have actually been $71,422. That is actually taxed at a 7.7 percent value. The taxation on that number would have been $5,499.50, which is far less than what the minister would like to show as a differential and far less than what today someone making $90,000 is paying, $12,741 in tax.
I’ll ask my question again. At what point will the minister pause…? It is within his purview to do so, as evidenced by the previous government, which paused carbon tax increases for long durations of time. At what point will the minister actually consider this?
Hon. G. Heyman: First of all, when the previous government paused the carbon tax, it was the only carbon tax in Canada. Today there is a federal carbon tax, which the member knows full well applies across Canada. We administer it ourselves so that we can take the revenues and use them in a way that works for British Columbians and works for B.C. industry, but that’s not the same as having the ability to pause the tax or opt out of it. We simply choose to tailor its application in a way that works best for British Columbians.
With respect to the member’s desire to look at comparative numbers across Canada, I talked about the total tax burden on a two-income family of four earning $90,000. British Columbia’s is the lowest in Canada, bar none, including Alberta.
R. Merrifield: Could the minister please say that last part again?
Hon. G. Heyman: To get more specific, a two-income family of four earning $90,000, a comparison of taxes by province, 2024, all taxes….
British Columbians pay $12,741. Albertans pay $13,132. Saskatchewan pays $14,295. Manitoba pays $16,943. Ontario pays $17,121. Quebec pays $15,258. New Brunswick pays $20,377. Nova Scotia pays $22,553. Prince Edward Island pays $22,121. Newfoundland and Labrador pays $18,061.
So to repeat, British Columbians, a family of four earning $90,000, have the lowest tax burden in Canada, everything included.
R. Merrifield: For the minister’s information, British Columbians also pay more in housing than anywhere else in all of Canada. We pay more in fuel taxes than all of the rest of Canada, and we pay more net carbon and fuel tax than the rest of Canada.
Furthermore, it’s not really big news to say that British Columbians pay less taxes overall. We did that when we were in government as well, so we’re actually eroding that affordability, not actually increasing it.
I found it interesting that the minister didn’t actually respond to my net present value distinction, because I could keep going on and show how we actually were in a far greater position back in 2017 than when we are today.
I am going to go back to one of the other aspects that the minister said, and that was that we’re part of a federal program, and that’s why the carbon tax went up. Could the minister talk to me about Quebec and how much they raised the carbon tax yesterday?
Hon. G. Heyman: First I’d like to address a couple of points raised by the member opposite, one of which was that British Columbians pay the highest carbon tax and fuel tax in Canada, yet the numbers I gave for total tax burden included both those taxes. So I reiterate my point: you have to look at the entire tax burden.
I would also like to correct the member, who said that British Columbians paid the lowest total taxes in Canada when the B.C. Liberals were in power. That’s simply not true. B.C. taxes were higher than Albertan taxes by about 12 percent.
Finally, with respect to Quebec, Quebec has a system known as a cap-and-trade system. The federal government requires all provinces to have a system of equivalency. They have deemed, through their own calculations, that the Quebec cap-and-trade system, when looked at in its entirety, is equivalent to the federal carbon tax system. That is the system in place in Quebec. One can assume that it is equivalent.
R. Merrifield: Did Quebec raise its carbon tax yesterday?
Hon. G. Heyman: As I mentioned, Quebec has a cap-and-trade system. There is one feature of the cap-and-trade system that does include a carbon tax on fuels. It’s implemented not on April 1, but I think they implemented it this year in January, prior to increases in the rest of Canada.
As I mentioned, it’s the federal government that has a series of complicated formulas used to determine equivalency. We don’t make that determination, and it’s not my place to speak to it. I do know, from having gone through rigorous applications to the federal government on our B.C. output-based pricing system, that the federal government looks very seriously at equivalency through a series of formulas that spit out the result, equivalent or not.
R. Merrifield: Yes, the Quebec system is definitely a different model. They’re one of the others that has its own pricing system, as the minister has pointed out.
The minister also talked about how B.C. is an outlier, how B.C. has lower emissions and therefore lower rebates and therefore pays a higher net value. Surely the federal government would see that we are doing such a good job on our emissions controls and reward us by allowing us to also push pause on the said increase.
Did the minister ask the federal government if B.C. could pause its carbon tax increase?
Hon. G. Heyman: The issue isn’t about special treatment or whether Quebec pushed pause. They didn’t push pause. They have a cap-and-trade system. Part of that cap-and-trade system is a tax on fuels. They increased it in January.
The federal government has a mandated carbon tax system, which 200 economists have said is the cheapest and most effective way to reduce emissions. It’s cheaper than regulation, although it’s more visible than regulation.
It is effective because it’s a market-based mechanism that sets a price signal and can also be structured in a way to return significant amounts of money to both individuals and industry.
So no, I did not ask the federal government for permission to press pause, because it’s in B.C.’s interest to fight climate change. It’s in B.C.’s interest, having invested so much in achieving clear results and beginning progress on a number of mechanisms and pathways to reduce emissions, to not lose our momentum, because losing momentum will cost British Columbians more in the short, medium and long term.
R. Merrifield: So the minister is aware, I was really careful, in all of my analysis in the orange to the orange to the orange to the orange, to compare the net fuel and carbon tax. It was only in this particular situation, because I was only talking about the carbon tax in what was raised, that I used and asked specifically about the carbon tax system.
Quebec doesn’t pay carbon tax. Individuals don’t pay carbon tax. They only pay fuel tax, and that fuel tax, as well as the cap-and-trade, is under the federal program. It’s a quick google to see all the different issues that many across Canada would have with the treatment that Quebec gets. But that’s irrelevant.
My question was directly about whether or not the minister asked the federal government, and the answer was clear. The rationale, however, is where I think I’ve already taken exception.
We know that B.C.’s emissions only lowered by 4.9 percent, and that’s lower than what Canada has lowered. We keep talking about emissions lowering, whereas we have already canvassed that. It’s clearly stated in the 2021, 2022 and 2023 climate change accountability reports. In every situation, it is acknowledged that the only reason that emissions are going down is because of COVID and the effects of COVID on 2020, 2021 and what we will see in the next couple of weeks in the 2022 emissions numbers.
I quoted from the 2023 accountability report earlier for the minister, as well, to acknowledge that even the ministry believes that the numbers for 2022 will go back up. The minister keeps talking about these plans that have now taken shape and that emissions are going down. But with all due respect, the emissions have not gone down, and we will be able to see that in the next little bit.
I do think it’s important to note that the momentum has been lost. The momentum has been lost because British Columbians are no longer in favour of being charged carbon tax. British Columbians are feeling gouged by what’s happening not just at the pump but also on their heating bills. The number of heating bills that I get where individuals are being charged far more on the carbon tax than what their natural gas costs are is staggering.
The 2022 Climate Change Accountability Report states: “Based on the longer-term emissions modelling, if all CleanBC policies and programs planned today are fully implemented, B.C. could achieve 96 percent of the 2030 target.” That was on page 4. But in 2023, we’re now estimating that we’re only…. Sorry, I reversed those numbers. We’re estimating that we’re only going to see us achieve 96 percent, and in 2022, it was 97. Why is B.C. slipping?
Sorry. Just to clarify, because I had a lot of years and percentages there, in the 2023, it says that we’re only going to achieve 96 percent. In the 2022, it says 97.
Hon. G. Heyman: There are a number of academic papers that found targeted policies like….
The Chair: Minister, if I could remind you not to use devices while you’re speaking. Thank you so much. I appreciate it.
Hon. G. Heyman: I was not aware that was an estimates rule. Thank you for pointing it out to me.
There are a number of studies, the names and dates of which I’d be happy to provide to the member, that indicate that targeted climate policies like B.C.’s carbon tax, specifically, have proven effective in reducing emissions as compared to other policies in provinces like Alberta that produce results that are statistically insignificant.
Why is there a difference from a 97 percent projection to a 96 percent projection? First of all, I would say that that is not a large variance, generally, but there are a number of factors that go into it. It might be an increase in activity in an emissions-intensive industry. It might be changes to historical emissions from Environment and Climate Change Canada that are cascaded through to the present that influence emissions projections.
In other words, they change the nature of their baselines on which we rely. So for example, methane emissions from industry have been revised a number of times as quality of data has improved over time.
Some of our policies work better than we expect and some not quite as well as we expect. It is why we’ve always said that the Roadmap to 2030 is an iterative policy and framework and strategy across multiple pathways so that we can continue to adjust as we get the figures in and review them. So that we are being transparent with the public, we report what our projections are, including how they change.
