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Business leaders say they have a blueprint for economic success. They want federal candidates to listen

Business leaders say they have a blueprint for economic success. They want federal candidates to listen

CBC11-04-2025

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With the yo-yoing threat of U.S. tariffs dominating business headlines, a business conference in Saskatchewan — the landlocked province historically known as the breadbasket of the world and also boasting oil, uranium and potash resources — featured a strong undercurrent of dissatisfaction with hurdles to getting products to market.
"Saskatchewan has what the world needs," was a commonly expressed sentiment at the Global Food, Fuel and Farm Summit held in Regina this past week, an event hosted by the Saskatchewan Chamber of Commerce. CBC attended as part of its national effort to ask Canadians what matters most to them in the federal election.
"I think we have a tremendous opportunity for us as Canadians," said Prabha Ramaswamy, CEO for the chamber, pointing to a rise of patriotism in recent weeks.
"I think it's been a defining moment for us, where as Canadians we're asking ourselves what our values are, and I think we have to build on the momentum, come together as Canadians and look at how we can strengthen our domestic economy."
What issue matters the most to you this federal election, and why? Share your personal stories with us at ask@cbc.ca.
Prairie innovation was highlighted at the conference, with attendees pointing to Saskatchewan-based work like incorporating artificial intelligence into engineering projects or turning biomass-derived carbon into lithium batteries.
However, those at the conference said they see the same barriers to doing business continually crop up, making them top of mind as industries consider what matters most in the next federal election.
Karen Churchill is the president and CEO of Ag-West Bio, a not-for-profit that invests in ag start-ups, and said she is most concerned with regulatory barriers such as requirements for projects to have greenhouse gas assessments and mitigation, costs borne by industry. The other big weight on her mind was whether Canada is ready to make big investments in infrastructure.
"We need to get our products to market. We need to actually invest in all the institutions, whether they be research institutions or basic roads, railways … [and] pipelines."
She's concerned there's a divide between western provinces and decision-makers in Ottawa.
"Here in the west, I think we just don't feel heard in the east," she said. "When you talk about pipelines, that's a huge disconnect also with the barriers to innovation where you see policies developed in the east not being very friendly to the west."
Ramaswamy said the Canadian Chamber of Commerce has issued four calls of action to strengthen Canada's economy, including one about the long discussed but yet-to-be-realized east-west energy corridor.
The three other calls are to tear down internal trade barriers, boost domestic procurement and renegotiate free trade agreements with the U.S. and Mexico.
Politicians have long talked about west-to-east transportation and infrastructure, said Grant McLellan, a senior strategy advisor with Prairie Sky Strategy, but there's a gap between some of that talk and tangible action.
"The biggest pressure that we always hear is we need port expansion, we need rail line growth and construction of new rail lines. We need pipeline expansion to make sure that we have access across the country to resources that are developed right here in Canada," he said, adding that there can be opposition in provinces like Quebec that stall projects like pipelines.
Like Churchill, McLellan wants to see a streamlining of regulatory approvals to ensure business and industry projects can move forward.
"We really need a federal government that is prepared to make tough decisions that aren't necessarily going to be political, politically appeasing to certain parts of the country, but are good for nation building and are good for Canada's future and good for Canada removing itself from the reliance on markets like the United States."
While there might be a perception that oil and gas or other energy partners are opposed to environmental regulation, Ran Narayanasamy, president and CEO of the Petroleum Technology Research Centre, said that's not the case.
"Nobody's saying, 'Hey, I'm going to produce a product. We don't care about the environment,'" he said.
The problem is that federal environmental regulations are formed without consultation with industry partners, Narayanasamy said.
"We don't want the policies to curtail the development of the energy industry in Western Canada, especially in Saskatchewan."
Narayanasamy said he wants to hear federal leaders express pride in what Canada has to offer, whether that's oil, potash or canola.

