Conservative Leader Pierre Poilievre said he is initiating consultations with First Nations and industry leaders on a new proposal that would allow First Nations to collect more fiscal revenues from resource projects on their lands.
Poilievre said he would deploy all of his shadow ministers to lead the talks, while emphasizing that the proposal is “strictly voluntary” and “optional.”
This means First Nations can choose to keep their existing tax arrangements or follow the Conservatives’ plan to collect more revenue from the resource projects.
‘Ceding Tax Room’
Poilievre said even though resource companies do sign benefit agreements with First Nations, the process is ad hoc, bureaucratic, and shrouded in uncertainty, which means “more money for lawyers, lobbyists, consultants, and paperwork.”He suggested that Ottawa could offset the extra costs incurred by those companies by “ceding tax room” to them.
“Payments by resource companies to First Nations should be offset by the federal government ceding tax room,” he said. “The effect of this would be to redirect revenues from the federal government to First Nations governments. That would make sure that the projects are actually economical, that they would actually happen.”
He acknowledged many questions will need to be ironed out during the consultations.
“What projects should this policy cover? Is it oil and gas, critical minerals, forestry, fisheries alone, or will it also include other commercial projects?” he said.
‘Take Back Control’
The consultations will happen in all provinces and territories.“None of this would affect provincial taxes or royalties, though provinces could choose to match or build upon the First Nations Resource Charge, and offer something similar in addition to it,” Poilievre said.
“Change that is Not virtue signalling of our participation; Change benefiting all Canadians so we can compete on the world stage.”
Poilievre also took to Twitter the same evening, saying First Nations will collect more of the resource revenue should he become prime minister of Canada.