March 2005 — PRINT EDITION    
 
Table of Contents
   
 

Red tape measures

Twenty-five years ago, a federal committee on regulatory reform concluded red tape was hurting Canadian businesses. During the intervening years, governments eliminated many of the worst laws, but reform has never been the priority business sought. Today, that may have finally changed. A World Bank study has judged Canada to be eighth in the world in terms of ease of doing business. More importantly, Prime Minister Paul Martin has made it a priority to remove outdated rules and laws affecting business.

“A company indicated that to build a plant in Alberta it had to obtain 10 [federal] approvals from seven departments and agencies; 44 [provincial] approvals from 24 departments, divisions and agencies; and 13 [municipal] approvals from five departments and offices.”
1980 report by the regulatory reform committee, highlighting the toll of bureaucratic inefficiency

“As international boundaries melt and capital becomes highly mobile ... we must show the world that Canada is making an effort to be an efficient regulator.” 
 Senior treasury board bureaucrat, making the case for government action on red tape in 1996

“Our biggest problem is that most people’s perception of us from outside the country is stuck in the 1970s — that gentle, slightly socialist country to the north.”
 Brian Tobin, federal minister of Industry in 2001, commits to attracting new investment by slashing red tape and streamlining regulations.

“Regulation is a powerful instrument of government. However, it has not received the same attention as spending and taxation. [Reform must be] a major priority.”
A federal committee, made up of private- and public-sector members, releases detailed recommendations last year to remove impediments to business growth and innovation

Steve Brearton

 
RELATED LINKS
  

Doing business in 2005: Removing obstacles to growth, World Bank

External Advisory Committee on Smart Regulation

Regulatory reform, Natural Resources Canada