Bill C49 Fields On Wheels MRE-(Maximum Revenue Entitlement)-this is not a revenue cap as has often been referred to. -It is critical for keeping.

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Presentation transcript:

Bill C49 Fields On Wheels

MRE-(Maximum Revenue Entitlement)-this is not a revenue cap as has often been referred to. -It is critical for keeping our costs down. Remember many of our competitors are low cost competitors. -Many of our competitors are much closer to port and some have efficient waterways to move commodities.

-I would like to applaud our legislators for leaving the MRE in the proposed legislation. -When I was part of working group 3 in the Kroeger Process I do not ever recall hearing that the MRE was supposed to be time limited or temporary. -The proposed changes that allow railways to recapture infrastructure spending and not share it with the other railway in the MRE is a good thing.

Agency Inquiry Powers -I think this is a good thing. Too often in the past small bottlenecks have become large bottlenecks. Once shipping capacity is volume is lost it is hard to get that volume back in a shipping year. -Demurrage and Lost Opportunity of Sales are costs that are ultimately born by the producers.

Data Reporting -improved data reporting and making it public should help everyone see when issues start to arise. -reporting service and performance data should assist in responsive corrections to issues.

Define Adequate and Suitable Rail Service -I think this is really important. Grain companies and farmers need to know what they can expect in service. When grain is delivered to meet a train and crews are brought in to load a train and the cars arrive late or not at all it strains the system

Reciprocal Penalties -I think farmers see penalties tied to service as a great addition to the proposed legislation. -I would hope that penalties would be a rarity because the stakeholders were meeting their obligations.

Streaming Service Complaints -Reducing the timeline for complaints should be or benefit to producers. -again once the system has fallen behing it is very hard to recover lost opportunities.

Long Haul Interswitching -I think the verdict will be out whether this provision works. -The “Fair Rail for Grain Farmers Act” provision of 160 KM seemed to be working very well. -It is our understanding under the new rules if you are within 30 km you cannot apply for Long Haul Interswitcching.

In Conclusion I would like to say that Canada is very well situated with our infrastructure, climate, knowledge, workforce, leading technology and Modern agriculture. If we can be reliable in our supply chains at competitive costs we can help feed a waiting world.