New week, new leaf

From: POLITICO Ottawa Playbook - Monday Feb 06,2023 11:00 am

Feb 06, 2023

By Maura Forrest, Joseph Gedeon and Zi-Ann Lum

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Thanks for reading Ottawa Playbook. I’m your host, Maura Forrest, with Joseph Gedeon and Zi-Ann Lum.Today, we do a post-mortem on a week the Liberals might prefer to forget. Also, a Canadian delegation is headed stateside. And PIERRE GRATTON gets frank about critical minerals.

DRIVING THE DAY

Justin Trudeau attends a summit.

Prime Minister Justin Trudeau | Sean Kilpatrick/The Canadian Press via AP Photo

TAKE TWO —It was not, perhaps, the optimal first week back for the Liberals. After Monday’s Question Period, Globe and Mail columnist CAMPBELL CLARK opined that Prime Minister JUSTIN TRUDEAU’s ministers “appeared listless, delivering rote answers with low energy.” That was probably the high point of the week for the government.

— On Tuesday, the House of Commons ethics committee voted to study International Trade Minister MARY NG’s conflict-of-interest violation, ensuring that controversy won’t die anytime soon.

— On Wednesday, another committee grilled DOMINIC BARTON about federal contracts awarded to McKinsey & Company. This afternoon, NDP MP GORD JOHNS will attempt to expand the committee’s study to include contracts doled out to a number of other companies, including Deloitte and KPMG.

— On Thursday, Justice Minister DAVID LAMETTI tabled legislation to delay the expansion of medical assistance in dying to those suffering only from mental illness for another year. Lametti had previously insisted the expansion would go ahead this March — until, right before the holidays, he did an about-face.

— On Friday, the Liberals withdrew controversial amendments to their firearms bill, C-21, which had managed to unite political parties, gun enthusiasts, hunters and Indigenous groups in opposition. Conservative Leader PIERRE POILIEVRE called it a “humiliating climb-down.”

— All of this was partly overshadowed by the fresh controversy of the week: Trudeau’s appointment of AMIRA ELGHAWABY as Canada’s special representative on combating Islamophobia, which Toronto Star columnist CHANTAL HÉBERT has likened to throwing “a political grenade into his Quebec trenches.”

And as if to top it all off, a new Abacus Data poll showed the Conservatives with an eight-point lead over the Liberals — the largest the firm has measured since the 2015 election.

Oh, and let’s not forget about MARGARET ATWOOD slamming Bill C-11 or the Chinese spy balloon.

— New week, new leaf: For anyone claiming this government is looking tired and long in the tooth, last week’s headlines provided ample, shall we say, ammunition. But this week brings with it a chance to shift the narrative, with attention turning to Tuesday’s first ministers’ meeting on health care.

Trudeau has made clear not to expect a deal to be signed Tuesday on increasing health care transfers to the provinces. But several premiers have been making optimistic noises about the offer Trudeau will put on the table this week, and are amenable to some of Ottawa’s conditions for more money, including better data sharing.

— If the friendly mood holds, this week could be considerably better for the Liberals than last. Then again, a week is a long time.

For more on what to expect on Tuesday, MIA RABSON and LAURA OSMAN of the Canadian Press have five things to know about the health care talks.

TODAY'S HIGHLIGHTS

— Prime Minister JUSTIN TRUDEAU is in “private meetings,” and will attend Question Period.

— Deputy Prime Minister CHRYSTIA FREELAND is in Windsor, Ont. to "visit a Canadian manufacturing and technology company with expertise in the automotive sector," per her schedule. She will hold a press conference at 2 p.m.

— Governor General MARY SIMON arrives in Helsinki for a five-day visit to Finland.

— Foreign Affairs Minister MÉLANIE JOLY is in Delhi, India today and tomorrow, where she will meet with her counterpart, Indian External Affairs Minister SUBRAHMANYAM JAISHANKAR. Canada’s Indo-Pacific strategy, released in November, made clear the government wants to expand trade with India, including by inking a trade agreement.

9 a.m. Immigration Minister SEAN FRASER will be in Scarborough, Ont., to announce support for Hong Kong residents in Canada.

11:30 a.m. International Development Minister HARJIT SAJJAN will kick off International Development Week with a discussion of education for displaced people with the Refugee Education Council in Vancouver.

11:30 a.m. NDP Leader JAGMEET SINGH will speak with reporters in Ottawa about health care solutions.

