Toronto – The Council of Canadians is extremely disappointed by reports that the World Trade Organization (WTO) has upheld a previous ruling that local content quotas in Ontario’s Green Energy Act violate global trade rules. The grassroots social justice organization is encouraging the Ontario government to stand by its landmark renewable energy policy and, if necessary, to ignore the WTO decision in the interests of sustainable development.
“The use of local content should be a tool available to all governments, globally, to get the most bang for the public buck on major public projects,” says Stuart Trew, Trade Campaigner with the Council of Canadians. “Combining job creation and environmental priorities is the definition of sustainable development. If global trade rules outlaw sustainable development, then there is something seriously wrong with them. It’s not surprising the WTO is suffering a crisis in confidence. This ruling is bound to worsen that crisis.”
The Council of Canadians points out that other countries, including member states of the EU, have ignored WTO rulings that they feel hurt the public interest. The organization is urging the Canadian and Ontario governments to do likewise if necessary.
“The Harper government admitted publicly last week that buy local is good enough for shipbuilding. Countries around the world, including in the EU know it’s good enough for big public transit projects. Why should Ontario have to give up local content on major power projects?” asks Trew.
IMPACT ON CANADA-EU TRADE DEAL?
The Council of Canadians is also worried that the WTO decision will put pressure on Ontario and other provinces to give up the right to buy locally on any type of public spending, at any level, as demanded by the EU in ongoing Canada-EU trade talks. The Council is asking all provinces to resist these demands, which will take away a vital sustainable development and job-creation tool from local and provincial governments. The provinces should use the WTO ruling as an opportunity to come clean with local governments and the public about what is at stake in the Canada-EU negotiations.
The Council of Canadians is one of seven environmental, labour and student groups that defended the Green Energy Act in an amicus curiae (friend of the court) submission to the dispute panel hearing the case. To read their recent briefing note on the case, “WTO Declares Ontario’s Green Energy Act Illegal,” click here.
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www.canadians.org/trade | Twitter: @CouncilOfCDNs
