Mr. Speaker, it is a pleasure to rise today. I would like to wish everyone a happy Groundhog Day. I am kind of disappointed that you do not have your Wiarton Willie tie on today, Mr. Speaker, but I do.

I would like to thank the member for Sydney—Victoria for his motion. I know my colleague across the way as a fellow farmer and someone who cares for agriculture. I am a little surprised that he brought something forward in a motion and not a private member's bill. However, I am happy to be able to speak to it.

I rise today to outline the critical role the rail sector plays in Canada and to highlight the importance of the rail transportation system to Canada's overall economic success. I know that all members of the House support our efforts to ensure that the system is working effectively for Canadians.

Canada's railways, led by Canadian National, Canadian Pacific, and a number of short lines, are vital to our success as a global economic competitor, as a partner in the North American economy, and as a community that stretches from coast to coast to coast.

As we know, the first trans-Canada rail system was completed on November 7, 1885. It was a system that was central to the development of our country then, and its importance has only increased over time. Today we have one of the largest rail networks in the world, with more than 46,000 kilometres of track. Canadians and Canadian businesses depend on rail to transport goods to market efficiently and safely, and move goods they do. In 2012, our railways moved 337 million tonnes of goods.

In particular, railways play a vital role in moving our bulk commodities, such as minerals, oil and gas, agricultural goods, and forest products, to locations across North America and to port positions for export overseas.

The railways play an equally important role in moving imported goods, on which Canadians and Canadian businesses rely, from ports in B.C., Halifax, and Montreal to various locations across Canada. It is because of all of this that we must ensure that the rail system in Canada continues to operate as efficiently, effectively, and reliably as possible.

Allow me to provide members with some specifics. In 2013, Canadian railways moved 16.4% of Canada's exports and 8.5% of its imports, when measured by value. This includes $30 billion in automobiles, $10.6 billion in chemical products, $9.5 billion in forest products, $8.2 billion in metals, and $3.5 billion in agriculture and food products.

While the system works effectively most of the time, situations do arise, as they do in any industry, that require prompt and effective government intervention. In that regard, last winter, the government took decisive action to respond to rail transportation challenges that emerged, particularly on the prairies. We did this in support of farmers and to address the impact these challenges were having on our reputation as a global supplier of grain and on our economy overall. We all know that there were a number of factors that led to that decision last year, including one of the worst winters in memory.

The actions the government took required railways to move minimum amounts of grain, ensured that shippers in Alberta, Saskatchewan, and Manitoba had competitive rail transportation options, better-defined operational terms in service level agreements, allowed shippers to use the level of service provision in the Canada Transportation Act to seek compensation for any expenses they incurred as a result of the railways' failure to meet their service obligations, and required railways to provide additional information to Transport Canada to enhance monitoring of the rail-based supply chain. As a result, I am pleased to report to the House that this winter, the transportation of grain is progressing well.

This government understands that the key to good transportation policy is to understand emerging trends and to respond appropriately. We have taken action in recent years to improve competitiveness and to expand transparency in the rail transportation system. For example, the Fair Rail Freight Service Act, which received Royal Assent on June 26, 2013, creates a strong incentive for shippers and railways to negotiate service agreements commercially.

Likewise, our enhancements to the grain monitoring program and our enhanced support for supply chain stakeholders' collaboration were designed to improve supply chain performance over the longer term.

As the Minister of Transport has said, Canada's transportation system is crucial for our government's goals to create jobs, promote growth, and support families and communities. I would like to take this opportunity to welcome the minister back to the House and wish her all the best of health.

While we know that the actions we have taken in recent years have strengthened our transportation system and our economic future, we have not rested on these past successes. Indeed, last June the Minister of Transport launched a statutory review of the Canada Transportation Act. She appointed six eminent Canadians to lead this arm's-length review, with the Hon. David L. Emerson leading the review and with five advisers representing a broad range of transportation perspectives and industry experience in various regions of the country ably supporting him. I understand that their work is well under way.

Let me reaffirm that our government regularly reviews its policies and regulations to ensure they serve Canada's current and future needs.

This review provides us with a unique opportunity to consider how the national transportation system can best be leveraged to support Canada's continuing economic growth. It reaffirms the government's commitment to meeting the transportation challenges and opportunities of the next decade in a sustainable manner.

The chair will be guided by the terms of reference established by the minister, which determine the scope for the review, including provisions of the act that are relevant to the transportation of grain by rail and more broadly to the rail-based supply chain for all commodities. This will take into account the broader goal of a commercially based, market-driven multi-modal transportation system that delivers the best possible service in support of economic growth and prosperity.

The review panel's work, which will involve engagement and advice from all interested parties and produce a report for the Minister of Transport by the end of the year, will play an important role in informing any government action to further strengthen the safety, efficiency, and competitiveness of Canada's transportation system.

This is a valuable process, one that we do not want to pre-empt or prejudge. I think it is important to underscore that the panel's work will benefit from extensive input from all interested stakeholders, and we are confident that it will strike the right balance between the needs of the users of the transportation system and those of the providers, while striving to support the broad goals of a safe, efficient, competitive, and sustainable transportation system in Canada.

Let me repeat that this government has taken decisive action to respond to challenges in the transportation system in the past, including a series of measures just months ago that are proving effective in dealing with recent challenges in the grain transportation system. Let me also assure the House that our government will continue to take whatever action is necessary to respond to challenges and support an effective transportation system in whatever form is most appropriate—legislation, collaboration, or any other means that produces results.

We remain fully committed to ensuring that the transportation system serves the needs of Canadians and fully supports the economy for the benefit of all Canadians.

In closing, I want to thank the member for Sydney—Victoria. As I said earlier, I know he sincerely supports anything that benefits agriculture, but at the same time I have to ask him to recognize the good work that has been done in the agriculture industry, which we both have been involved in for years. It changes and evolves all the time. This government has to do the best that we can to change with that evolution. I think our record speaks for itself. I will continue to work with him and other members of the committee in the future, and I can stand here and say that the minister will as well.

Larry Miller

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