3:30 p.m. It’s Procurement Minister HELENA JACZEK’s turn in the hot seat at the House government operations committee as MPs continue their study of federal government contracts. Canada Infrastructure Bank CEO EHREN CORY is also slated to appear.

6:30 p.m. Public Safety Minister MARCO MENDICINO and RCMP Commissioner BRENDA LUCKI are witnesses at the special Canada-China committee. CSIS Director DAVID VIGNEAULT is also a witness.

For your radar

The United States Capitol is seen on Capitol Hill.

Capitol Hill | Anna Rose Layden/Getty Images

SNOWBIRDS — A Canadian delegation from the Canada-United States Inter-Parliamentary Group will start a nearly week-long trip to the “other” Hill in Washington D.C., later today.

The seven lawmakers headed stateside include MPs JOHN MCKAY, ANTHONY HOUSEFATHER, TOM KMIEC, SIMON-PIERRE SAVARD-TREMBLAY and PETER JULIAN.Senators MICHAEL MACDONALD and SCOTT TANNAS will also be on the trip.

McKay tells POLITICO they expect to discuss the border, trade, Ukraine and Russia, China and Taiwan, the prohibition on the purchase of foreign property and the USMCA.

“It’s an effort to make sure that Canada is in the realm of consciousness for active legislators and to deal with any concerns that we have or they might have,” McKay added.

It’s a big week in the U.S., with the new Congress rolling and President JOE BIDEN’s State of the Union address on Tuesday. Meetings with border state representatives and U.S. senators are also on the horizon. The schedule is still in the works, though Rep.BRIAN HIGGINS (D-N.Y.) is confirmed.

“From trade to tourism as well as President Biden’s upcoming visit to Canada, there is certainly a lot to cover,” Higgins tells POLITICO.

HALLWAY CONVERSATION

SITUATION: CRITICAL — No one was talking about critical minerals in Canada when PIERRE GRATTON settled into his job just over a decade ago, in 2011.

Despite the positive words showering the industry now, the president and CEO of the Mining Association of Canada says the risks are similar to what they were when he started, “only it’s gotten worse.”

Canada is facing a situation of declining critical mineral reserves, Gratton told Playbook during an interview at the association’s boardroom in downtown Ottawa.

Critical minerals are poised to be a top agenda item for President JOE BIDEN’s first in-person visit to Canada in March. Gratton spoke with Playbook about the tough realities facing mineral mining in Canada. Read the full transcript here for Pro s.

This interview excerpt has been condensed and edited for clarity.

What are the risks that Canada faces?

We're not producing as much as we were. You go back to the mid-2000s, we were the No. 2 producer of nickel in the world. We're now No. 5. Who's the No. 3 producer? Russia. Can we even count on obtaining nickel from Russia?

We, Canada, the Europeans, the Americans, want to lessen our dependence on China as a supplier of these metals. We are doing nothing to remove or lessen our reliance if we have to continue to import materials from China to support our auto industry. We need to be able to increase the production of minerals and metals in Canada.

We certainly have the capacity to do so. We're the second largest landmass in the world.

An abundance of minerals and metals from coast to coast to coast. We have the technology, we have the skilled labor, we have the industrial footprint. We’re not just a supplier of raw materials: we have smelters; we have refineries; we have semi manufacturing. We already have an existing value chain for battery metals that is the envy of many countries around the world. But if we don't increase the input, all of that starts to fall apart.

That's the risk we face. And then, without that, kiss goodbye to your auto sector. And then kiss goodbye to one of the pillars of the Canadian economy. It's a huge risk. We could find ourselves importing electric cars from China.

What are you hoping will come out of President Biden’s visit to Canada in March?

More clarity about how the Americans are going to help support critical mineral development in Canada. They've started to facilitate investments in early exploration. Are there going to be offtake agreements with companies? On mineral production?

The working relationship between Canada and the U.S. on minerals is ongoing — and deeper and more intense than in my entire career. I never talked to the Americans until 2018. It never happened. There was sort of no need to. And now, we hear from the Embassy and the State Department on a regular basis. They want to know what's going on in Canada.

The pressure from the Americans — but also from the Germans and the Koreans and the Japanese — on Canada is one of the most helpful things we have right now. It's the one thing that is going to lead the government to think really hard about what they need to do.

PAPER TRAIL

this is climate change

Extreme weather | Left to right: Josh O'Connor/USFWS, Martin St-Amant/Wikipedia, Don Becker/USGS

CLIMATE CONCERNS — As the federal government was preparing its National Adaptation Strategy last year, it commissioned a survey to get a sense of whether Canadians understand the impacts of climate change, and whether they support more funding to deal with those impacts.