R. Merrifield: Before we even get to 2030, we’re not even going to make our short-term target in 2025, which will give a full seven years of policies to have taken effect. And 2025 is only two short years away, which shows a 0.9 megatonnes of CO2e gap, which is a 9 percent shortfall, so while the numbers might be small, it’s still a shortfall, and the short term is even greater than the long term. I’m referencing page 11 out of the Climate Change Accountability Report.
What policies are working well, as the minister noted? Which ones are not working well? And which policies are required to achieve our targets to 2025, or are we just content to miss them by the 10 percent?
Hon. G. Heyman: Some examples of things that I think are working well in CleanBC.
We have a 45 percent target for methane reduction by 2025. We’re currently at 40 percent, and I think the indications are we’ll surpass our target.
We have passenger electric vehicle sales as 22 percent of all new sales in 2023. As of October, our target is 26 percent by 2026. We should surpass that. In fact, we legislated changes to the targets because we found after the first few years that they weren’t ambitious enough because British Columbians’ desire to make the switch was greater.
We have increased adoption for heat pumps by households up to 12 percent in 2023, compared to 7 percent in 2021.
We have a new zero carbon step code that’s introducing additional criteria that local governments can use to require even cleaner new builds. Some municipalities are moving ahead more rapidly than the step code mandates because they are eager and ready to make those changes.
We introduced a new energy action framework and just last week introduced the framework for the oil and gas cap emission regulation to meet our oil and gas sectoral targets for 2030.
The B.C. Hydro task force and a new clean energy and major projects office is supporting significantly more investment in electrification and electricity infrastructure to ensure that B.C.’s economy is lower carbon and electrified.
We’ve supported 193 communities through the first year of the local government climate action program, with 59 infrastructure projects for renewable energy, clean transportation and buildings efficiency.
The CleanBC industry fund has made investments that will result in 8.7 million tonnes of carbon dioxide–equivalent reduction over ten years, or the equivalent of 186,000 cars coming off the road.
J. Tegart: I’m going to ask a few questions about some parks in my riding.
The first one I want to talk about is the Coquihalla Canyon Park, which is Othello Tunnels. It was severely damaged during the atmospheric river in November 2021. It traditionally receives 70,000 visitors in a season and is a significant driver for the local economy in Hope.
Hope council has been advocating for the cleanup and reopening of the tunnels for 2½ years. I know we have recently had an announcement, but I’m just asking if the minister can confirm that the workplan and budget for Othello Tunnels is included in this budget.
Hon. G. Heyman: Thank you to the member.
We are excited about beginning work on the Othello Tunnels. I know that people in the region are excited too, particularly the various tourism operators who have been impacted and would love to get back into all the business that flows from that being opened.
The short answer to the question is yes, and it’s assisted by money from the federal disaster financial assistance program.
J. Tegart: Thank you to the minister. We are very excited to see the work happening.
I’m just wondering if the minister could share with us the…. I know it’s a multi-year plan and that we’re only going to the second tunnel this year. I’m wondering if you could share with the public what the work schedule is, the budget and the completion date for the completed cleanup.
Hon. G. Heyman: Our goal is to complete phase 1 repairs by July 2024. Phase 2 includes replacing bridge 1 and repairing bridge 2. Our hope is to have it completely open by summer 2025, but there are some unknowns around fish habitat and protection. If there are some matters that require delay, we still think we can have a partial reopening by summer 2025, if not a full one, but we’re not in a position to guarantee a full reopening at this point, even though that is our goal.
J. Tegart: With that in mind, I’m making the assumption that the money is in the budget for the two-year project, and if it goes to three, completion is the final goal. I’m going to assume that the nods say yes. It’s not the minister nodding; it’s the staff.
Next question is Goldpan and Skihist parks. They are very close to Lytton. Both these parks have been closed since the Lytton fire in 2021. Lots of questions in the area as to what is the holdup in reopening these provincial parks.
[F. Donnelly in the chair.]
The Chair: Minister.
Hon. G. Heyman: Welcome, new Chair; thank you very much.
To the member, thank you for the questions.
Goldpan has significant slope stability issues due to the mudslide, so it remains closed. We’d be happy, if the member would like a more detailed briefing by regional staff, to do that. Skihist is scheduled to open in May 2024, fully.
The Chair: I think we’re just going to take a ten-minute recess.
Interjection.
The Chair: Okay. One quick question from the member for Fraser-Nicola.
J. Tegart: Thank you so much. I have to be in the other chair. So one last question.
That is great news, because it really makes a huge difference to the Fraser Canyon corridor, and also to people who are hoping to go back to Lytton to build this summer. They need a place to stay. So that’s great news.
The last question is around Sasquatch Park. I’ve been approached in regard to this park. The question is: is there an evacuation plan in place for Sasquatch Park, considering how many wildfires we’re seeing?
The Chair: Member, do you want to hear the answer to that?
We’ll just wait, and then we’ll call a recess. Thanks, Minister.
Hon. G. Heyman: Thank you to the member for the question. This is, actually, a fairly current issue, as the member knows, but I’ve been seized of it recently. We are working with both Seabird Island First Nation and the regional district on the different changes that we have to figure out how to do in order to accommodate an evacuation plan, but it’s a matter of urgency, and we’re treating it as such.
The Chair: Members, we’ll take a ten-minute recess, and we’ll be back at 3:10.
The committee recessed from 3:03 p.m. to 3:13 p.m.
[F. Donnelly in the chair.]
The Chair: Okay, I’ll call the committee back to order.
T. Shypitka: Thanks to my colleague for affording me some time, and to the minister. Just a quick question on parks in B.C.
It’s come to my attention that there are a couple parks in my area — namely, I think, Norbury and Moyie parks — that won’t be opened, I believe, until May 15. This is not the norm. Usually, folks in the Kootenays can hardly wait to get their fishing rods in the water as soon as that ice comes off. We’ve had some spectacular weekends here, and Mother’s Day is coming up. And May 15 is kind of a long ways out for a lot of these people that want access to the waterways.
Maybe the minister can explain why this is happening. Yeah, more detail on that.
Hon. G. Heyman: We can’t find any specific reason that…. As near as we can tell, there’s some minor variation every year in terms of opening dates but nothing major.
Moyie’s gate and, also, the campgrounds will be closed until May 15. In the case of Norbury, the gate is open. The campgrounds don’t open until May 15, but the gate is open.
T. Shypitka: It’s a little troubling. I’ll double-check on that.
It has been reported to me that Norbury isn’t open as far as the camp spaces are concerned. I’m seeing a nod over there, which is encouraging. I will get back to my staff on that.
In regards to Moyie, the minister referred to it as nothing major. I would dare the minister to go to my riding and tell the fishermen that it’s nothing major. We’ve got Mother’s Day long weekend coming up. We’ve got beautiful weather there. This is something that has historically been used, and we’re wondering why.
Now, the minister has indicated he doesn’t know why it’s not being opened right now. I worry about that. It’s not the first time we’ve seen some arbitrary, maybe, decision-making done at the regional level that the minister is, perhaps, not aware of. Perhaps the minister may want to get a hold of the regional staff so that provincial park can be opened and so people can get the access they deserve to the waterways at Moyie.
Maybe the minister can respond on an action to open up Moyie. Norbury has been opened, as he has indicated.
Hon. G. Heyman: Moyie will be open before the Mother’s Day long weekend. Opening on May 15. Last year it was May 5. That is a ten-day difference. I’m sure, for somebody hoping to go out, that would not be as welcome, but it’s not a huge variation.
T. Shypitka: The question is: why is it not open now? It should be open now, as Norbury is open right now. That is the crux of the question right now. Why can’t that be open now?
The minister is unaware why it’s not open now. Maybe the minister, just as a request, would want to get in touch with the regional office to ensure that it’s open now. Maybe the minister can not split hairs on when May 15 happens.
The fact of the matter is that it’s not open now. Maybe the minister can direct staff to open it now.
Hon. G. Heyman: Certainly, I am happy to talk to regional staff and find out. I can’t commit that we’ll open it for sure. If there are valid operational reasons why it’s not opening until the 15th or why we can’t open the gate, as opposed to the campgrounds, as we are with Norbury, I’ll be interested in hearing them.
If we can accommodate people, we’ll do our best to do that.
T. Shypitka: I would just say that if it was a valid request from the regional staff, I would expect the ministry to know that, what those requests are. It would come through the ministry. That aside, we’ll take that offering. Hopefully, we can see some swift action to reopen that.
The second question would be on something totally different now, just on renewable diesel. It’s now being…. The carbon tax is put on place on renewable diesel. I’m just wondering why renewable diesel doesn’t attract carbon tax.
Hon. G. Heyman: I’d refer the member to the Ministry of Finance for that question. They determine which fuels it should apply to.
T. Shypitka: Well, I will certainly take that to the Minister of Finance. I would just have assumed that the Minister of Environment would be in conversations on….