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Canada's competition watchdog publishes final greenwashing guidelines
Canada's competition watchdog publishes final greenwashing guidelines

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  • National Observer

Canada's competition watchdog publishes final greenwashing guidelines

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Warming waters revive port plans in Churchill By Christopher Pollon Analysis Business June 6th 2025 #68 of 68 articles from the Special Report: Business Solutions Share this article Shane Hutchins, general manager of Churchill port, is working to upgrade Canada's aging deepwater Arctic facility. 'It's going to need a lot of love,' he says. (Photo by Drew Hamilton for Canada's National Observer)
Warming waters revive port plans in Churchill By Christopher Pollon Analysis Business June 6th 2025 #68 of 68 articles from the Special Report: Business Solutions Share this article Shane Hutchins, general manager of Churchill port, is working to upgrade Canada's aging deepwater Arctic facility. 'It's going to need a lot of love,' he says. (Photo by Drew Hamilton for Canada's National Observer)

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Warming waters revive port plans in Churchill By Christopher Pollon Analysis Business June 6th 2025 #68 of 68 articles from the Special Report: Business Solutions Share this article Shane Hutchins, general manager of Churchill port, is working to upgrade Canada's aging deepwater Arctic facility. 'It's going to need a lot of love,' he says. (Photo by Drew Hamilton for Canada's National Observer)

