No. H 172/07
For release September 12, 2007
OTTAWA — The Honourable Lawrence Cannon, Minister of Transport, Infrastructure and Communities, today announced the appointment of David Crombie as the federal representative and facilitator of discussions concerning the divestiture of the Port of Oshawa.
"Canada's New Government is helping to resolve the issues regarding the future of the Port of Oshawa," said Minister Cannon. "I am confident that Mr. Crombie will engage all parties involved to arrive at a negotiated solution that serves the interests of the port and the community."
Under its Port Divestiture Program, Transport Canada has been working with the City of Oshawa, the Oshawa Harbour Commission (OHC) and the commercial port users to find a way to divest the port that best meets the needs of all parties. The Minister has asked Mr. Crombie to work with all the interested parties to develop recommendations and submit a report within 90 days.
David Crombie is an Officer of the Order of Canada, and has been Mayor of Toronto, a Member of Parliament and a federal cabinet minister. He served as the first Chancellor of Ryerson Polytechnic University and has received honorary doctor of laws degrees from the University of Toronto and the University of Waterloo. A member of many community organizations, he is president and CEO of the Canadian Urban Institute, chair of Ontario Place Corporation, founding chair of the Waterfront Regeneration Trust and president of David Crombie & Associates Inc. He also serves as chair of the Advisory Council for the Nuclear Waste Management Organization.
The OHC currently manages the port and administers some of the port's Crown land. It is the only remaining Harbour Commission in Canada. Under the National Marine Policy approved in 1995, Transport Canada has the authority, through the Port Divestiture Program, to divest ownership interests in Canada's public ports and harbours.
A backgrounder with information on the Port Divestiture Program is attached.
-30-
Contacts:
Natalie Sarafian
Press Secretary
Office of the Minister of Transport,
Infrastructure and Communities, Ottawa
613-991-0700
Robin Browne
Communications
Transport Canada,Ottawa
613-993-0055
Transport Canada is online at www.tc.gc.ca. Subscribe to news releases and speeches at www.tc.gc.ca/listserv/ and keep up-to-date on the latest from Transport Canada.
This news release may be made available in alternative formats for persons with visual disabilities.
BACKGROUNDER
PORT DIVESTITURE PROGRAM
The 1995 National Marine Policy outlines the Government of Canada's plan to modernize Canada's marine transportation system.
The public port system supports the safe and efficient movement of vessels and cargo that is so important to many of Canada's regional economies. In its Port Divestiture Program, Transport Canada transfers the ownership and operation of regional/local ports and harbour beds to other federal departments, provincial governments, community organizations or local interests.
This transfer puts the ports in the hands of those who can make good decisions based on local needs, and results in a more effective and efficient port system with local accountability. The new owners have the same rights and obligations as any property owner and must obey all laws that apply to them.
As of March 31, 2007, 469 of the 549 sites identified at the start of the program (85 per cent) are no longer under Transport Canada's control. This has saved Canadian taxpayers more than $270 million. In Budget 2007, the Government of Canada extended the program until March 31, 2012.
Under the Port Divestiture Program, regional/local ports and harbour beds owned by Transport Canada are offered first to other Government of Canada departments and then to the provinces. If the province is not interested, Transport Canada then looks to local stakeholders, including municipalities, for expressions of interest. A public tender may be used if no expressions of interest are received.
A Port Divestiture Fund exists to make the transfer process easier for new owners. It provides funds for local interests to assume ownership and operate in local business conditions.
Under the National Marine Policy, most of Canada's ports were classified as regional/local. However, the policy also includes two other categories not covered by the Port Divestiture Program:
Canada Port Authorities (CPAs): These 19 ports are vital to domestic and international trade, financially self-sufficient and independently managed by boards of directors nominated by user groups and various orders of government. CPAs are governed by the Canada Marine Act, which enables them to operate in a more commercial, efficient and timely manner.
Remote ports: These 26 ports serve the basic transportation needs of isolated communities and rely on the presence of an existing Transport Canada wharf structure. Remote ports will continue to be operated by Transport Canada unless local groups express an interest in acquiring them.
While Transport Canada is transferring its property interests in regional/local ports, the Government of Canada still controls marine traffic. This means that no matter who owns the port, ships must obey all federal laws such as the Navigable Waters Protection Act and the Canada Shipping Act.
September 2007
