CP Exclusive: Inside the shipbuilding fight between lobbyists and Tories
OTTAWA — The Harper government wants the two companies that will eventually lead Canada's lucrative shipbuilding industry to sign away their legal right to consult lobbyists, The Canadian Press has learned.
That's among measures being taken by the government in the last year to block registered lobbyists from consulting with companies vying to be the two main players in Canada's new, $35-billion national shipbuilding procurement strategy.
Angry lobbyists have fought back by ignoring government demands and continuing to work for the companies that hired them.
They've also privately taken the government to task for attempting to undermine their legal right to provide expert advice on negotiating with government, and ultimately attempting to influence policy.
Documents obtained by The Canadian Press detail the sometimes bitter, behind-the-scenes battle between lobbyists and Public Works, the department leading the shipbuilding procurement along with Defence, Industry and Fisheries and Oceans.
If Public Works has its way, lobbyists would be shut out as part of an agreement between the successful bidders and the government.
"The Company agrees that it will not use any lobbyist to pursue any matter that arises under or in relation to this Agreement without Canada's prior consent," says a draft agreement Public Works wants the winning companies to sign.
Ottawa will ultimately select two prime contractors for its 20-year national shipbuilding strategy. The shipyards will build new navy warships, coast guard cutters and other vessels.
Public Works Minister Rona Ambrose ruffled feathers recently when she told hundreds of defence industry players at a military trade show that companies that want to bid on the shipyards contract "have been asked not to engage lobbyists" in order that the competition be "completely arm's-length of politics."
Out of the public eye, the government has gone to even greater lengths — repeatedly hammering home the anti-lobbying theme in a head-on confrontation with lobbyists.
In an Oct. 28 letter, Andrew Treusch, associate deputy minister at Public Works, asked companies to "voluntarily" agree not use lobbyists when bidding on the shipbuilding contract.
On Dec. 3, the Government Relations Institute of Canada — the lobby group for lobbyists — fired back with a scathing letter that said the use of lobbyists would not "compromise" the shipbuilding strategy.
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"The Company agrees that it will not use any lobbyist to pursue any matter that arises under or in relation to this Agreement without Canada's prior consent," says a draft agreement Public Works wants the winning companies to sign.
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However, in an exclusive conversation with CNBC-TV18, the company's top honchos including chief executive officer CP Gurnani, chairman Vineet Nayyar and chief financial officer Vasant Krishnan, appeared unperturbed. In fact, they are confident of a
The importance of clearly articulated monitoring policies is demonstrated in an arbitral decision between the Canadian Pacific Railway Company (CP) and its union, the Teamsters (CPR v Teamsters Canada Rail Conference, Case 3900, June 23, 2010).
The company did not respond directly to an inquiry about the value of the deal, but based on recent sales, it could be worth roughly $1.32 billion. The company previously this month reported that it modified its current federal contract to supply 3.42
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