The survey, conducted by Leger last summer for C$56,500 and recently made public, found that 70 percent of respondents believe climate change impacts have become more severe. The same number believe climate change will get more serious in the next five or 10 years.

Overall, 79 percent of respondents were concerned about climate change and its impacts. The results show that women are more worried than men, as are residents of Quebec and British Columbia.

Leger used their panel for the survey, so no margin of error can be calculated.

— Here are some other results that stood out:

81 — The percentage of respondents who’ve experienced a “climate-related event,” heatwaves being most common.

52 — The percentage of respondents who feel “helpless” in the face of climate change.

1 in 5 — The number of respondents who said they’re not close enough to people in their community to ask for a favor.

5 — The percentage of respondents who’d heard of the National Adaptation Strategy. But this was before it had been released. The number is surely higher now, right? Right?

MEDIA ROOM

— “Rising inflation and a mandatory back-to-the-office order threatens to unleash a winter of discontent in Canada’s public service, marked by chaos, labor unrest and a possible strike,” KATHRYN MAY writes for Policy Options.

— Why Chinese companies are investing billions in Mexico. The NYT’s PETER S. GOODMAN reports from Mexico and Texas.

— POLITICO’s DAVID SIDERS launches “road trip,” a series en route to the 2024 election. First stop: The state where the GOP would rather lose than change.

— Canadian police forces’ condemnations of the killing of TYRE NICHOLS amount to a cynical bit of PR, ERICA IFILL writes in the Globe.

— The Herle Burly pod serves up a timely listen on health care — where it should and shouldn’t go — featuring DANIELLE MARTIN and professor GREG MARCHILDON.

— And Heritage Minister PABLO RODRIGUEZ tells the Globe and Mail’s MARIE WOOLF about his family’s narrow escape from Argentina.

PROZONE

For POLITICO Pro s, here’s our latest policy newsletter from ZI-ANN LUM: Canada’s minerals situation: Critical.

Other headlines for Pro readers:

— Global minimum tax offers a shield — but how big of one?

— The U.S. trails Europe in taking on tech giants.

— Industry's critical mineral problem.

— Crypto's new challenge: The community bank lobby.

— California flexes on water rights.

PLAYBOOKERS

Birthdays: Celebrating today, Ontario Chamber of Commerce CEO ROCCO ROSSI, ALYKHAN VELSHI and former MP ÈVE-MARY THAÏ THI LAC.

Spotted: At the top of Vancouver Magazine’s Power 50 List: THE CLIMATE CRISIS. Also noted: B.C. Premier DAVID EBY, MST DEVELOPMENT CORPORATION, Vancouver Mayor KEN SIM,podcast host MO AMIR and B.C. United Leader KEVIN FALCON.

Former ambassador BRUCE HEYMAN, heading to Quebec from Chicago … Current ambassador DAVID COHEN with the leaders of Canada’s Green Party.

MICHELLE REMPEL GARNER on a much-delayed Air Canada flight west … STAN KUTCHER en route in the Ottawa airport … RANDY HOBACK with a zinger on tarmac delays … DAN VANDAL, in Fort McMurray with BRIAN JEAN (on Jean’s birthday).

KELSEY JOHNSON, at her “mugging” on Parliament Hill.

Quebec Premier FRANÇOIS LEGAULT, kicking off Carnaval.

Movers and shakers: There’s a mini-shuffle afoot among chiefs of staff to Cabinet ministers, Playbook has confirmed. According to the Hill Times’ ABBAS RANA, TARAS ZALUSKY is the new chief of staff to Defense Minister ANITA ANAND. As Playbook told you Friday, MIKE JONES is leaving as chief of staff to Public Safety Minister MARCO MENDICINO.

The NDP also announced a small critic shuffle on Friday. ALISTAIR MACGREGOR is the party’s new critic for “food price inflation.” House leader PETER JULIAN will take over from MacGregor as public safety critic. And RICHARD CANNINGS will take over from BRIAN MASSE as international trade critic.

Former Conservative MP LAWRENCE TOET has joined four other candidates seeking the Tory nomination in Portage—Lisgar, the seat recently vacated by CANDICE BERGEN, with more candidates expected in the coming weeks, per the Hill Times’ Rana.

DYLAN WHITE is NATO’s new head of press and media and deputy spokesperson.

OLIVIER CULLEN, ready for the next chapter(TBA).

