Page 4, The Herald, Friday, November 10, 1978 TERRACE/KITIMAT daily herald General Office - 635-6157 Circulation - 635-6357 LETTE PUBLISHER - Laurle Matiett GEN, MANAGER - Knox Coupland EDITOR - Greg Middleton CIRCULATION - TERRACE - Andy Wightman 635-635? KITIMAT - Pat Zetinski KITIMAT OFFICE - 632-2747 Published every weekday at 3212 Kalum Street, Terrace, B.C. A member of Varifled Circulatlon, Authorized as second class mall. Registration number 1201. Pastage paid in cash, return posiage guaranteed. NOTE OF COPYRIGHT The Herald retains full, complete and sole copyright in any advertisemént produced and-or any editorial or photographic content published in the Herald. Reproduction is not permitted without the written permission of the Publisher. THE EDITOR Published by Sterling Publishers 632-2747 RS TO Dear Editor: Further to recent discussions concerning change in the Post Office's status to Crown corporation, Ihave received a letter from Postmaster General Gilles Lamontagne stating: “The change of Crown corporation status doe’ not remove the Post Office from being a government operation to provide service to meet the public interest. We have now entered a very important stage of the transition to a Crown car- poration and that is the development of a draft Bill not only to create the Crown corporation but to address as well, albeit in broad or general terms, the role of the Post Office as a vehicle of service to the public. I an- ticipate that this will set out the wish of our government and Parliament that the Post . Office continue to pravide service on a reasonable basis to all communities in Canada, be they urban centres or in rural or remote areas, I believe that this move to Crown corporation will permit the Post Office to make decisions and run its operations in a more business-like manner, but I hasten to add, that unlike business, we do not see it measured only by net financial result. I wish to assure you thal the need to continue a reasonable ser- vice to rural and remote areas is foremost in our minds. Obviously we cannot ensure that the means of providing that service will not change as communities change, bul nevertheless [ feel confident in assuring you that it is not our intention “to develop a Post Office that will service only the densely populated areas and with- draw access to postal service outside of those areas. Thank you for your sup- port of the decision to move to a Crown corporation and I wish to say that I appreciate you expressing your con- cers for service as you have, as itis alsoa matter of concernn to me.” I will continue my con- sultations with Mr. Lamontagne on this matter of great importance to our area as the change to Crown corporation status for the Post Office proceeds, and will continue to keep you advised of any further developments. Yours very truly, Iona Campagnolo, M.P., Skeena - THIS from Ottawa lona Campagnolo, M.P. Ww E 4 ke o Yh Wore Aa So ist The decision to retire the weatherships Vancouver and Quadra on April 1, 1979, has been successfully reversed. Tt had been proposed — as part of the federal govern- ment's $2.5 billion spending cutbacks, to phase the weatherships out of service ahead of their scheduled 1993 retirement, and replace them with other means of weather observation. However, this decision was made before it became clear that appropriate satellite technology would not be developed as quickly as expected, and that weather information for B.C, would be reduced in accuracy. Once the situation became clear both Environment Minister Len Marchand and I raised the matter at Cabinet-level meetings and, after considerable discussion, were successful in having the decision reversed. The estimated $4,400,000 saving which would have resulted from the early retirement of the weatherships will now have to be found through other program reductions in the Department of the En- vironment — a process which is currently un- derway. When the weatherships, which currently provide a detailed and accurate description of upcoming weather conditions for our provinces, are eventually retired, they will be replaced by an alternate system — currently under develop- ment — employing a wide- ranging combination of ocean buoys, automatic sensing stations, com- mercial vessels, ob- servations from aircraft, and a special satellite data receiving system. This new system will be as effective as the weatherships, and as satellite technology im- proves, the accuracy of the new system will be even greater. A recent international seminar on ‘‘wild rivers’? may have considerable significance for nor- thwestern B.C. at the seminer, sponsored by Parks Canada, [Indian and Northern Affairs Minister Hugh Faulkner proposed the establishment of a “heritage river system" to preserve for future generations elements of the river systems that have played such an important role in the development of our country. Mr. Faulkner defined a heritage river as ‘'a river or segment of a river whose natural flow has been left unaltered by man", and Stated that ‘‘such rivers are part of Canada's heritage equal in importance to Jasper National Park and the Fortress of Louisbourg”’. The importance of this concept is clear from our area, where we are in such close contact with a number of what are clearly herilage rivers, and where there is so much concern over their future use. Issues such as the proposed Kemano Il dam and its effect on the Bulkley River system, and the possible damming of the Stikine and Iskut Rivers by B.C. Hydro would clearly be affected by the intraduction of a heritage river system. Such a system would clearly require co-operation from provincial govern- ments although, as Mr, Faulkner has suggested, it is not important which level of government is responsible for administering individual heritage rivers ina national system. Consultations with provincial governments has already begun, and 1 am advised that, as a concept, the heritage river proposal was supported practically without exception. The one province which expressed reservations was B.C,, and it was not opposed; rather the pravince just wanted to see more work done on the idea before il made up its mind. I fee] strongly thal a heritage river system will be a valuable lool for