November 06, 2024 | Category: Published Articles

 

(Published by The Hill Times)

Balancing priorities: tackling Canada’s growing transportation challenges
As regulatory challenges mount, Minister Anand’s leadership could streamline Canada’s transportation sector for the future.

Canada’s transportation and logistics network, which serves as the backbone of our economy, is at a crossroads. Essential for trade, connecting supply chains, and maintaining national cohesion, the sector faces complex challenges, including regulatory bottlenecks, infrastructure delays, and capital needs. With these issues in mind, Minister Anita Anand’s recent appointment to head the transportation file—while continuing as president of the Treasury Board—offers a promising opportunity to strengthen Canada’s economy by enabling the transportation sector to thrive.

Anand’s dual roles could be invaluable. Her experience in regulatory reform and fiscal oversight can bring clarity and efficiency to a sector burdened by lengthy approvals and complicated processes. Her recent initiatives, extensive stakeholder consultations, and a renewed focus on cross-border regulatory co-operation with the United States underscore her commitment to driving productivity, and cutting red tape. A modernized approach could strengthen Canada’s global competitiveness.

Canada’s top transportation challenges

The Western Transportation Advisory Council’s (WESTAC) Compass 2024 Report highlights key challenges for the sector. Among the top challenges noted are the regulatory burden and delays in government decision-making. According to the report, 57 per cent of transportation leaders expressed dissatisfaction with Canada’s regulatory environment, citing that prolonged timelines hinder infrastructure projects and delay critical upgrades. This was the first time the government’s inability to make timely decisions emerged as a top challenge, signalling an urgent need for change.

Reducing Canada’s heavy regulatory burden is critical. The complex and prolonged approval processes for projects—coupled with interprovincial trade barriers—hamper growth and investment. With the Compass 2025 survey underway, we are eager to see whether regulatory concerns continue to dominate. 

Her leadership in regulatory co-operation further underscores her commitment to aligning policies for cross-border trade. The revival of the Canada-United States Regulatory Co-operation Council exemplifies her vision. During meetings with U.S. officials and business leaders in Chicago and Washington, D.C., Anand prioritized reducing red tape and minimizing unnecessary regulatory hurdles, a move aimed at easing the cost burden on businesses in both countries. 

I attended a Canada-U.S. Regulatory Cooperation roundtable hosted by Anand in Winnipeg earlier this year and was impressed by her dedication to engaging diverse stakeholders to identify complex challenges and seek innovative solutions. Her willingness to champion challenging issues suggests that she could be the determined leader that Canada’s transportation sector needs.

Anand’s regulatory expertise

As president of the Treasury Board, Anand has consistently focused on reducing regulatory barriers and improving productivity. In November 2023, she launched a public consultation to identify ways regulatory reform could strengthen Canada’s supply chains, and modernize trade networks. This consultation—part of the government’s Targeted Regulatory Reviews—gathered feedback to make regulatory processes more efficient and reflective of Canada’s current economic realities.

Aligning fiscal oversight with transportation priorities

Balancing her roles as president of the Treasury Board and minister of transport, Anand has a unique opportunity to bring about synergy between fiscal oversight and regulatory reform. With a leader who understands regulatory intricacies and the broader economic landscape, Canada could see streamlined approval timelines for transportation projects, and an emphasis on using funding initiatives like the National Trade Corridors Fund to move forward infrastructure projects of national significance and ultimately enhance Canada’s transportation resilience and global standing.

A future with potential

Canada’s transportation sector stands at a crossroads. We must lessen the regulatory overburden as it stifles growth and investment. With Anand’s track record in reform and focus on cutting unnecessary regulatory burdens, Canada’s transportation sector may finally achieve the efficiency and modernization it needs to support long-term economic growth. With Anand at the helm, Canada’s transportation sector can look forward to a brighter, more connected, and more competitive future.