Media mentions: Massey College is holding a book launch today for DUNCAN MCCUE’s Decolonizing Journalism.

Farewells: MP MARIE-FRANCE LALONDE dedicated her first member's statement of 2023 to LISA SÉGUIN. “After 33 years of her selfless service to the House, Lise is retiring … Thanks and merci.”

Also in the House, MP HEATH MACDONALD paid tribute to KIM MACDONALD, who started in the Malpeque constituency office in 2011 with then-MP WAYNE EASTER. “Kim was a very lively spirit in the office, with her quick wit and great sense of humor, keeping all of us on our toes and laughing, even during challenging times,” he said. She died Jan. 15 at the age of 52.

Got a document to share? A birthday coming up? Send it all our way.

On the Hill

— Find the latest House committee meetings here.

— Keep track of Senate committees here.

11 a.m. The House public accounts committee will host Auditor General KAREN HOGAN to study her office’s report about Covid-19 vaccines. Health Deputy Minister STEPHEN LUCAS, Chief Medical Advisor SUPRIYA SHARMA, Public Health Agency President HARPREET KOCHAR and the agency’s Covid-19 vaccine task force vice-president STEPHEN BRENT are on the witness list.

11 a.m. Prospectors and Developers Association of Canada executive director LISA MCDONALD and Oxfam Canada policy manager IAN THOMSON will be at the House international trade committee for MPs’ study of environmental and human rights considerations regarding Canadian mining firms abroad.

11 a.m. The House environment committee meets to take Bill S-5 through clause-by-clause consideration.

3:30 p.m. Procurement Minister HELENA JACZEK will be in the hot seat at the House operations committee studying consulting contracts awarded to McKinsey & Company. Canada Infrastructure Bank CEO EHREN CORY will also testify.

3:30 p.m. Indigenous Languages Commissioner RONALD IGNACE and Heritage Minister PABLO RODRIGUEZ will be at the House Indigenous and northern affairs committee meeting to continue their study of Indigenous languages.

3:30 p.m. The House justice committee will hear from social justice advocate MATTHEW BEHRENS and social demographer RANIA TFAILY, wife of HASSAN DIAB, as part of their study of extradition law reform.

3:30 p.m. The House veterans affairs committee will continue its study of a national strategy for veterans’ employment after service.

4 p.m. The Senate national security committee meets to study NATO’s role in the Arctic. Senators will hear from Canada’s permanent representative to NATO, DAVID ANGELL, and Canada’s military representative to NATO, Vice-Admiral SCOTT BISHOP.

4 p.m. The Senate human rights committee continues its study of Islamophobia in Canada with testimony from BARBARA PERRY, director of the Centre on Hate, Bias and Extremism at Ontario Tech University.

5 p.m. Official Languages Minister GINETTE PETITPAS TAYLOR is a witness at the Senate official languages committee to take questions about her department’s most recent annual report and issues related to Francophone immigration to minority communities.

6:30 p.m. Two grocery store executives will be at the House agriculture committee to answer questions about food price inflation.

— Behind closed doors: The House fisheries committee meets to discuss a draft report of their North Atlantic right whale study; the House heritage committee meets to review a draft report related to their study about improving basic working conditions for artists; the House industry committee meets to talk about two draft reports away from the public eye; the House status of women committee meets to review a draft report on the mental health of young women and girls.

TRIVIA

Friday’s answer: JEAN AUGUSTINE spearheaded the campaign — and introduced a motion in the House on Dec. 14, 1995 — to have February recognized as Black History Month in Canada.

“What a legacy she has left behind,” MP GREG FERGUS tells Playbook.

Props to KEVIN BOSCH, J.D.M. STEWART, SM LEDUC, LAURIE MACE, ALYSON FAIR, BRIAN KLUNDER, ROBERT MCDOUGALL, BRAM ABRAMSON, NANCI WAUGH, NICK MASCIANTONIO, GORDON RANDALL, GREG MACEACHERN, MARTIN CHAMPOUX and ANDRÉ BRISEBOIS.

Today’s question: This senator made history in 2018 and remains a champion of municipal politics: “It all starts there, from waste and recycling to snow removal, health and safety, the environment and climate issues.”

Send your answer to ottawaplaybook@politico.com

Playbook wouldn’t happen without: Luiza Ch. Savage and Sue Allan.

Want to grab the attention of movers and shakers on Parliament Hill? Want your brand in front of a key audience of Ottawa influencers? Playbook can help. Contact Jesse Shapiro to find out how: jshapiro@politico.com.

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