When we’re trying to reduce carbon emissions, that this wouldn’t be a part of the plan, from the Ministry of Environment to the Minister of Finance…. There must have been some two-way conversations there when setting up climate targets and the reduction of CO2 emissions. Certainly, renewable diesel would emit some of those carbon emissions that we’re trying to contain.
If the minister doesn’t want to speak on behalf of CleanBC and how those targets are evaluated…. I will take it at that, and I’ll ask the Minister of Finance, unless, of course, the minister wants to explain.
Right now we are trying to electrify the economy, and there are certain aspects where renewable diesel can play an important role, maybe not to eliminate carbon emissions but certainly lessen carbon emissions. The fact that it is being taxed is a deterrent to lessening carbon emissions.
I was wondering if the minister wants to respond to that.
Hon. G. Heyman: The member makes good points. The member is also correct that, obviously, we want to incent the use of lower-emission fuels.
There have been a number of conversations between my ministry and the Ministry of Finance. The issue is trying to work through the determination of how much is renewable diesel, what percentage it may make if blended when it’s used at a pump and when something else is used at a pump. They’re trying to figure that out. That’s why I referred the question.
Just for assurance, it’s certainly not an issue to which we’re not paying attention.
R. Merrifield: I’m going to take us back to the climate change accountability report and hopefully end our time on that.
The minister, right before the break, was talking about the policies that have been successful in reducing methane, in increasing the number of EVs, in looking at the heat pump usage and then the step code and housing aspects. We had previously canvassed a number of those policy aspects. With the step code, it was determined that it was going to result in about one megatonne of CO2e by 2030.
The EVs I’ll go to next, as well as the heat pumps, as to: what will the lowering of the CO2 equivalency on EVs and heat pumps be?
Hon. G. Heyman: So the variety of measures that accelerate adoption of electric vehicles are projected to reduce emissions by 7.5 megatonnes by 2030.
In the case of the various CleanBC building standards, including the building code standards, it is less. It is not very high, ranging between 0.1 megatonnes for heat pumps to strengthened building code, 0.3. Other drivers like the greenhouse gas reduction standard — 1.9 by 2030.
The main reason for this is the new code standards don’t really take effect till 2030. So they’re not going to yield much result by 2030, but with the measures in place, there should be significantly more reduction in the years after 2030.
R. Merrifield: Could the minister please describe the reduction on the EVs of 7.5 megatonnes and just where that that number is located?
Hon. G. Heyman: Page 36 of the 2023 Climate Change Accountability Report.
R. Merrifield: So does that number include just the light duty, or does that number include all of the electrification?
Hon. G. Heyman: It includes light duty, medium duty and heavy duty.
R. Merrifield: The new policy that was introduced this fall with the new bill on EV light-duty vehicles — could the minister please tell us how much that will reduce our emissions by?
Hon. G. Heyman: Compared to the previous target or overall?
R. Merrifield: Actually, if the minister could pull out the light-duty vehicles from the numbers that he just stated, on page 36.
How much will the new Bill 39 or the new ZEV standards create? Just compared to baseline, not compared to the acceleration but just to the full baseline.
Hon. G. Heyman: Generally, for light-duty vehicles, at 2030 we would expect about a 0.6 megatonne reduction.
It’s difficult to predict accurately because there are a whole bunch of factors that go into people’s decisions about when they’re going to replace a car, whether they’re going to buy a new car or a newer car, and the zero-emission vehicle law only applies to new car purchases.
But what we do know is that because it will be in place, after 2030, the emission reductions will continue to ramp up as more people buy new cars, and then people who are buying used cars buy those new cars that are zero-emission vehicles.
R. Merrifield: Yes, I believe that the minister is, for the most part, accurate. My calculation was 0.47 of a megatonne. The Minister of Energy, Mines and Low Carbon Innovation estimated at 0.5. The minister is hedging a little bit with 0.6, but let’s just give it the general vicinity.
But on this list that the minister had suggested was the 7.5 reduction, there are a lot of medium and heavy-duty vehicle targets and initiatives that are not yet into policy, that are not yet moving that dial forward. And as we know from the emissions’ actual GHG stats, medium and heavy-duty vehicles are really the main source of transportation emissions. It’s not as much on the light-duty.
As the minister aptly pointed out, it will take us years — I would argue it’s going to take us decades — to actually convert over all of the light-duty vehicles. There are 3.7 million light-duty vehicles on the road today. Estimating that even when we’re at 100 percent in 2030, we’re looking at 40,000 a year that would convert over. That’s 18½ years to actually get to those numbers.
In the meantime, though, we are going to be giving rebates. So could the minister just tell us how much those rebates are on a yearly basis — incentives, rebates — and will they continue?
Hon. G. Heyman: It is not an entirely easy question to answer because some of the funding comes from low-carbon fuel standard credits, and some of it comes from B.C. Hydro. The program is administered by EMLI, so I would suggest that the member take the question to the Minister of Energy, Mines and Low Carbon Innovation.
R. Merrifield: I actually have taken it to the minister, and the minister confirmed that yes, indeed, it does come from a myriad of sources, but there is only one British Columbia taxpayer, ratepayer/anything else payer. Thus, it would come from their pocket in some way, shape or form and not just magically from B.C. Hydro. B.C. Hydro gets their money from, i.e., our taxpayers.
In the interest of time, because I am running low, I will just talk a little bit more…. Rather than ask the question, I’ll talk about what’s already been confirmed. That is that the rebates will be continuing, because as the minister confirmed in the committee discussion on Bill 39 — this is the minister speaking: “I spoke yesterday around market transformation and the eventual removal of rebates, but right now we’re in a situation where we know the capital cost of purchasing a ZEV is more than an ICE.”
So there is an additional cost to the taxpayer for the purchase of said ZEV, instead of an ICE vehicle. As well, the rebates will be continuing, so the rebates are going to cost approximately $800 million to reach that 0.5 of a megatonne of reduction.
My next question, though, is around the infrastructure. Has the minister quantified the amount of infrastructure cost for the charging stations and upgrades to homes?
[H. Yao in the chair.]
Hon. G. Heyman: Over the last two fiscal years, $46 million was budgeted for public charging infrastructure. We recently announced $30 million for the upcoming year. Last year the amount of budgeted money for residential charging infrastructure was $6.59 million.
R. Merrifield: My question was actually on the total cost of all of the infrastructure that it’s going to take to electrify all of the homes for these EVs. Going to 100 percent of the fleet as electric vehicles will cost a considerable amount.
I just did some really roughshod math on the go electric EV charger rebate, which was obviously oversubscribed. Congratulations on a program that clearly was in high demand.
In that program, it was reported that 2,318 homes, 547 multi-units and 249 workplaces were electrified during that program. If we look at the cost, it was split 50-50 between the government and the taxpayer. Each home received $350, multi-units received $2,000, and the workplaces received $2,000. We’re looking at basically $811,000 for homes, just over $1 million on multi-units and $2.4 million on workplaces, those numbers.
Then if you look at the total number and what it would work out to, about 0.27 percent of all the homes were electrified during that program. If you look at what the whole program would be, of 866,340 homes electrified — as 2,318 are 0.27 percent of the homes, at that $811,000 cost — it’s going to be about $300.5 million for taxpayers and then another $300.5 million for government. That’s a total of $601 million for chargers in homes.
Those are just the single-family homes. And we’re done with single-family homes, no more single-family zoning. Then you look at the multi-unit residential buildings and how much that’s going to take to get electrified. There are 1.1 million of them. Each of those costs $2,000, just for the government. You’re looking at $2.3 billion for the government and the same for taxpayers, independently.
So it’s $4.6 billion for the chargers for all those units. For those, I’m just pulling from Stats Canada the number of units, the number of houses and the number of buildings.
When we look at the total amount to just put in chargers — not the electrification, not the infrastructure, not the actual power coming from B.C. Hydro, etc. — we’re looking at just under $6 billion. I mean, having done the rough math, just one by one, A plus B equals C, would the minister agree that that seems like an estimate worthy of consideration?
Hon. G. Heyman: Any estimate, particularly one based on rough numbers without a proper set of modelling parameters and assumptions, is variable and not necessarily accurate. So no, I would not agree.
R. Merrifield: Okay. Well, I’m trying to use numbers that are readily available for both of us, but I’ll keep going here.
The CleanBC consultation paper, if we go to heat pumps now, which we’ve increased from 7 percent to 12 percent…. The CleanBC consultation paper, published by the NDP — so these are NDP numbers, not even mine, going through — states: “After 2030, all new space and water heating equipment sold and installed in B.C. will be at least 100 percent efficient, significantly reducing emissions compared to current combustion technology.”