Listen to article Approaching Churchill's port by train, the twin grain towers appear from kilometers away across the tundra. It's 25 below in April, and Hudson Bay is trapped under a layer of ice as deep as three meters. This tourist town of 850 people and its increasingly strategic port is asleep — waiting for a spring ice breakup that is still months away. For nearly a century, the port at Churchill has languished as a great western hope, repeatedly dashed — the terminus of North America's rail system at sub-Arctic tidewater — where politics and geography have conspired to make this place more a dead end than the apex of a great trade corridor. But Churchill's fortunes are changing. The under-used seaport and its flood-prone rail line have been transformed from a white elephant into a nation-building project — spurred by a new urgency to seek alternative markets in the wake of a US-imposed global trade war. This year alone, the federal government has pledged $175 million to upgrade the port and the 1,300-km Hudson Bay Railway to communities like Gillam, Thompson and The Pas on or connected to the rail line. Canada's only deep-water Arctic port in Churchill has been sidelined for years. That's changing as a US trade war looms. In April, US and European diplomats visited Manitoba — a province now on their radar due to its strategic position at the centre of the continent and its rail links across a vast hinterland rich in grains, critical minerals and other resources exported to the world via Arctic waters that could be nearly ice-free in the summer by the 2050s. As the sea ice retreats from Hudson Bay and the wider Arctic due to climate change, the historic Northwest Passage could increasingly be open for business. If Churchill is to become the centerpiece of a third marine trade corridor for Canada, what are the opportunities, and what stands in the way? Old port, new mission Shane Hutchins, the port's general manager, drives his pickup truck through the aging facility, pausing occasionally to point to the sights out his window — the hulking concrete grain towers, a dilapidated 1920s-era power house. 'This place is close to 100 years old,' he said. 'It's going to need a lot of love.' Now 58, Hutchins worked there from 1998 to 2012 during the so-called 'great experiment' when the Jean Chrétien government sold the port and rail line to US rail operator OmniTRAX. Critics later accused the Denver-based firm of mismanaging the port and railway despite public funding and subsidies — allegations OmniTRAX has denied. (See sidebar below: Bitter Memories) Arctic Gateway co-chairman and Churchill mayor Mike Spence, an Indigenous businessman and power broker, recalled the lobbying effort to bring the port and railway under local control. 'I went to the government, and I said, 'Bullshit. If anybody is going to have ownership, it's going to be the region," he said. "It's going to be the communities that rely on that rail line, because we have a vested interest.'' Hutchins — who also owns Churchill's only taxi company — left the port to serve a single term as town councillor and spent much of that time criticizing OmniTRAX's Canadian representative in Winnipeg. Hutchins was hired back in 2023 after the port and its rail line were acquired by Winnipeg-based Arctic Gateway Group (AGG) a few years earlier. This spring the port's 28 workers will replace the decaying wharf face with fresh wood, and buy a second tugboat. He plans to hire another 25-30 skilled tradespeople, including mechanical fixers, carpenters, and stevedores who move cargo between rail cars and ships. Local people will be hired whenever possible, he said, including from Indigenous communities living along the rail line. Some of those new hires will work in a new building to store zinc concentrates from a mine in northern Manitoba, Hutchins said, adding there are plans to double shipments this year after a successful season moving the metals from Churchill to Antwerp, Belgium. A letter of intent has also been signed this year between AGG and Saskatchewan's Genesis Fertilizers to launch phosphate and fertilizer imports and exports through Churchill's port. In Alberta — where resentment over a lack of tidewater access for oil and gas has intensified in recent months — a group of Calgary-based energy and pipeline executives have proposed a ' multi-use energy corridor ' from Alberta to Churchill, including an LNG Plant and export terminal on Hudson Bay. The twin grain annexes that dominate the port are connected to conveyor belts that lead to the water — a reminder that the port's original role exporting grains and pulses could be revived. 'We have moved 700,000 tonnes of grain a season in the past,' Hutchins said. 'It's still achievable.' Climate change enabler What makes expanding the port such a hot topic is that an ice-free Northwest Passage is no longer the 300-year-old dream of explorers — it's happening now. Ice-free conditions that can support shipping have expanded one day a year since the 1980s, said Feiyue Wang, an expert on the dynamics of Hudson Bay ice. The current four-month shipping season, from July through October, can now be stretched for as long as six months, due to climate change, said Wang, Professor & Canada Research Chair at the University of Manitoba's Clayton H. Riddell Faculty of Environment, Earth, and Resources Centre for Earth Observation Science (CEOS) in Winnipeg. 'Hudson Bay is on a trajectory to be ice-free year-round,' he said. '[Sea ice] has been the limitation to this third seaway, and why Churchill has never reached its potential.' Exports from Churchill involve bulk carriers sailing up the centre of Hudson Bay and eastward through Hudson Strait. From there 'it's a straight boulevard to Europe' — faster than from the port of Montreal, he said. Other experts point to the uncertainty created by US President Donald Trump's public desire to restore US control of the Panama Canal as an additional boon to Churchill. To be sure, insurance — not ice or geopolitics – is the biggest barrier to extending the Churchill shipping season, Wang said, accusing insurers of being 'stuck in the 1980s.' Beyond October, rates rise dramatically for vessels because insurers rely on ice condition data that is decades old. A key part of Wang's work at the University of Manitoba is to document and communicate the changing ice conditions to the insurance industry — particularly for routes where waters are increasingly navigable, but ice is present throughout much of the year. Challenges around insuring Arctic shipping remain a wicked problem, said