Claude Guay

Mr. Speaker, we all know that Canada cannot take energy security for granted. In recent years, global conflicts have caused major disruptions to the world's energy supply. Russia's invasion of Ukraine and the war in Iran have both had a significant impact on international energy markets. Events thousands of kilometres away drive up global fuel prices, which increases costs here in Canada. Gas and diesel are part of everyday life for millions of Canadians. Whether we commute to work, drive kids to school, go shopping, visit family, run businesses or operate farm equipment, transportation is integral to everyday life and essential to the Canadian economy. Rising gas and diesel prices have a direct impact on Canadians and put significant financial pressure on families. Canadians deserve to have a serious debate in the House of Commons on the causes of these rising costs and the solutions that will make a real impact. With their proposal, the Conservatives would have us believe that because Canada has oil sands reserves, all we need to do is stick a pipe in and diesel will come out the other end, and that is how we would solve the problem. Although we do have large reserves of bitumen, it needs to be processed before it can be extracted. It then has to be refined and transported. The situation in eastern Canada is different from the situation in western Canada. All of that means that there is no easy solution. At the end of the day, though, this issue raises two far simpler questions: One, how can we bring down costs for Canadians today? Two, how can we make Canada less vulnerable to future disruptions? I attended a meeting of the European Union's energy ministers in Ireland. One of the major issues on the table was, of course, diesel supplies. The EU is dealing with high costs, but it is much more concerned about supply. All that to say, the government believes that Canadians need both: a reduction in current costs and greater energy security for the future. A responsible energy strategy requires both immediate action and long-term planning. They go hand in hand, unlike what we are seeing in the Conservatives' motion. That is exactly the approach that our government is taking. Supporting Canadians at this time of high gas and diesel prices is a priority for our government. That is why we have taken action. To respond to these rising fuel prices, we reduced federal taxes on fuel by 28¢ a litre by suspending the federal tax on diesel and gas. More recently, we introduced a bill to extend that support until January 31, 2027, and then to partially reduce the tax until the end of March. These tax cuts will hep Canadians save at the pump. Of course, this support will not resolve all of the challenges facing global energy markets, since foreign conflicts continue to disrupt supply. However, it will provide real support to Canadians while we are working at the international level to resolve this problem. Last Friday, G7 leaders met to discuss the impact that the high price of diesel was having on their respective countries, including Canada. To address this problem, the G7 leaders agreed to coordinate the release of 100 million barrels of oil and diesel to respond to the pressures affecting global energy markets. Canada's contribution to this effort involves increasing private sector production and making 23.6 million barrels of Canadian crude oil available to global markets. I would also remind the House that this crude oil needs to be processed into diesel. Canada is also contributing to this effort by producing more diesel and other products at its own refineries. In fact, in April 2026, Canada's diesel production increased by 16.3% over the previous year, reaching nearly 730,000 barrels per day, the highest level of production ever recorded in our country. It is important to mention that. Furthermore, during the same period, Canadian diesel exports rose by 64.7%. These measures have already paid off. The national price of diesel has fallen by more than four cents per litre since October 2. That said, more needs to be done to bring down the cost of living for Canadians, and our government is currently taking steps to ease this burden. While working to reduce the price of gas and diesel for Canadians, we are implementing various measures to leave more money in the pockets of Canadian families. For a family of four, the Canada groceries and essentials benefit will amount to nearly $1,900. That same family will receive the Canada child benefit, which will provide them with $7,000. Thanks to our personal income tax cut, this family will also save a further $840 this year, plus an additional $800 through Canada's national school food program. Furthermore, this family could save up to $16,000 a year thanks to our government's affordable child care program, as well as $730 a year through the Canadian dental care plan. These are all measures that the opposition, led by our Conservative friends, voted against. Affordability is central to our government's work, and we are always going to strive to help families cope with the cost of living, including by lowering the price of diesel and gas. Along with measures to support Canadians, our government is taking steps to strengthen the energy security of Canada and its allies in order to improve our resilience to global energy supply disruptions. This means ensuring that our fuel transportation and storage infrastructure is up to the task and that our supply chains are reliable and resilient. Achieving this will require a regulatory framework that allows major projects to move forward with greater certainty and efficiency. Canadians have been clear: They want projects to happen faster. Opposition members are calling for the same thing. Investors want more certainty. Workers want to progress from the design phase to construction. That is why our government created the Major Projects Office, to clear the way for these major projects and fast-track decisions, because attracting investment depends not only on what Canada has, but also on its ability to get projects off the ground. Since the creation of the Major Projects Office, more than 15 projects in the energy, natural resources, and infrastructure sectors have benefited from streamlined processes, representing $126 billion in investment in our economy and the creation of more than 60,000 well-paying jobs. The need for that work has only become clearer as the world has changed. Countries around the world are rethinking supply chains. Markets are becoming less predictable. Allies are looking more closely at the resources and infrastructure that underpin their economy, and Canada must do the same. Energy security is essential to keeping energy and everyday living affordable in Canada. Reliable energy supplies can protect Canadians from sudden price shocks and can support businesses. Our energy future must focus on reliability, diversification, infrastructure investment and responsible development of our energy resources. By maintaining a secure and affordable energy system, we can strengthen our economy while improving the financial well-being of all Canadians. That is precisely why the government has made nation-building infrastructure a priority. Just last week, the Government of Canada designated the Pacific link as a project of national interest under the Building Canada Act. The project has the potential to move approximately one million additional barrels per day of Canadian oil to international markets and further diversify Canada's export opportunities beyond a single customer. That decision reflects a simple reality: Canada needs more options, Canada needs more customers and Canada needs infrastructure capable of connecting our resources with both Canadian and international markets. The question today is not whether Canada should build major energy projects. The answer to that is a clear yes, and more importantly, the government is taking concrete steps to get them built. The Pacific link advanced not because someone announced a target. It advanced because government, industry and partners came together to begin the work of turning an idea into a project. That is how things get built: not through wish lists but through planning, investment, consultation, engineering, construction and execution, which are all things that are lacking in the motion before us today. A major pipeline will strengthen the long-term energy security of both Canada and our allies. On that note, let me add that the Trans Mountain Corporation is advancing optimization projects that would increase TMX capacity by about 360,000 barrels of oil per day. These projects will support Canada's diversification efforts, increase our resilience and strengthen energy security globally. Energy security, however, also includes a range of energy types and projects. In September 2025, following the successful opening of LNG Canada phase one, our government referred LNG Canada phase two to the Major Projects Office. In September 2025, LNG Canada phase two expanded LNG Canada's facility to double production from the current 14 million tonnes per year to a total of 28 million tonnes per year. This project will deliver low-carbon-intensity Canadian energy to the global market, helping diversify Canada's trading partners, particularly in Asia and Europe. Just last week, the private sector proponents of this project announced a final investment decision: Major Projects Office referral, September 2025. Last week, there was a final investment decision, which actually brings $33 billion of investment into our country and strengthens the energy security of Canada and its allies. Thanks to this investment, thousands of jobs will be created as part of this project across the country, supporting our workers and our economy. In November 2025, our government referred the Ksi Lisims LNG project to the Major Projects Office. It is a proposed floating natural gas liquefaction, production, storage and offloading facility with a marine terminal located on the north coast of British Columbia. This project represents a $30-billion investment into Canada, and once built would operate as one of the most low-carbon facilities of this kind in the world. Since then, in May and June 2026, Ksi Lisims signed supply agreements with German purchasers for millions of tonnes per year of LNG supply. One of the purchasers, the Uniper utility, said, “Canada helps diversify Europe's energy supply and strengthens resilience against future disruptions.” Further, the approval of the natural gas Sunrise expansion project, in partnership with 38 first nations, is also key to our objective of strengthening Canada's energy security. It will add $3.3 billion to Canada's economy annually and generate over $700 million in tax revenue, which we use for roads, hospitals and schools in B.C. At peak construction, it will create over 2,500 jobs to support Canadian communities. This approval, which was done in under two years, is part of our work to make Canada a clean and conventional energy superpower. In August of this year, our government announced, alongside the provinces of Quebec and Newfoundland and Labrador, the largest clean energy investment in North American history, at nearly $70 billion, to generate 14,000 megawatts of renewable power through the Churchill Falls and Gull Island hydroelectricity projects. The energy generated from these projects will be enough to power all the homes in Montreal, Vancouver and Toronto combined, while supporting 23,000 jobs and contributing $31 billion to Canada's GDP. These investments are about ensuring Canada is better prepared for future disruption. We are now expanding our approach by streamlining the review of all projects in Canada. Our government made more progress than any other in history by signing one project, one review agreements with provinces to reduce duplication between federal and provincial permitting processes. We are now implementing one project, one review, one year through the building Canada strong act, Bill C-39. This bill, currently before the House of Commons, would strengthen our project review system by providing all required permits, not less, within a single year. This improvement would significantly quicken our permitting system, which has for too long been seen as discouraging investment in Canada. These improvements would be made while maintaining strong environmental standards and a robust consultation process with indigenous people, in full respect of indigenous people's constitutional rights. Our government will always strive to build partnerships with first nations, Métis and Inuit, which is why one of our first acts in office was to double the indigenous loan guarantee program and support indigenous equity in major projects. Our government is pursuing both tracks at the same time: affordability measures for Canadians today and infrastructure that strengthens Canada's resilience tomorrow. Now, that is a plan. Our government has been focused on both objectives in the extension of the federal fuel tax relief and by advancing the infrastructure that will strengthen Canada's energy security over the long term. The challenges facing Canadians are happening now, and that is why the government acted when fuel prices began rising earlier this year. Canadians are asking for results. We all agree on that. They want relief from high costs. They want reliable fuel support. They want confidence that Canada will be better prepared when the next disruption comes, and it will. The government is acting on both fronts. It has delivered fuel tax relief and is working to strengthen domestic supply chains. It is advancing infrastructure that will make Canada more resilient in the years ahead. We can make diesel more affordable. We can make Canada more secure. We can do both without pretending that Canada alone controls the global price of diesel. This is the practical approach Canadians expect.