The total cost to consumers of this requirement is forecast to be $8.5 billion. For a simple calculation, if you look at just the incremental costs for capital, etc., as evidenced also by the government’s own acknowledgment that these are costly upgrades, and offer rebates for such, is the minister then stating that to get to that other 88 percent of adherence to the heat pump systems, that number will have to be realized, the $8.5 billion?
Hon. G. Heyman: Well, first of all, I would suggest the member go into the methodology of the paper with EMLI, as it’s an EMLI paper. But the member also omitted to include the operating cost benefits associated with the transition. That is also in the chart she referenced.
R. Merrifield: So the minister agrees that it will cost $8.5 billion to convert to heat pumps — the actual cost to consumers?
Hon. G. Heyman: I’m tempted to simply say no, but instead, I will say no, I would not agree with that. I would not agree with that because, presumably, when it’s time to replace equipment, there is a cost to replace the equipment, no matter what you replace it with. But in terms of the methodology, again, I would refer the member to the Minister of Energy, Mines and Low Carbon Innovation, as they do the analysis and produce the paper.
R. Merrifield: Is the minister saying there has been no quantification of the…? The minister earlier today actually talked about the heat pump conversion and how well that was going. Has the minister not quantified or costed out what that conversion will cost British Columbians?
Hon. G. Heyman: The report has a cost-benefit analysis, but I’m not going to answer questions for a paper produced by another ministry when the member has the opportunity to question the minister responsible.
R. Merrifield: CleanBC has a document that is owned by this ministry, that is owned by this minister, with a policy inside of it that actually was celebrated just an hour ago by this minister. The minister is now sending me to a different ministry because this minister doesn’t actually understand or have an idea of how much it will cost to fulfil his own policy. Am I understanding that correctly?
Hon. G. Heyman: The member is wrong because the member is misreading the table. First of all, the stock of heating and cooling equipment will maybe be 4 to 5 percent a year turnover. So over a period of 20 to 25 years, during which there will be upfront capital costs, the operating costs will be a net benefit and decrease costs to those people who have made those changes over time.
R. Merrifield: I wish I had more time, because I would love to delve into the very charts that the minister is talking through and talk about what that conversion looks like and the unseen costs of conversion, etc. But I won’t be able to. I’ll just ask this one final question, and then I’ll wrap up some comments and turn it over to my colleague the Leader of the Third Party.
Page 12 in the climate accountability report actually says: “Additional or more stringent actions may be needed for B.C. to achieve its 2030 targets.” Then it goes on to talk about how the government will be monitoring emission trends and is prepared to adjust action measures. The minister earlier talked about measures that are working, measures that are not working, although he didn’t say which measures were not working.
My question to the minister is: what additional or more stringent actions are there on the table for consideration, and what modelling has been done to determine the impact of those potential actions?
Hon. G. Heyman: The kinds of measures that we will use to ensure that we continue on the path to meeting our targets will be the least expensive to taxpayers and the economy, and the most effective, which is precisely why one of our most significant measures is the carbon tax, which numerous studies have demonstrated to be extremely effective, allow flexibility in application, because it’s a market-based mechanism, and be less costly than a host of other measures.
That’s not to say that we don’t also impose some regulations where they’re required, as we have done and as we’re proposing to do. But that is essentially the answer.
I disagree, frankly, with the member that there are unforeseen or unknown costs. The table which she referenced showed the upfront capital costs of switching to the highest energy efficiency standards for home heating and cooling and also showed these operating costs savings over a period of time, and the net present value of doing those, which is positive.
The real hidden costs are the costs of climate change and the impacts they have on people’s health, on the cost of food when there is flooding of agricultural land, the cost of home insurance when insurance companies respond to the effects of both wildfires and flooding, the inability to get insurance, in some instances, because of where certain dwellings are located, and a host of other costs that we know will be substantial but are unpredictable.
R. Merrifield: I just want to say thank you to the minister for all of his answers over the course of the last…. I guess it’s been weeks, but with a little bit of a break in between.
I also want to just extend my thank-you to Jeremy, Kevin, Laurel, Jim, Ranbir, Chris and Amy. I don’t know if Amy is here anymore — or when she was here. Thank you, guys, for all the preparation. I know it’s a lot of work, and I really appreciate it.
I hope that over the course of these estimates, I was able to cut through a little bit of the noise, because I think it’s time that we face a pretty difficult truth. As the minister and I started our time together, we talked about the economy. As we just heard from CPAs this morning, our economy is stumbling, and it’s on a sharp decline. I would have to say that the CleanBC numbers show us where part of that decline is actually coming from.
CleanBC has been pitched as the golden ticket to blend green progress with economic growth, but it’s clear that the strategy is backfiring and, I would argue, big-time. The facts are in, and they’re painting a pretty grim picture of our financial future. Our province used to be one of the top three economically, and now we are in the bottom three in the course of the next two years of forecast.
While I appreciate the Minister of Environment and his championing of CleanBC, it’s no longer the eco-friendly economic booster. The reality on the ground is telling a very different story. Our once thriving economy is sliding dangerously close to the bottom of the national ranks. And what’s worse? Well, now the minister has changed the narrative of CleanBC, indicating it’s no longer an economic plan that they were proud of in 2018, but it’s an emission reduction model that has an economic model attached to it.
This emissions reduction model, known as CleanBC, was touted originally as the economic plan. I am very frightened by the assertion that the economic model attached to this emissions reduction plan isn’t correct. Because what these numbers show us is that we are careening towards economic disaster. But this minister won’t even acknowledge the economic forecast numbers for B.C., won’t acknowledge the risks that are present and also hasn’t bothered to get a different model done to know what the impact of the environmental measures will be on the economy.
Question after question that I asked today I either got sent to a different ministry or told that that number didn’t exist. I’m doing raw numbers simply from rebate programs that the ministry has overseen. Instead, he seems content to watch B.C. slide from economic first- or second place in the country to almost last. I don’t know what’s worse — not having a model or having ones that are being ignored.
Either way, our emissions are going up, not down. The only reason that we have the emissions data that we do is because of COVID-19, and his own documents show that in 2022, emissions will go up again from 2021.
This head-in-the-sand approach isn’t just disappointing. It’s a direct hit to every resident of British Columbia, and this price tag is massive. It’s actually staggering.
Just a few of the numbers we’ve discussed today. With our EVs, we’ve got 0.5 of a reduction being done for $800 million. For heat pumps, we have somewhere…. I’m going to put it in half. We’ve got $4.25 billion to $8.5 billion for 0.1 of a megatonne of reduction.
For step code 5, it’s going to cost British Columbians $1.2 billion every single year. This, the minister just acknowledged, will result in 0.3 of a megatonne of reduction — not 3 but 0.3 of a megatonne.
The Pembina Institute actually puts that number way higher than what my number was, at $1.2 billion, at $1.6 billion every single year to reach these targets. Billions are being poured into subsidies and rebates for industry that deliver minimal CO2 reductions. And 8.7 megatonnes of CO2e was celebrated by this minister over ten years after dumping hundreds of millions of dollars into rebates every single year, massive subsidies for electric vehicles, while not even dealing with the biggest elephant in the room, which is that transportation of heavy-duty vehicles is the number one emitter in B.C., which could be easily plucked.
We also have a glaring omission that we have not done the costs. They have not been quantified, the actual cost to our citizens for all of the necessary electrical upgrades. This could be in the billions of dollars.
FortisBC estimated $3.4 billion for 122,000 residents of Kelowna. That’s $28,000 a person. If you take that to every citizen of British Columbia, you’re looking at $153 billion for the infrastructure of electrification.
With all due respect, enough is enough. Enough is enough. We can’t keep gambling away, not knowing what the cost is going to be and not even knowing whether or not we can actually lower our emissions.
British Columbia’s prosperity is not a game. It is absolutely the only reason that we have reached such heights of green environmental thought, and I can’t find any policies that are actually going to deliver on that in a way that’s meaningful and is a good value for the taxpayers.
S. Furstenau: I’m glad to have the opportunity to ask a few questions. Most of the questions I’ve asked we sent in advance. Ideally, what I’m hoping for is that the answers are really to help inform the public. This is to be able to give the public some really clear responses to questions that I think, as my colleague just raised, people are raising concerns about.
My first question to the minister is: considering B.C.’s ongoing support for emissions-intensive projects like LNG Canada — including, as my colleague pointed out, significant subsidies and tax credits — can the minister paint a picture of what net zero would look like in B.C., including the roles that B.C.’s energy action framework and offsets, removals, etc., will play in that?
Hon. G. Heyman: Thank you to the member for the question. The purpose of net-zero new industry will be that industries that are setting up, particularly heavy emitters…. This, in most, if not all, cases would require going through an environmental assessment process. But in either event, we would foresee a situation where the proponent would work with the climate action secretariat to go over their plans for net zero and to receive advice and input from the climate action secretariat.
