Debates of November 4, 2013 (day 1)
QUESTION 11-17(5): IMPACT OF DEH CHO BRIDGE ON YELLOWKNIFE FOOD PRICES
Thank you, Mr. Speaker. In early October 2013, Stats Canada released information that clearly showed that food prices rose by over 5 percent since the opening of the Deh Cho Bridge. In fact, in the last 10 months since the bridge opened, six out of those seven months saw steady increases in food prices.
It was only September that Stats Can showed food prices with a slight decrease of 2.3 percent. Many of us are scratching our heads why, not one anomaly and a sudden drop of the pattern.
Clearly, this pattern of activity raises concern on the exact impact the bridge has on commodity prices for Yellowknifers’ basic needs. My questions today are for the Minister of Transportation. We were continuously reminded by the previous Minister and the Department of Transportation that the bridge would have minimal effect on such thing as food prices.
Can the new Minister guarantee the department’s statement is indeed accurate today? Thank you.
Thank you, Mr. Dolynny. The Minister of Transportation, Mr. Beaulieu.
Mahsi cho, Mr. Speaker. Since the opening of the Deh Cho Bridge, food prices overall in Yellowknife have gone up by 2.1 percent. In the same time period when we compare it with the cost increases in Alberta, it’s 2.8; 2.9 in Saskatchewan; and 2.8 in Manitoba. So I don’t think the increases can be directly associated with the bridge. Some of it could be, but it’s not significantly higher, or in fact it’s not higher than anywhere else. Thank you.
Thank you. As the Minister is aware, I was a previous owner of a retail business here in Yellowknife and I can tell you that the costs of the bridge are significant. A medium-sized business here in Yellowknife could have costs of anywhere between $50,000 to $60,000 extra per year, and I don’t think that’s minimal.
How is the Transportation Minister making sure that trucking companies are passing the appropriate fare tolls to their end user? Thank you.
Thank you. The trucking industry is an unregulated industry, just like the airline industry is an unregulated industry. However, what we’re seeing is that with the Deh Cho Bridge, the competition is what’s going to bring the costs down. There hasn’t been a significant increase in other areas, either, in this time period. The cost of fuel has only gone up by 1.6 percent, gasoline by 0.3 percent, footwear by 1 percent and household furnishings by 0.4 percent, so it’s not significantly an increase that is a result of the bridge. Thank you.
Thank you. We’re clearly deflecting the answers to the question here, so let’s talk about the issues we can control. Is there an audit process to validate the workings of the toll collection system and is this Minister willing to report that to the House?
Thank you. Was the question is there an auto toll? I thought that’s what the question was. Yes? Auto toll?
Minister Beaulieu, I’ll let the Member stand up and ask the question again. Mr. Dolynny.
Thank you, Mr. Speaker. My question for the Minister was: Is there an audit process to validate the workings of the toll collection system, and if so, is the Minister willing to report that to the House? Thank you.
Thank you, Mr. Dolynny. Order! Mr. Beaulieu.
Thank you, Mr. Speaker. There was a lot of work done in the cost-benefit analysis before the bridge was completed to get some good baseline data. So my assumption is that there will be an audit and I’m assuming these numbers are from some form of an audit that was done on the cost of the various items. If more audits need to be done on this, I’m sure that the department is continuing to track for the purpose of determining if the bridge has put a heavy burden as far as cost goes on the items that are being sold in Yellowknife. Thank you.
Thank you, Mr. Beaulieu. Final, short supplementary, Mr. Dolynny.
Thank you, Mr. Speaker. It looks like we’re adding a checklist item for the Minister to do here and I’m looking forward to his response.
Is there a process to the audit of the bridge toll policies with users? How often are we reviewing these policies end users? Can the Minister bring that information to the House? Thank you.
Mr. Speaker, the Auditor General will audit the tolls and I can bring that information to the House. Thank you.