Mr. Speaker, of course, we recognize that diesel prices are affecting farmers across the country and around the world. Unfortunately, that is the reality that has been caused by geopolitical developments. I mentioned my trip to Ireland with the European energy ministers from countries where agriculture accounts for as large a share of their gross domestic product as it does in Canada. They, too, must contend not only with costs but also with supply—

Mr. Speaker, I thank my colleague for that great question, which really highlights our government's ambitions. The price of diesel is indeed a challenge across Canada, but the most important issue remains affordability. Diesel costs are exacerbating unaffordability. In my riding, the number one thing I hear about is affordability. That is why I would say to my colleague that the most important measures are all the affordability measures that our government has put in place, particularly the grocery benefit and all the family supports. Thousands of children in my riding are benefiting from the national school food program. As everyone knows, Quebec led the way on low-cost child care, and that program has been expanded across the country. Our support for child care has had a significant impact.

Mr. Speaker, when we look at this motion in isolation, we lose sight of all the long-term affordability measures the government has introduced since taking office. Of course, as we have always done, we will need to continue monitoring developments with respect to diesel over the coming year. I believe that, at this time, we are providing a reasonable period of predictability. When it comes to investment and predictability, that is precisely what Bill C‑39 intends to provide. Through this measure and its one-year review standard, we are seeking to give industry the certainty it needs to make investments.