Obviously, our first priority will always be on direct decarbonization. That might be new processes. It might be new technologies. It certainly will be electrification. We’re already seeing mines moving as quickly as they can to electrify.
Carbon capture and storage is, in some ways, not fully developed, certainly on a commercial scale. But we will have strict standards for the carbon capture and storage projects to be real and permanent in terms of eliminating the carbon that is captured from the atmosphere. When that happens, that is an absolute emission reduction, or at least a displacement of the emissions and removing them from the atmosphere.
Just as we did with B.C.’s output-based pricing system, we will develop a process to, likely, entertain offsets. Offsets would have to be credible and verifiable and would, most importantly, I think, be acceptable in terms of international emission accounting standards, because the whole purpose of this is to work toward meeting our targets.
It is not the first choice, but it will be necessary to close some gaps. It’s hard to imagine many industrial processes being 100 percent emission free. At least, it’s hard for me to imagine it, but who knows what technologies will come along over time.
In all likelihood, the plans will be reviewed on a periodic basis, and where new opportunities are feasible, we would expect that proponents and industry would be interested in implementing them on a time frame that is economically feasible. But I cannot give an exact percentage, at this point, about what an allowable percentage of offsets might be.
S. Furstenau: Thanks to the minister.
I guess, just delving into that a little bit more, if the minister could explain to the public how to square the goals, the stated goals of this government and the climate change strategy and achieving net goals, with continued support and, really, subsidizing of some of the highest-emission projects like LNG Canada. How should the public square that contradiction?
Hon. G. Heyman: Well, as the member knows, because she was present at the development of CleanBC, the LNG Canada phase 1 final investment decision was based on an agreement with the government. LNG Canada phase 1 was modelled in the original CleanBC targets and the meeting of the targets.
The member will also know that last Thursday, we introduced the framework for one of the significant commitments of the new energy action framework. That was the elements that would make up the regulatory cap on emissions in the oil and gas sector, because we’ve chosen to focus on capping emissions and reducing emissions rather than saying yes or no to particular projects. That cap will apply to all projects in the oil and gas sector.
S. Furstenau: I do recall that the modelling for CleanBC included LNG Canada phase 1. It didn’t include phase 2 or the additional LNG projects that have since been approved. So how does that fit into the plan?
Hon. G. Heyman: We’re addressing emissions from the oil and gas sector through the regulatory emissions cap designed to meet the sectoral target, which includes upstream extraction; transmission through pipelines, including any compression that happens along the pipeline route; and the emissions from the facilities themselves.
Our commitment…. The federal government, since we made our announcement a year ago, has also introduced their intent to bring in a federal oil and gas emissions cap. We know that because of the commitments the British Columbia government made in March of 2023, the federal government expanded to include LNG as part of their cap, but there are still details to be worked out. We still need to ensure that the design of the federal cap, because it is meant to apply across Canada, will be sufficient to meet our targets.
That’s why last Thursday we outlined that we’ll continue our discussions with the federal government. We don’t want to have duplication or administrative burden. We’d rather have one regulation apply in B.C.
We also know that the federal cap may or may not cover all the emission sources that we intend to cover to meet our targets, so we will introduce a backstop regulation that will plug any holes or apply in the event that the federal government either doesn’t introduce their regulation or introduces it and a future government removes it. We will have a regulation in B.C. in place, aligned with our sectoral emission reduction targets and ready to apply to either those areas that are not covered by a federal cap or the entire sector.
S. Furstenau: Targets are such a fascinating way to look at things. Governments have been setting emissions targets for decades now and not meeting them. Targets are always something like: “Don’t worry. We can keep doing what we’re doing right now, but at some point in the future there’s a target out there, and we’re going to meet that target.” Continuing to add fossil fuel infrastructure as a means to try to meet a target of decreasing emissions is pretty tough math to try to sort out.
All these nice words about caps and regulations. This is what governments have been doing for decades. And now we’re at a point globally where we’re starting to see the very real consequences. Mexico City is within months of potentially being out of water — 22 million people, no water. Don’t worry. The cartels are going to step up. Not drug cartels. Water cartels.
The future is here. B.C. is in probably the worst drought we’ve ever had. There’s no water in the Fraser and Nechako where they meet right now. The northeast. There are serious water restrictions, so the whole LNG industry, based on fracking, has a bit of a problem at the source.
All the nice words. All the language around caps and carbon capture and targets and emissions and don’t worry. Decades of this. And then governments do what governments do: approve more fossil fuel infrastructure at a time when every agency in the world that’s looking at this says that we can’t add any more. We’re already in…. It’s April 2. Forest fires all year round now. Burn underground.
And in this framework, no nature. We talk about all of this kind of framework for addressing climate change, and there’s no nature in it. What is the best carbon capture and storage unit we have on this planet? It’s an old-growth forest. Nothing can capture carbon like that. That doesn’t exist in this framework. Just nice language about emissions and targets and caps. You know, it rings pretty hollow after all these years.
Can the minister speak to how B.C.’s climate targets align with or depend on industry? For instance, if industry fails to implement their own net-zero plans and chooses instead to take the financial penalties as part of the cost of doing business, what does that mean for B.C.’s targets?
Hon. G. Heyman: What I want to say in response to the question is that many industries in British Columbia without the net-zero new industry framework are already developing their plans and making commitments to be net zero by 2050. Obviously, the member makes the point that people can make the statement and then they need to deliver on it, but the fact is that one of the ways the carbon tax works is to have a price signal that makes it cost-effective for industries to reduce emissions to not have to pay the carbon tax.
The CleanBC industry fund is one of the mechanisms we use to work with those industries that want to reduce their emissions to help capitalize the reduction of those emissions, because it’s in everyone’s interest to do so, including the interest to keep industry working for the economy, for jobs and therefore replenishing government coffers through revenues to fund programs like the industry fund, as well as through the carbon tax.
To use an example specifically around costs or compliance payments, I think I’ll again go back to the announcement that was made last Thursday about the oil and gas emissions cap. Two of the features of that announcement were that in order to ensure that the requirements of the cap remained aligned with the sectoral reduction target, not aspirational but were regularly adjusted to ensure that the requirements of the cap were aligned with meeting the sectoral reduction target in the oil and gas sector, they would be reviewed regularly to ensure they were on track to do that.
The second piece that was announced last Thursday was that the last measure in complying with the regulation would be compliance payments, the purpose of the compliance payments being to fund emission reduction measures to ensure that, overall, our emissions were reduced.
S. Furstenau: Then to follow up on that, a company or an industry doesn’t meet the targets that have been agreed upon. Then they pay the compliance, the fee, for not meeting that. What happens after that, if they still don’t meet those targets?
Hon. G. Heyman: Well, the purpose of the cap for the oil and gas sector or net zero for new industry is, in fact, to…. All of this is hinged around our legislated targets, our non-legislated sectoral targets and our Climate Change Accountability Act.
In the case of net-zero new industry, it would likely be a requirement, when we complete this and introduce it, that in order to receive an environmental assessment certificate, industrial proponents would have to demonstrate a credible net-zero plan that was approved by the climate action secretariat, and probably also that the plan would have to be reviewed periodically to ensure that it was relevant, valid and achieving its purpose.
I think that the member is concerned that compliance payments or penalties not simply be a cost of doing business. That’s a legitimate concern. It’s obviously a legitimate concern with any regulatory regime. I would say that the job for government will be to ensure that we enforce the regulations or requirements in a way that actually achieves their intended goal, because it is ultimately government that’s accountable, through the Climate Change Accountability Act and the legislated targets.
The interest will be…. I can’t speak to the specific mechanism, because it’s not finalized or public yet, but the goal will be for the policy to do exactly what it’s intended to do, which is to continually drive down emissions on a curve that matches the 2030, 2040 and 2050 targets.
S. Furstenau: I think that the problem baked into this is that it’s not the problem of the current government; it’s the problem of future governments. This is the fundamental kind of failure that’s built into this kind of system, which is: “Well, if we get to 2030 or ’35 or ’40 and we’re nowhere near those emissions targets, well, that wasn’t our government. That was the previous government that made those targets.”
The accountability doesn’t actually lie with this minister or this government. It lies with some future government, and we don’t know what that government is going to be.
The problem is it’s a framework to allow for doing more of what we know is creating the problem — more emissions, more climate pollution, more carbon pollution. It allows…. This is the framework. It says: “No, don’t worry. We can justify, and we can approve more of these projects because we have this great framework for our emissions reductions, and in 2030 and 2040 and 2050, we’ll be meeting those emissions targets because, look, we have this great framework.”
