I have avoided posting anything thus far about Mr. Carney's economic summit and his trip to Europe in which Canada has been offered "associate membership" in the European Union. The main reason is I am still reading about and digesting these developments. However, one large, billowing red flag is the prime minister's intention to sell long-term concessions (think Ontario's privatized Hwy 407) in four major major airports (Montreal, Toronto, Calgary and Vancouver). Its putative purpose is to raise capital for improvements at other, smaller airports,
This decision has nothing to do with asset development and everything to do with enriching the rentier class. In our rush to escape the slimy tentacles of Trump and his disciples, we may be giving far too easy a ride to schemes such as this, but the threat is not going unnoticed.
The following letters to the editor raise some very valid concerns:
Look what happened when they privatized Highway 407
As much as I like Prime Minister Mark Carney’s approach in welcoming foreign investment, losing control of our airports really scares me. Just look at what happened to the privatization of Highway 407. That was a huge mistake and one I personally can’t forgive.
Norbert Hibbeln, Oshawa, ON
How to keep Canadian ownership and control
Instead of selling off another asset to investors, I would suggest the following: Establish a direct link between Toronto Pearson International Airport and John C. Munro International Airport in Hamilton. Busses to start and a rail link to follow. Think the UP Express. Designate Pearson as the main international hub and Hamilton the main domestic hub. Pearson could be 70 per cent international and 30 per cent domestic flights with Hamilton 70 per cent domestic and 30 per cent international. Offer discounts on landing fees to airlines willing to use John C. Munro over Pearson.
This solution would reduce congestion at Pearson and make better use of an already existing but under utilized asset in Hamilton. It would also ensure that Pearson remains under Canadian ownership and control.
Peter Smith, Ajax, ON
Question for the PM: Who is supposed to get rich here?
When it comes to the privitization of public assets, the only real question I have for Prime Minister Mark Carney is “who is supposed to get rich here?” Or should I say richer?
John Gavin, Toronto
So, Canada is for sale?
When U.S. President Donald Trump wanted to “buy” Canada by declaring Canada as the 51st state of the U.S., there was outrage across Canada.
Now “Canada for Sale” is being considered by Canada itself, and its starting with the sale of Canadian airports. After airports, what comes next? Trump will be first buyer in line with top bid. Let us see what happens next after we sell off Canadian airports.
Qasim Abbas, Mississauga, ON
Then there is this Globe and Mail missive from a former airport authority chairman:
Ain’t broke
Re “Ottawa to announce steps toward opening up airports to more private investment, sources say” (Sept. 15): I believe any rationale for airport privatization falls short when weighed against the financial successes and positive economic impact of Canada’s not-for-profit, community-based airport authorities.
Under the 1990s National Airports Policy, about 20-plus major and regional airports were transferred to local arm’s-length authorities. Since then, these organizations have financed tens of billions of dollars in improvements through landing fees, concessions and airport improvement fees.
Local governance allows airports to respond to regional needs with boards that include business leaders, municipal representatives and labour voices. Why sell strategic assets, possibly to foreign investors, when they already generate stable public revenue and community benefits?
Privatizing airports would shift priorities from regional development to shareholder returns. A fragmented hybrid system, with some airports community-run and others privately owned, would weaken co-ordination, partnerships and the seamless airport connectivity Canadians rely on.
Mark Carney should abort this harrowing flight before it leaves the runway.
Gerry Gallant Former chairman, Charlottetown Airport Authority; Souris West, PEI
Transportation Minister Steve McKinnon is going out of his way to reassure Canadians about this development, saying that Ottawa will protect consumers from "unjustified price increases" The devil is in the details, of course, and I seem to remember similar assurances about reasonable tolls on the 407 when that was sold off by the Mike harris government in a 99-year lease. Today, it has, I believe, the highest tolls in North America.
Trust, but verify, as the saying goes. That can only happen if and when Canadians doff their rose-tinted glasses and begin to examine Mr. Carney's moves in the harsh light of day.
