With a new government taking shape in Ottawa, organizations from every corner of the country and most parts of the political spectrum have been descending on the capital to introduce themselves to newly appointed ministers, to make the case for funding their causes or simply to advance their ideas.
Among those who came with ideas was Tom d'Aquino, chief executive officer of the Canadian Council of Chief Executives, who met with Prime Minister Stephen Harper in late February and brought with him a report titled From Bronze to Gold: A Blueprint for Canadian Leadership in a Transforming World.
The council distributed its report widely. Some 2,000 copies went to MPs, provincial premiers, senior civil servants, the media and others.
But there was no more important recipient than the prime minister because, as d'Aquino noted in an interview with Business Edge, federal leadership is required if Canada is to make the adjustments required to remain competitive in a rapidly changing global economy.
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| Tom d'Aquino |
"We have to wake up to the great economic tsunamis on their way from Asia," d'Aquino says. "Unless we work harder and get the afterburners going, there's no question that we'll drop from the G-8 to G-12, G-17 and maybe G-25."
In order to avoid that kind of slippage, and the declining standard of living that would come with it, Canadians in all walks of life must contribute to a more creative and competitive economy. But they can't be expected to act on their own.
"There has to be a government-led dialogue to prepare the country for the future," D'Aquino adds. "I would like to hear the prime minister say that, for the sake of our children and our communities, how do we prepare ourselves for life five or 10 years down the road?" D'Aquino and his team at the council have no shortage of ideas and they can be found in From Bronze to Gold. They make 10 recommendations aimed at strengthening Canada's ability to compete for people and investment, including necessary measures such as reducing taxation on investment and savings, and repairing the relationship between Canada and the United States.
The regulatory burden on business must be reduced. They note that, according to the Canadian Federation of Independent Business, companies spend an estimated $33 billion yearly trying to comply with government regulations. The council proposes that federal and provincial authorities look for guidance to the Netherlands, where the government has ordered each department to cut the costs to business by 25 per cent by 2007.
D'Aquino and the council recommend that the federal government develop a Canadian energy strategy - essentially a mix of tax and regulatory policy - that avoids the heavy-handed and interventionist approach of the Trudeau Liberals, yet ensures that supply keeps pace with growing demand while maintaining environmental standards.
The council's report ranges a long way from what might be considered a business agenda. D'Aquino says that access to quality education and lifelong learning is essential, but also that parents and employers must be able to assess the value of a diploma or a degree. Hence, provincial governments should take the lead in evaluating student and school performance and make the information widely available.
D'Aquino says Canada must maintain and even enhance its environmental advantage. He notes that this country enjoys a reputation internationally for clean air and water, attractive cities and beautiful scenery, all of which are invaluable assets for attracting investment. Therefore, Canadian companies should be making efforts to reduce pollution and governments should adopt policies that promote conservation and cut down on waste.
To date, though, one idea has generated more discussion than any of the others.
The council recommends that Ottawa turn over all GST revenue to the provinces and eliminate health and social transfers.
D'Aquino describes this proposal as "awesome in its simplicity" because revenue raised through the GST nearly matches that shifted to the provinces for health and social programs.
Such an institutional reform, he argues, would go a long way toward solving the fiscal imbalance, in which Ottawa is awash with surpluses while provinces and municipalities are saddled with obligations they can't fund. It would also curtail federal meddling in things such as health care, child care and municipal government, which are all areas of provincial jurisdiction, and would allow the national government to concentrate on core responsibilities, such as defence, international trade and border security.
The council's report is full of good ideas, but d'Aquino is sensible enough to know that it won't serve as a blueprint to solve all the nation's problems. What he really wants to do is start a national discussion, and convince our leaders to focus on the important issues of the day.
"The single most important responsibility of people in government is to prepare our citizens and our children for where they're going to be five or 10 years from now," he says.
As things stand, he doesn't see anyone on the federal political scene with a plan or a platform to do that.
(D'Arcy Jenish can be reached at jenish@businessedge.ca)







