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Emerson defection to CPC related to softwood lumber deal?
nothing appears to be "wrong" or illegal...so don't start defending anyone, but talk about a subplot...
no wonder Harper brought Emersn in...if this story is true, and how could Harper NOT know any of this, it certainly sheds some light on the defection and casts doubts on Harper's claim that this cabinet post was given to assist in having nationwide representation...it appears that it was really in order that the CPC could complete the softwood lumber deal that the Liberals had all but finished and temporarily shelved due to potential election fallout.
if a deal is signed now, the CPC looks like they've "repaired U.S. relations" and brought an end to the lumber dipute...when in reality it was a Liberal brokered deal that was put on hold because, if the details are accurate, it will potentially piss off BC lumber industry and look like Canada made too many concessions to the U.S....something that may have damaged Liberal credibility, given Martin's firm stance on the issue.
or...the deal remains shelved and this is just an interesting subplot to the election.
but If this comes to pass, I wonder how it will be pitched...i.e. will it be admitted that the Liberals had this deal ready to go or wil the CPC take all of the credit?
interesting...I'm looking forward to seeing how this plays out.
| quote: | Did Emerson block deal?
Feb. 9, 2006. 10:37 AM
JAMES TRAVERS
NATIONAL AFFAIRS COLUMNIST
OTTAWA—Here's the plot of a real-life political thriller: David Emerson defected to the Conservatives this week carrying a multi-billion dollar softwood lumber deal that Liberals, for political reasons, didn't finalize before the federal election.
Former colleagues as well as officials and diplomats privy to the secret, backchannel talks insist Emerson was instrumental in delaying a breakthrough in the decades-old dispute that cost thousands of Canadian jobs. They say the former Liberal industry minister worried that a pre-election announcement would damage Liberal prospects in key British Columbia ridings.
In a telephone interview last night, Emerson confirmed he raised concerns about the proposal after discussions with the B.C. government and softwood industry. But he said it's a "false story" to suggest his resistance was politically motivated and insisted the deal on the table before the election wasn't good enough for Canada then and isn't now.
Liberals and non-partisan sources tell a different story. They say the B.C. government and its powerful forestry industry only lost interest in the plan after meetings with Emerson. His objections, along with concerns in Paul Martin's office that a pre-election deal would stop the then-prime minister from using George W. Bush as a campaign punching bag, convinced Liberals to delay formal negotiations at least until after the January election.
Informally discussed on parallel tracks here and in the U.S., the plan calls for Washington to reimburse about 75 per of the disputed $5 billion in tariffs imposed on Canadian lumber in return for Ontario and Quebec export quotas. In B.C., there would be higher stumpage fees to keep mills in the province's interior from flooding the U.S. market with cheap wood culled from forests hard-hit by mountain pine beetle infestations.
Those behind-the-scenes talks, led in Washington by Ambassador Frank McKenna and nursed in Ottawa by then-international trade minister Jim Peterson, were rapidly moving the two countries toward brief formal negotiations and a quick deal until they tripped over political realties. At the time, Martin's government was publicly resisting Bush administration pressure to return to the negotiating table, arguing that Canada had won serial tribunal decisions and would settle for nothing less than complete victory and full compensation.
Emerson was among the most outspoken Liberal ministers. In August, he called on Canadians to unite around fair trade. "Are we going to be stronger than the sum of our parts, or are we going to be endlessly bickering amongst ourselves and allow the bully to basically mop the floor with us."
But while making noisy demands that the U.S. abide by the letter and spirit of cross-border treaties and by threatening a trade war if it did not, Martin's government was quietly building a Canadian consensus. First, the three biggest softwood provinces tentatively agreed to the hybrid formula, and then key parts of the industry were brought into the talks on condition of strict confidentiality.
In Washington, McKenna discreetly tested how the U.S. would respond to the hybrid Canadian proposal and Washington's willingness to reimburse tariffs. Conscious of the powerful lumber lobby, U.S. officials were encouraging as well as equally discreet.
By early November, the critical components were in place. "A deal was there to be had," a well-informed source says. "It was easily within reach."
Other sources, including diplomats, confirm the template was complete before Martin's minority government fell. But for reasons Liberals now blame on Emerson, it stepped back from a deal that now falls into Stephen Harper's lap.
That would be a dramatic early success for a new government and for a new trade minister. And that has some of Emerson's former colleagues steaming.
They and others who spoke on condition of anonymity say they accept that Tories will claim a softwood victory as the spoils of war. But they can't stomach that Emerson is now positioned to take credit for an agreement Liberals say he blocked.
They say Emerson didn't want a less-than-perfect agreement to become a Conservative and NDP target. According to the sources, Emerson, a former top lumber executive, also warned that some companies could object to the higher stumpage fees.
Rather than take an unnecessary political risk, Liberals parked the deal, assuming it could be restarted when they were, as they wrongly expected, returned to office.
It's not clear if or when Conservatives learned about the advanced softwood talks. What is known is that the small circle of those aware of the backroom discussions expanded during the final campaign weeks.
In any case, Conservatives had many reasons to encourage Emerson's defection. Highly respected at home as well as by mandarins here, Emerson, who jokingly calls himself a small-c Liberal, gives the party downtown Vancouver representation and an experienced minister to handle the financially troubled Olympics and Pacific rim issues.
So less than 24 hours after the election, Emerson and Conservative campaign co-chairman John Reynolds were discussing the defection that on Monday caught the national capital by surprise. In retrospect, it wasn't so surprising.
Independently wealthy and more interested in policy than politics, Emerson would find little in opposition to justify the grinding travel between the capital and West Coast. Equally important, Harper was willing to give Emerson the international trade job former Liberal cabinet colleagues say he coveted.
Now that he has it, Emerson gets a second chance to complete the deal that diplomats say requires little more than signatures.
That would be an unpleasant surprise ending Liberals didn't anticipate when they put the softwood talks on hold. |
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