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What Will The Tories Do About Oil Prices?

THE DARTMOUTH LAKER – OCTOBER, 2005

What Will The Tories Do About Oil Prices?

When will the price of gasoline stop increasing? What will be the price for home heating oil this winter? Why is Nova Scotia Power Inc. asking for a rate increase?

All good questions and ones that all relate to the price of crude oil. Let me be clear. No government can control the price of crude oil. Indeed, it has become a bit of a mugs game to figure out where the price will go in the coming months. But suffice it to say that oil production has peaked in the world and all future reserves will not be easily accessible. Therefore, the price is bound to stay high and, in the long-term, continue to increase.

I have heard from many constituents with regard to the price at the pumps. With winter only a few months away, people with oil furnaces will fill up their oil tanks soon. And for people with electric heat, the recent request by NSPI for a rate increase is likely to have an impact on their pocket books.

People are wondering what can be done with regard to oil and gasoline prices and electricity rates.

To start with, the Tories need to look at reducing the tax on gasoline. It was John Hamm who levied a two cent/litre tax on gasoline in 2000. Now that we have eliminated our deficit and have significantly reduced our debt, it is time to remove that gas tax.

Second, the HST equals a 15% tax on home heating oil, gasoline and electricity rates. The NDP has been asking the government to eliminate the HST on family essentials for some time now. The Tories have refused and that is a shame.

Third, the House of Assembly gave the Tories the power to regulate gasoline prices in the last sitting of the legislature. Now John Hamm is balking at the idea of regulating prices. Regulation would eliminate the constant fluctuations in the price and bring some stability to our gas purchases.

Fourth, Nova Scotia Power Inc. should not be able to increase its rates until it has a concrete plan for reducing its dependence on non-renewable resources (oil and coal) and starts to develop alternative sources of production (i.e.- wind).

Fifth, the Tories must help families who are struggling with price increases. Grants and rebates must be provided for those that are willing and able to renovate their homes to increase energy efficiency. Also, people should be rewarded for purchasing cars that have a higher fuel economy.

Sixth, Nova Scotia needs a transportation strategy. In HRM, the Tories must significantly increase their investment in public transportation. We need to set up the commuter rail service from Truro and Windsor. We need to provide rapid ferry service for all parts of the harbour.

Finally, the Tories must provide better information to Nova Scotians so we are able to have the information we need to improve our own energy efficiency. Whether it is the vehicles we drive, the replacement of windows and doors or the need to use alternative transportation sources, Nova Scotians do not have the information they require to make informed decisions.

The Tories are the government in Nova Scotia and the Tories must tell Nova Scotians what they are prepared to do to ensure we are best able to cope with the rapidly increasing price of oil. We should not settle for half-measures. The increase in fuel prices will have an impact on our economy in the coming months. We need to act now to limit that impact.

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Oil Prices + Katrina = One Tough Winter

THE BEACON – OCTOBER, 2005

Oil Prices + Katrina = One Tough Winter

In my article last month I noted the high price of gas and oil and said this would cause some serious problems for Nova Scotians in the coming months. Well, that was before Hurricane Katrina and its devastating impact on the Gulf Coast of the United States.

I never thought I would see people lined up for hours to purchase gasoline at $1.12/litre, but that is what I saw on August 31 of this year. The same day, the Minister of Finance announced that the Provincial Government would have a $70 million surplus this year.

So, as the Tories continue to make a windfall profit from higher gasoline prices, the people of Nova Scotia will be hard-pressed to makes ends meet this winter.

The Tories need to recognize that the people of this province want some relief from skyrocketing fuel prices. No one expects miracles, but at a time when the Province is making more and more from HST off of the fuel, it is time some of that windfall was given back to the people of Nova Scotia.

Let me clear, we voted in the Spring session of the House of Assembly to give the Tories the power to regulate gas prices. Indeed, the Minister of Service Nova Scotia practically bullied the opposition into passing a blank cheque to the Tories to deal with the regulation of gasoline prices. Since then, the Premier has announced that he does not support the regulation of gas prices – so much for that option to help Nova Scotians.

The NDP has been consistently calling for the removal of HST on essentials like heating oil and electricity. The NDP also wants to stop taxing the tax on gasoline. The HST must be calculated on the actual cost of the fuel, not the cost of the fuel and any excise taxes attached to it.

The removal of the HST on heating sources would make a significant difference to Nova Scotians. Anyone with an electricity bill or an oil bill can tell you how they would save if the HST was eliminated.

It never made sense why the HST was placed on essentials and now, more then ever, is the time to remove this regressive tax to ensure all Nova Scotians can benefit from a tax break equally.

But many of our seniors and others are on fixed income and they need more help then the removal of the HST can bring. The Province must also provide some relief for the cost of heating fuel through one-time grants.

I have also heard recently that some oil and propane companies charge an extra fee if a customer requests a delivery of fuel not part of an automatic fuel delivery service. Many on fixed incomes cannot afford to be on an automatic delivery schedule and they should not be punished for that reason.

One month ago, I wrote about eight things the Tories could do to address rising fuel prices. It is one month later and we still have no plan from the Tories. They may hope that this issue goes away and Nova Scotians “get use” to higher fuel prices, but I think Nova Scotians will only get more angry at a government that is unwilling to take action when its citizens are demanded help.

School Absence Policy Changed

The Tories tried to impose a new policy at the beginning of the school year that resulted in no student being absent more then three days per year (not including sick days). After much complaining, the Tories backed off on September 16.

The policy would have a dramatic impact on those students that are involved in sports and extracurricular activity. Indeed, many argued that it penalized those students who are eager to get involved in school activities. When you also consider the fact that active students are healthier and, on average, get better marks, the policy clearly was not well thought out.

I am glad to see the Tories changed their position on this policy. But it is one more example of a government that is rapidly becoming disconnected with the needs of Nova Scotians.

Charlie Oakey

In the past year Charlie Oakey has been active in getting signatures on some very important petitions. I wanted to personally thank him for his efforts on behalf of the community.

Earlier this year, Charlie obtained over 1,300 signatures on a petition asking the Tory Government to regulate gasoline prices. He also got a similar number of signatures for a petition asking HRM to improve transit services in Eastern Passage. Finally, in August and September, Charlie obtained over 1,600 signatures on a petition created by the NDP to request no electricity rate increases until programs are in place to help customers conserve electricity.

Thanks, Charlie, for your hard work on behalf of the community.

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