a 2024 study by the Environmental Law Review. Lead author Pia Rebelo wrote that insurers need to calculate the premiums for both hull and machinery, and protection and indemnity, in an extreme environment that is completely unpredictable due to climate change. Given those challenges and the lack of existing data, she wrote, "the practical viability of Arctic shipping remains doubtful." To date, "insurers have paid out more in ship damage that has occurred in the Arctic than they have collected in premiums." Praying for another boom Climate change is a double-edged sword for Churchill. It is opening the gateway to ice-free shipping, but also melting the permafrost under parts of the Hudson Bay railway – the critical infrastructure that connects the port to the world. In 2017, huge spring snowfalls followed by extended, unseasonably warm weather caused flooding that washed out large sections of the track. OmniTRAX declared force majeure and the rail line was inoperable for more than two years, cutting off the rail lifeline to many northern communities with no road access. If there is an Achilles' heel to the gateway, it's the final stretch from Gillam where the railway line makes an abrupt northward turn to Churchill. It runs through a bog ecosystem that needs massive amounts of ballast — rock and gravel — to shore up and raise the track above the water line. This last stretch is also built over permafrost — which is becoming more unstable due to unpredictable warm temperatures. For Rhoda deMeulles, owner of the Churchill Home Building Centre, a key supplier of building materials from the south to contractors in town and the far north, the debacle that followed the 2017 washout was a near-death experience. She supplies contractors with building supplies that must first be trucked from Winnipeg to Thompson, then carried by rail to Churchill and all points north — up the Hudson Bay coast to places like Arviat and Whale Cove, into Nunavut and Rankin Inlet. When the railway line shut down, she almost went bankrupt. 'We suddenly were sending all our building materials to Montreal, putting it in [containers] and sailing it all the way around,' said deMeulles, who worked at the store for 24 years and then owned it for the last 30. Other staples had to be flown in from Thompson to Churchill – where a 2800m paved runway built by Americans in the late 1940s continues to serve as a critical asset for the Canadian sub-Arctic. 'I was paying $2.77 a pound. It killed us," she said. "We didn't think we were going to make it. That rail line is our life." Then came COVID, she sighed. 'I'm hoping and praying [the port] will boom again; that's what we need.' Technology to the rescue? 'Ports are the easy bit,' said Michael Byers, Canada Research Chair in Global Politics and International Law at the University of British Columbia, and author of multiple books on the Arctic. 'Roads and rail-lines to and from Arctic ports are hard, especially now because of melting permafrost and shorter seasons for ice roads,' he said. An April report by the Macdonald-Laurier Institute, a think tank, questioned the rationale of developing northern corridors. It argued roads and seasonal ports in the Canadian North are "incredibly expensive to build and maintain, and their use case is limited." Chris Avery, CEO of Arctic Gateway Group – a unit of the OneNorth partnership of 41 Manitoba First Nation and bayline communities which assumed ownership and operation of the port and railway in 2018 – insisted the current route has a future. 'Churchill will never replace the Ports of Vancouver or Montreal,' said Avery. 'The big selling proposition of the Port is that it provides western resources with direct, efficient access to markets in Europe, Africa and South America,' Avery told Canada's National Observer. 'To have a port in the north that helps us assert our sovereignty, connected by rail to the rest of Canada, makes a lot of sense.' Past problems with flooding and permafrost were made worse by a lack of maintenance, but that's no longer the case. 'We've used half a million tons of ballast rock along the railway. We've replaced about 300,000 railway ties,' he said. 'We manage the bridges, and we manage the culverts.' Arctic Gateway uses ground-penetrating radar mounted on locomotives to collect GPS-tracked data on the permafrost. It then employs artificial intelligence to analyze the data and identify potential trouble spots on the rail line. 'We have drones flying overhead — not just in the northern parts of the line — looking at the geometry, taking video of the tracks, ensuring levelness of the track, and also looking at all the lands surrounding the track,' Avery said. May 'erosion' event suspends traffic Weeks after Canada's National Observer visited, Arctic Gateway announced that 'embankment erosion' on the Hudson Bay Railway just outside of Gillam had caused a suspension of service. And although it was just early May, 'extreme wildfire conditions' had already suspended train service on a spur line north of The Pas. The erosion is a reminder of the vulnerabilities of the Hudson Bay railway's upper sections – the weakest links in the entire gateway chain – the stability of which could impact the future of the entire trade corridor. That's why there's a plan to establish a second port on the Nelson River not far to the south of Churchill – which does not navigate permafrost to the same degree, but is hindered by massive flows of river-borne sediment. Feiyue Wang and Barry Prentice, a professor and transportation and supply chain expert at the University of Manitoba's Transport Institute, have both recently suggested that the stretch of rail between Gillam and Churchill needs to be rebuilt on rockier ground to avoid permafrost. 'They built the [upper] rail line essentially through a frozen peat bog, and it's been a problem for 100 years,' said Prentice, who remains a champion of Churchill as a resource gateway, with a major caveat: 'What that whole system needs is billions of dollars in investment, not millions, because you've got to do much more than just fix the railway.' June 6th 2025 Christopher Pollon Keep reading Canada's future lies in the Arctic — and with Europe By Jaden Braves Opinion March 27th 2025 Americans keep an eye on Arctic port revival in Churchill By Christopher Pollon Analysis Business April 26th 2025 Canada spends $1.5 billion to boost Arctic sovereignty and empower Inuit communities By Sonal Gupta News Urban Indigenous Communities in Ottawa March 12th 2025 Share this article Share on Bluesky Share on LinkedIn Comments