There’s nothing to hold future governments accountable to that. They can just change the regulations. They can change the laws. So there’s a fundamental flaw in the logic of this. The Ministry of Environment and Climate Change Strategy is using the same mechanisms that got us here, decade over decade.
I guess my question for the minister is: does he…? To say there’s accountability built into this is to ignore the reality that it’s not real accountability. The only accountability that any government can have is for themselves in the moment they’re in. This is a flawed approach to dealing with the crisis of climate change, to say: “It’s okay. Keep building.”
Again, for the benefit of the public, for the benefit of people who are deeply concerned about the world that we’re leaving for our children and our grandchildren, how does the minister respond to this problem that the accountability doesn’t ultimately lie with him and his government but some future unknown government who may or may not accept that accountability?
Hon. G. Heyman: Well, the member raises points that the public and all of us in government and in the Legislature wrestle with, I hope, every day, because underpinning all of the rhetoric and theatre and discussions and debate is the fact that we’re all sent here to make changes — positive changes, hopefully — for people, for kids, for grandkids and for the planet. I mean, ultimately, one of the most important accountability measures is an election every four years.
I will say that the member has sat through literally days and weeks of discussion in the House and in other legislatures and in other parts of the country where one of the most effective emission reduction measures, as well as cost-effective emission reduction measures, a price on carbon, is being undercut, denounced. Attempts are being made to overturn and reverse it on an almost daily basis.
One of the things that I think we’re proud of in our government is that we’re standing by the carbon tax and that we have a comprehensive climate plan and are working hard to make progress on a range of different pathways. That’s important work, at the same time as trying to address the public’s real concerns about affordability, about the cost of housing, about health care, etc., which occasionally makes them prey to simplified and misleading so-called solutions to affordability that we’re seeing play out as recently as yesterday.
I would also say that one of the things I am quite proud of, because any government can change almost anything…. We put in place a Climate Change Accountability Act that requires annual reporting in detail about what we’ve done, what we plan to do, what we’ve spent, what we plan to spend, how effective it is. That includes the commentary of an independent Climate Solutions Council.
While a new government could come in and reverse that, the fact that they would be coming in and reversing accountability measures for themselves that the public would be concerned about is a risk they will have to take. They’ll have to take it, because we listened to the many groups and members of the public who were concerned that government needed to be transparent and be held accountable and have a mechanism by which the public can do that, and we have enshrined that in legislation.
S. Furstenau: I do think the Climate Change Accountability Act and the work that Green caucus staff, particularly Claire Hume, put into that is commendable. I think it’s one of the important legacies of the minority government. But I also see a growing cynicism.
To speak to the minister’s point about the politicization of putting a price on carbon pollution…. I think we can all agree, or should all agree, that pollution should not be allowed to be done for free, especially when it’s pollution into our air. That politicization of it can be exacerbated because people don’t see that transparency, that fairness and that accountability that the minister is talking about.
The way in which the climate tax is applied to industry or the kind of break that LNG Canada gets on their climate pricing — $30 a tonne, while the rest of everybody’s carbon price goes up and up and up — people can feel like a system like that doesn’t feel fair or that there’s a finger on the scales for some industries or some people.
The total transparency of it and, in its essence, because I was advocating for it way back in time…. But the idea of a carbon tax and rebate was for all of the money to simply go back to people. Collect the tax on the pollution, and deliver it back to everybody.
When we have systems like in B.C. where some of it gets kept and some of it gets rebated and the rebates aren’t completely clear…. I would make one recommendation that maybe every time there’s a rebate that goes out to the public — since it often just comes into their bank accounts, they might not even notice it — they get a little notice from the government saying, “Hey, you got your rebate. It’s this much money,” so that people are aware and know that they’re getting a rebate. I think a huge number of people don’t even know that they’re getting a rebate.
To continue to make the effort — to make that more fair, more transparent, more clear that all of the revenue is collected and that it’s going back to people to help them with the affordability, help them make the choices they would want to make in their personal lives to reduce their own carbon use and carbon footprints — there are ways to always improve this.
To respond to yes, a very oversimplified message, one the minister’s own party adopted in 2013…. I think they were the inventors of that message, Axe the Tax. Which one?
Interjection.
S. Furstenau: It was 2009. Thank you.
The minister corrected me. I was four years off. In 2009, came up with that slogan, and maybe regret that now, hopefully.
But it’s a big conversation, and I think the more the conversation is had in an open and transparent way, including the public and bringing the public along and sharing information, always recognizing we have to do better, could probably help reduce the temperature on the political conversation that’s happening around something like putting a price on pollution. I don’t get to put my garbage can out for free. I shouldn’t be allowed to put my garbage into the atmosphere for free.
I’m going to move on to a connected area and something that the minister knows I’m also very apprised of. When there are companies that create pollution and leave pollution behind after they’re finished with their business, we can often see that the cost of that cleanup falls to government and to the people of B.C.
Can the minister expand on the regulatory avenues for government to pursue industrial facility owners who do not comply with 2023’s amendments to the Environmental Management Act beyond the financial securities required prior to a facility being decommissioned?
An old mine or an area of the contaminated site — if costs for cleanup exceed the predicted costs and the security that was given to government and then the company leaves, packs up, heads out of town, what avenues does government have to recoup those costs?
Hon. G. Heyman: Thanks to the member for the question. Obviously, the member knows that much of what we’re trying to do through the public interest bonding strategy was occasioned by the inability to recover costs from the owner of Neucel, who had retreated to their home country of China. Notwithstanding the fact that we’ve gone through the various procedures available to us, we know that that cost is falling on the taxpayer.
We are currently, now that the amendments to the Environmental Management Act have been passed, going out to finalize the requirements and regulations for the appropriate amount of bonding to cover. But there are other provisions in the Environmental Management Act that do give us the ability to pursue owners who create a mess that requires remediation or in some way fail to have posted enough security to cover the costs of decommissioning and closure. Included in that is the ability to pursue previous owners for cost recovery.
[S. Chant in the chair.]
There will likely be circumstances, as there was in Neucel, or there could be, where it’s impossible to pursue that. That is why we will want to ensure the bonding or security that is put up under the new legislation is adequate to cover the expected risk.
Can I claim that it will be perfect? I wish I could, but it would be foolhardy to do that.
Certainly, we are tightening it up. We are looking very clearly at the existing Environmental Management Act, the amendments that were done as part of phase 1 and the future amendments that will be done as phase 2 of the public interest bonding strategy to protect the taxpayer and the government from picking up costs which simply should not be picked up by anyone but the responsible people.
S. Furstenau: Speaking of messes, can the minister talk about what action his ministry has taken to address the harmful environmental and health-related impacts of ongoing shipbreaking in Baynes Sound?
Hon. G. Heyman: First of all, the MLA for the area, who is also the Minister of Energy, Mines and Low Carbon Innovation, has been part of meeting with concerned citizens of Baynes Sound, discussing the issue with them, participating in public forums. Staff from my ministry have attended and been part of public meetings.
As the member knows, much of the responsibility and jurisdiction is federal, whether it’s Transport Canada or the Canadian Coast Guard. Quite frankly, we have been underwhelmed by their actions and responsibility to date. The Minister of Water, Land and Resource Stewardship and I both sent a fairly terse letter to the responsible ministers urging them to be more rigorous in protecting the public interest and the jurisdiction that is theirs, not ours.
Where we do have jurisdiction…. We have made numerous site visits in response to complaints from citizens. We have done the usual escalation of information orders, administrative penalties. On March 14, we issued a pollution abatement order which replaced the January 2023 information order.
The pollution abatement order requires Deep Water Recovery — I think that is the name of the company — to immediately cease the release and discharge of effluent with copper, lead, zinc concentrations above B.C. water quality guideline levels to the environment.
Have a qualified professional complete a site activity and discharge identification update report to assess site activities and identify any potential contaminant sources and additional effluent discharge points.
Complete an effluent sampling and management plan — the sampling component will replace the previous information order requirements — which will include actions proposed to eliminate the discharge of copper, lead and zinc in concentrations greater than the B.C. water quality guidelines to the environment.
Continue sampling as previously required by the information order. Plus, sample any new discharge locations and contaminants identified.
On February 16, Water, Land and Resource Stewardship issued a notice to cease — no further vessels or barges, for storage or for transit, permitted within the lease area — to Deep Water Recovery.
As I mentioned, we’re urging the federal government to do their job. We take the issue seriously. It has been frustrating, particularly frustrating for the residents of the area. It has our attention, and we are working to remove the risk to the sound.
As the member also knows…. The regional district, I believe, has challenged the use of the area as a violation of zoning, and that is proceeding through the system.
S. Furstenau: Thanks to the minister for that.
I think the kind of nuance here…. I’m having flashbacks to 2014-15. We’re going to write another letter to that company that’s polluting.