Canada's retrofit momentum hinges on more than just heat pumps
Canada's retrofit momentum hinges on more than just heat pumps

National Observer

timean hour ago

  • National Observer

Canada's retrofit momentum hinges on more than just heat pumps

The new federal mandate letter call for 'bringing down costs for Canadians' and 'creating new careers in the skilled trades.' Residential retrofits can do both, giving renewed urgency to programs like the Canada Greener Homes Initiative. A special warrant issued just before the federal election ensured a temporary top-up for the Greener Homes Loan program. However, unless long-term funding is secured, the program could soon stall, mirroring the abrupt end of the Greener Homes Grant. The Greener Homes Initiative — largely due to the grant portion — has arguably been successful in meeting government goals. According to Green Communities Canada, from 2020 to 2024, the Greener Homes Grant and other rebate and grant programs supported more than 605,000 retrofits. However, only 29,000 were considered deep energy retrofits. Most of the funds went to mechanical system upgrades, like heat pumps, to replace existing heating and cooling units approaching the end of their lives. Heat pumps have become a go-to solution for electrifying heating and cooling, especially when a furnace or air conditioner reaches the end of its life. They are efficient and climate-friendly. But heat pumps alone do not constitute a deep retrofit. According to Natural Resources Canada, a deep energy retrofit involves a suite of coordinated upgrades that reduce a building's energy use by up to 60 per cent. That includes insulation, air sealing, ventilation, windows and doors, mechanical systems like heat pumps, and smart grid integration. Design teams at the Pembina Institute's Reframed Lab estimate that deep retrofits can cut energy use by as much as 90 per cent, and reduce operational carbon emissions between 68 and 99 per cent. Compare that to a standard mechanical replacement at end-of-life, which delivers reductions of just three to 55 per cent. While there are many on-ramps in the retrofit process, one of the most impactful, especially for older homes, is starting with the building envelope. Adequate insulation and airtightness reduce heating and cooling demand, making homes more comfortable and efficient. These improvements also last for decades, far longer than the average 15-year lifespan of furnaces or heat pumps. The clock is ticking. Roughly 12 million existing low-rise houses in Canada must be retrofitted by 2050, write Betsy Agar, Jessica McIlroy and Jay Nordenstrom Crucially, an envelope-first approach allows for properly 'right-sized' heat pumps, which perform better and cost less to operate. Yet insulation and air sealing — considered 'minor' and 'low-cost' by federal program definitions — remain underused. ICF estimates that 89 per cent of Canadian homes are under-insulated. Many current programs unintentionally reinforce this pattern by supporting heat pump replacements without encouraging homeowners to complete multiple, coordinated upgrades. That leaves efficiency gains — and emissions reductions — on the table. And the clock is ticking. Roughly 12 million existing low-rise houses in Canada must be retrofitted by 2050. That's an average of 480,000 homes per year for the next 25 years. It's a staggering target that cannot be reached without deeper, better-sequenced retrofits. The new government is also reviewing its overall approach to energy efficiency, making this a crucial moment to ensure retrofit programs evolve to meet today's challenges. Now is the time to strengthen policies that reduce emissions, bring down household costs, and create good jobs across the country. The urgency to extend funding for programs like the Canada Greener Homes Initiative is real, but so is the need to evolve. As governments look to secure the loan program's future, they should ensure it's structured to deliver on its full potential — not just enabling action, but helping Canadians take the right steps, in the right order. Future programs should also focus on comprehensive deep retrofits for social, below-market housing, especially low–rise, multi–unit residential buildings (MURBs) built in the 1950s, 1960s and 1970s. Canada needs to protect this particular type of housing segment from declining in condition and number. Markets will respond if retrofit programs are adjusted in simple, strategic ways. To scale deep retrofits, we need a stronger business case — one that highlights more than just energy savings. These upgrades improve health, boost resilience during extreme weather, reduce insurance risks and lower household costs. Heat pumps are efficient, but they aren't deep retrofits on their own. Federal, provincial and municipal governments — as well as utilities — must rethink their programs. That means redesigning or adding offerings that support the full sequence of upgrades. Only then can we help homeowners make smarter choices and reach our climate goals. Betsy Agar is director of buildings policy at Efficiency Canada.

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