Two questions to follow up.
One, this is an activity that is recognized as being one of the most polluting things that can be done: shipbreaking, dismantling ships. Does the minister recognize that the provincial government has a job of building a framework for regulating this industry if it is taking hold on the shores and beaches in British Columbia?
Two, the cease order from February 16 from Water, Land and Resource Stewardship…. Is the minister aware of whether that is a cease for all of time? Is that cease from this point, no more ships can be brought into Baynes Sound?
Hon. G. Heyman: As far as I know, the order from WLRS is not time-limited, but it pertains to the lease area that is under WLRS jurisdiction.
With respect to general regulation of shipbreaking, the federal government claims to be developing a framework for that. They asked some questions of the provincial government about our interest in getting involved in that. We have since heard nothing from them, to some frustration. It is, I think, difficult for us to develop regulations and controls over that industry without doing it in conjunction with the federal government, but WLRS and my ministry are looking at what tools are available to us.
Under current legislation in this ministry, the Environmental Management Act, we are limited to regulating pollution discharges from vessels, not the activity itself. Again, I guess the short answer is that it is difficult to develop that regulatory framework without a willing partner in the federal government. To the extent that there are constitutional or jurisdictional options available to our government, we are discussing them and looking at them.
S. Furstenau: Just one last question on this topic. I note a Comox Valley Record article from March 27, 2024: “Deep Water Recovery was ordered to immediately cease discharge of waste that has above-regulation levels of copper, lead and zinc.” That is what the minister indicated. “By March 29, the company must submit a report detailing all activities on site that would contribute to pollution.”
Did the ministry get that report on March 29?
Hon. G. Heyman: Deep Water Recovery is delinquent in meeting the timelines, and the decision-maker is reviewing the range of compliance enforcement options available. That will be public when it’s taken.
S. Furstenau: Definite flashbacks to 2016.
I have just one question. I actually have a letter from the minister, before he was a minister, when he was with the Sierra Club, written to the CRD, raising concerns.
He indicated that he’d like to reassert the Sierra Club’s strong support for the CRD ban on the land application of biosolids. He raises the concern around biosolids, particularly at a time when the public is supportive of, and aware of, the importance of local food production. He indicated that the land application of biosolids seems to directly contradict the responsibility of the CRD to protect the region’s farmland, natural environment and public health. Here we are — how many years? — 13 years later.
My question: since establishing the working group to examine B.C.’s biosolids in 2015, what action has the ministry taken to monitor the effects of sewage sludge–dumping on land in the province, including agricultural land, and the potential resulting health effects to British Columbians from the dumping of biosolids on agricultural land, particularly from PFAS?
Hon. G. Heyman: First of all, the member referred to sludge, and we don’t authorize land application of sludge. Class A biosolids are authorized for land application, but we also recognize we’re responsible for the Organic Matter Recycling Regulation.
The problem with landfilling biosolids is they result in the release of greenhouse gases, which creates a whole other set of problems, as we discussed earlier. We are trying to find a method of safely handling biosolids or finding beneficial uses for biosolids. Sometimes they’re incinerated, for instance, in cement kilns in Metro Vancouver, but that has not been sufficient in the case of the capital regional district of handling all of their biosolids all of the time.
We know that the Organic Matter Recycling Regulation needs to be updated and modernized with respect to new information. We need to adopt more protective metal standards to build in engagement processes that align with the Declaration on the Rights of Indigenous Peoples Act and to support implementation of a range of things that may be found in waste that are covered by other regulations.
Updates to the regulation will enable a director to require sampling of biosolids for contaminants of emerging concern, such as per- and polyfluoroalkalized substances, PFAS, or microplastics. That work is being undertaken, and we’re in the drafting phase.
S. Furstenau: Thanks for that, Minister. I think just one last question, and then I’ll turn it over to my colleague.
Does the minister still have concerns about biosolids being applied to agricultural land?
Hon. G. Heyman: I will say that since the time I wrote the letter, as well as many, many discussions that I’ve had with staff in the ministry around the issue since I became Minister, I have more information. Part of the information I talked about earlier, which is we want to prevent greenhouse gases wherever possible.
I think there are some beneficial uses for biosolids, but I think application to agricultural land is not something that is promoted by my ministry. We think there are other ways to deal with biosolids, because whether we like it or not, we have them. They’re turned into class A biosolids.
We’re trying to update the Organic Matter Recycling Regulation to address many of the issues of emerging concern that many citizen groups and regional districts have raised, and we will try to find the best way to deal with it without exposing people’s food supply.
A. Walker: I just want to continue on the line of questioning related to the challenges in Baynes Sound. Obviously, Baynes Sound represents one of the most significant shellfish regions of our province. It’s hugely, in my community, hugely important.
The minister said this was primarily a federal responsibility, and he mentioned some of the local government actions that are taking place, but it’s my understanding that under the Environmental Management Act, this is a provincial responsibility. On this foreshore, where this lease is taking place, this discharge of these poisonous, toxic chemicals — the copper, the lead, the zinc — is a provincial responsibility.
The minister stated that in the March 15 order that was issued by the province, there was a requirement to have certain inspections or certain reports produced by March 29.
With this March 15 order, there was a requirement to immediately cease the discharge of these toxic chemicals into the soil, which then is obviously getting into Baynes Sound. Can the minister confirm or deny whether that immediate order has been actually taken into effect?
Hon. G. Heyman: As I said earlier, the system is set up to have regular reports from the qualified professional, which will inform our knowledge about whether pollution is taking place or not. There have been some exceedances. The company claims that they’re caused by other activities or sources, and we need that report to determine what the fact of the matter is.
Obviously, we know the qualified professional has been working. We don’t know the reason we don’t have the report, but they are out of compliance by not filing it on that action alone. The statutory decision-maker is addressing that, or preparing to address that matter, with compliance and enforcement action.
A. Walker: The challenge is that the minister was aware of these contaminants in 2022. There were discharged pools that were then released into the ocean in 2022. The province is aware of that. An order was issued two weeks ago. Yet again, the question was: is the minister aware whether this discharge is continuing? Yes or no?
Hon. G. Heyman: Again, to the member, I hope I was clear. We are waiting for the report to determine whether that pollution is continuing, and we are taking action to get that report as soon as possible.
A. Walker: Taking action for two years on an issue that has potentially contaminated the most valuable shellfish site in the entire province is, in my mind, completely unacceptable, and to a lot of the residents in and around that area and all around the province, it is very frustrating to hear that two weeks after an immediate cease-and-desist order was issued, this province has no idea whether this discharge is continuing.
I’ll continue. I guess I’ll provide an opportunity for the minister, recognizing that this is an environmental issue, that the minister is, in that responsibility, shipbreaking, maybe, as far as regulating. Shipbreaking, broadly, may be a federal responsibility. I’m not sure. Is there anything that’s being done right now in the ministry to bolster the regulatory framework to ensure that this type of activity doesn’t continue?
Hon. G. Heyman: The member asserted we were aware of pollution since the first order was written or pollution being discharged. The fact of the matter is that when there was water running off, we went and measured for pollutants, and there wasn’t any at the time. Since that time, there has been no water to measure, so we don’t know for sure.
We know there’s a potential for pollution, and we know it’s important to have regular monitoring. But many times, when we have gone out to measure, we have not found that pollution.
In terms of regulating in general, we are working with WLRS to close any regulatory gaps that are within our jurisdictions and force the mechanisms we have in place to protect the public interest in Baynes Sound.
It will require cooperation from the federal government, which is why the Minister of Water, Land and Resource Stewardship and I wrote the letter to the federal government and why we will follow up on that letter and essentially urge them to make this a matter of urgency to work with us to ensure that we don’t have activities that no one authorized in that particular area taking place.
A. Walker: I guess the concern I have is the minister says there were no contaminants measured, yet the issuance that was provided to Deep Water Recovery specifically states that the information that’s required, originally January 23, 2023, reported the exceedance of turbidity, total solids, total copper, total iron, total zinc and/or benzodiazepines in some discharge at every sampling event conducted to date.
I find it challenging that the minister is stating one thing, yet the issuance of a report to this property owner is very different. I’ll move along though.
If this property owner walks away from this foreshore lease, what tools does this province have to ensure that that site is fully remediated?
Hon. G. Heyman: The member referenced exceedances that gave rise to the first order, which were obviously exceedances prior to the order being written. We attended the site — ministry staff attended the site — on a number of occasions. Many of the times that we attended the site, there was no measurable pollution. That was partly due to the absence of water runoff in which we could take measurements. Also, some pollutants had nothing to do with shipbreaking.
To the second part of the question, “What happens if Deep Water Recovery abandons the site and leaves pollution that needs to be cleaned up and remediated,” we will pursue deep-water recovery with the tools available under the Environmental Management Act.
A. Walker: Talking about neighbouring pollutants which may be the source of some of these challenges, right next to this site or near to this site is a large coal hill, a remnant of the coal activity, the mining activity, of Union Bay.
There’s been considerable work — a lot of discussion but some work — to remediate that site, and I’m just wondering if there are any updates as far as the provincial components of that as far as work that’s been completed and work that’s yet to be done on this site.
Hon. G. Heyman: We’re not aware of specific remediation activities or the state of them at the mine site, because that’s not under the jurisdiction of the ministry, but we’d be happy to get that information from EMLI, WLRS or both, if they’re both involved, and pass it on to the member.
A. Walker: I’ll follow up with…. They’re both yet to come, so I can certainly follow up with both those ministries as well. We have a legacy on many sites across the province of some of these mining activities, and to get those resolved is incredibly important.
I’ll shift to some of the questions I have more specific to climate change. Is the minister able to provide — I asked this question in question period some time back — the estimated emissions that are to be anticipated from LNG Canada once it’s operationalized, the Trans Mountain pipeline as well as the Coastal GasLink pipeline?
Hon. G. Heyman: The annual emissions for LNG Canada phase 1 are 2.1 megatonnes at the facility and 1.35 megatonnes upstream and midstream, which would be extraction and transmission.
A. Walker: That’s great. So that’s upstream as far as LNG. There’s still the Trans Mountain pipeline. I’m not sure if that pipeline is electrified or how that’s powered.
What are the emissions to be anticipated through that pipeline, both operationally as well as the bunkering of fuel for the ships?
Hon. G. Heyman: The member referenced Trans Mountain, which is a diluted bitumen pipeline that runs from Alberta to Metro Vancouver. I’m not sure if the member was referring to that pipeline or referring to Coastal GasLink, which is the gas pipeline headed to Kitimat.
A. Walker: Trans Mountain, for sure, to connect for bitumen. I’m not sure how that’s powered, but I’m sure that those ships are to be fueled with bunker fuel or…. I’m not sure what they’re fueled with. But I’m just wondering if the minister has any projections as far as what the greenhouse gas emission targets will be for that particular project once it’s operationalized.
Hon. G. Heyman: We don’t regulate Trans Mountain, but the public information available is 0.4 megatonnes for the pipeline and the bunkering facility.
A. Walker: Perfect. I appreciate that.
Now, LNG Canada, of course, has got a discount on their carbon tax. Just some back of the envelope: 2.1 megatonnes of emissions, at $170 per tonne, subtract down to 30…. It looks like they’re going to get a subsidy of about $300 million a year. Is that correct?
Hon. G. Heyman: The premise the member bases the question on is that LNG Canada got a special deal for phase 1. They did not. What they got was a commitment that they would be subject to the same carbon tax rules as all heavy industry, which was made up of the incentive payment.
This, first of all, means that they would pay the first $30 of the carbon tax. After that, they would be eligible for an exemption of up to 100 percent of the amount over 30, as long as they met and continued to meet the benchmarks for best in class.
That’s available to all heavy industry, and it didn’t guarantee them that exemption or 100 percent exemption in perpetuity. It was as long as they exceeded the benchmarks for world-leading facilities in their particular sector or industry on an ongoing basis. Those benchmarks, of course, would be subject to change.
A. Walker: So 2.1 megatonnes of emissions is certainly maybe not world-leading, but as far as an industrial project, that’s a heck of a lot of emissions. While families are now paying more and more carbon tax, to see these large industrial, whether it’s LNG Canada or other industrial operators paying $30 a tonne where we will be paying $170 a tonne by 2030 doesn’t sit well with many British Columbians.
That was the reason for that question. I know there’s a GHD inventory up to 2021. Obviously, there’s a delay in some of the reporting periods.
Could the minister provide the total emissions profiles for British Columbia for 2022 and 2023?
Hon. G. Heyman: The exact profile depends on data from the federal government which has yet to be provided for 2022 and 2023. The last year for which we had it was 2021, and that was 62 megatonnes. But the climate change accountability report requires us to project forward, and we do that in the climate change accountability report for 2022.
We usually do that as a range because we await the federal data. For 2022, it’s 61.6 to 64.6 megatonnes, and 2023 is 60.1 to 63.3.
A. Walker: So it looks as though potentially 2022 is above the 62 megatonnes we saw in 2021, and for 2023, we will see. Are there any internal numbers that the minister has available that are preliminary or to estimate in a more narrow range than this 5 percent threshold that has been provided?
Hon. G. Heyman: No. We provide a range because we await the federal data. We depend on the federal data for an accurate number. The federal government regularly changes some of the parameters of their emission accounting, and we’re just stuck with that. So we wait for the data and report it accurately and then try to do a reasonable projection range, going forward.
A. Walker: I appreciate that. If the province is unaware of what the emissions are in B.C. two years out, it makes it certainly difficult to plan and measure success. But if that’s the framework that we live in provincially, then I guess that’s what we have to live with.
The last question is on coal exports. I asked the question in question period in November of last year, and the minister stated “the member should know that coal exports from British Columbia are metallurgical coal, among the least carbon-intensive coal in the world. It is used to make steel and things like wind turbines and many other facets of the clean economy.”
We have seen since that that is not true and that a significant amount of the coal being exported through the Port of Vancouver and the Port of Prince Rupert is indeed not metallurgical coal but thermal coal. So the question to the minister is: is the minister aware of how much coal is being exported in B.C. as of 2023? How much of that is thermal, and how much of that is metallurgical?
Hon. G. Heyman: When I answered the member’s question in the House, I was referring to coal that was sourced in British Columbia, which is metallurgical. The coal that goes through the Port of Vancouver, that is thermal coal, is coal produced in the United States that transits through Canada to the Port of Vancouver. That is federally regulated. We don’t have the jurisdiction to regulate it in any way.
The member was not elected at the time but may recall that, I believe, in 2018 we went to the Supreme Court of Canada to try to regulate the transportation of diluted bitumen from Alberta through British Columbia to protect British Columbians’ interests, and we were told by the Supreme Court that we had overreached our constitutional jurisdiction and could go no further. That would also apply to regulation of thermal coal from the United States.
In 2020, 25.1 million tonnes of metallurgical coal was exported from British Columbia. In 2019, it was higher than that. It was 30 million tonnes.
There’s probably a figure for thermal coal in the port, but I don’t have it at hand because we don’t produce it or regulate it. We could find it, but we’d find it by googling, which the member can also do or ask the Minister of Energy, Mines and Low Carbon Innovation, who may well be in the same position as I am today.
A. Walker: I do have the Port of Vancouver spreadsheet in front of me, but it was about clarifying a concern that I had and that others had followed up with me on to clarify. I appreciate that the minister’s had the opportunity to correct that on the record.
I have one point of clarity on another question, and then I’ll cede my time to the empty chairs beside me. The 1.3 megatonnes of upstream emissions projected from LNG Canada — so this is the pipeline and other impacts: are those all new emissions, or is that based on some existing activity that already takes place in British Columbia?
Hon. G. Heyman: They would be additional emissions to gas that is already being extracted, or we wouldn’t have included it.
A. Walker: Thank you to the minister and the staff. This has been very useful for me, and I appreciate having the opportunity.
The Chair: Seeing no further questions, I ask the minister if they would like to make any closing remarks.
Hon. G. Heyman: Yes. I would like to thank members from two other parties who have come in with questions that are expressing concerns of the citizens they represent. We haven’t always agreed on the conclusions, and sometimes the questions have looked a lot more like speeches, but I appreciate the issues raised and the opportunity to respond.
I want to thank staff from B.C. Parks, from the climate action secretariat, from my deputy minister, from the environmental assessment office, who have been on standby, from the environmental protection division and other divisions of the ministry for their support of this work, doing a stellar job with the resources they have to protect British Columbians’ interests, whether it’s to do with climate, promoting recreation, preventing environmental pollution or regulating large industrial projects.
It’s been a pleasure over many years to work with these people. I particularly appreciate their support over the 2½ days of estimates questioning that we’ve had interrupted by a spring break.
Nonetheless, it’s a significant amount of time and all the preparation work they put into gathering material that could be used to answer any range of questions, some of which came up, some of which didn’t but all of which are important.
Vote 24: ministry operations, $188,053,000 — approved.
Vote 25: environmental assessment office, $17,074,000 — approved.
Hon. G. Heyman: Hon. Chair, I move that the committee rise and report resolutions and completion and ask leave to sit again.
Motion approved.
The Chair: Thank you, Members. This committee now stands adjourned.
The committee rose at 5:56 p.m.