those concerned about the fulure development of our area's river systems to use in Raining a greater say in decisions in this regard, and will continue lo support Mr. Faulkner in his initiative. If - you support the idea of a heritage river system, please do not hesitate to express this support to me, and also to Indian and Northern Affairs Minister Faulkner and B.C. Parks and Hecrealion Minister Sam Bawll. ~, OT rane the ee anda even fo : . ine tee tam i paar ae A a § ITC Tete cates Ming are RR gmt ear tnalT ROTTER narereser rues icecassssees 4 a a a rey. . . sae sie Ie Be en “And how do I know you’re not a French spy?” ALBERTA MINISTER SAYS Oil ownership balanced EDMONTO (CP) — Don Getty, Alberta enefyy minister, says fora ownership of the province oil companies is properly balanced by government controls, “ “There is a dramatic €alarce through our control measures,"’ Getty said in a recent interview. ownership in the early 1970s, it has attracted little publicity recently, even in political circles. But in light of recent skir- mishes between the federal government and Alberta over proposed constitutional cha.s 6'z2pt7ome an_ issue. Lougheed insists Alberta's control over its resources is Getty, a former oil cont}*threatened by possible sultant, is the official overseer of the province's multi-billion-doliar petroleum industry. Of 22 approved purchasers of Alberta petroleum—the only companies allowed by provincial law to buy and export. the province’s crude—ali but two are either controlled or owned by American, Dutch, French or British energy conglomerales. Three of the companies stem from Europe and most of the foreign firms or their subsidiaries also extract Much of the province's tremendous petroleum reserves. It’s no small point, Getty admits, He and other key members of Premier Peter Lougheed's Progressive Conservative government insist, despite opposition parties’ claims to the contrary, thal the Alberta government has retained control if nol im- mediate ownership of the in- dustry. Grant Notley, however, leader of the province's New Democratic Party, blunily puts what he says is the case: “It's control by large international companies— they write the ticket." Although much attention was paid to resource changes to the British North America Act, Canada's basic charter. in a speech last week during the legislature's fall sitting, Lougheed said that without constitutiona safeguards it, was entirely possible other, provinces or Ottawa might nationalize Al- berta’s oil industry. The NDP, however, says the government is acting * more to protect American corporations than the in- terests of Albertans. And although the Social Credit opposition opposes cerlain aspects of the government's strategy, it was thal party under former ‘Premier Ernest Manning which established many of the ground rules for oil firms in the pravince. When Getty speaks of controls he also mentions wilh apparent impatience one of the reasons for American thominance, East- ern Canadian capitalists, in oil’s formutive years, were less than enthusiastic to invest in an industry they knew nothing about. “I went to Bay Street,” he said, “They said they knew mining, nothing about oil. You couldn't gel an Easterner to spend money oul here." lronically, the Con- servative government successfully mounted its 1975 election campaign promising protection of -the oil industry from eastern in- terests represented by the federal government, Lougheed hopes also to win the next election on the same issue. The control which Getty speaks of, and which Notley claims is insufficient, & di- rected through two areas: legislation and limited in- volvement in the industry. Oil is extracted under supervision of the Energy Resources Conservation Board and the Alberta Petroleum Marketing+ Commission. The ‘govérn-« ment levies a royalty of 40 per cent of production and, through oil conservation legislation, controls the production rate. Combined leases and royalties after deduction of exploration and drilling incentives yielded 53 per cent of last year's $4.3 billion budget, As well, the Alberta Energy Co. Ltd. (AEC), a publiclytraded company with extensive interests in oil, coal, natural gas and utilities, is 50 per cent owned by the provincial govern- ment. AEC and Alberta Gas Trunk Lines Ltd, which was created in 1954 by an act of former premier Manning's Social Credit government and which has four directors appointed by the gov- ernment, are partners with Dome Petroleum Ltd. and Dow Chemicals Lid., both United States controlled firms, in a 400-mile ethane gathering system and sorpeatnn | Tote? Bit Fone EpMoutan JouRnar. petrochemical plant just completed Alberta Gas Trunk Lines, however, has changed since its creation in the early days of Canadian oil development. It was first sod on the: open market ‘to ldberins, i now only Slightly"more than 20 per cent of the firm's WINDSOR, Ont. (CP) — A senior federal official said today- Progressive Conservative proposals te allow a tax deduction of mortgage. interest pay- ments. is. discriminatory and would result in a heavy drain on govern- ment revenues. Robert Adamson, vice- president, policy, al Central Morigage: and Housing. Corp. (CMHC), said the proposal would benefit most those home- owners with the highest income and highest mortgages while homeowners with no mortage or persons who rent would not benefit at all, "Adamson sald the idea is based on the fallacy that persons renting accommodation now indirectly benefit from similar tax deductions allowed to landlords. “The » reverse is the ease,” hefsaid; + : income they: received..in rent and this rent was paid by their tenants, . Homeowners on the other hand are realizing a financial benefit from owning a home in terms of rising values and in- creased equity on which they pay no tax, he said. “Landlord rental in- come serves a5 a nel source of tax revenue," he said. ‘‘The lax syslem on this account dis- criminates against lenants, not against homeowners,” Fhe proposal unveiled Joe Clark would allow a homeowner to deduct Landlords - only ;made,- those deductions fromthe . by Conservatiye Leader. Tory proposal said to be discriminatory from income the interest ona mortgage up te $5,000 annually. It also would allow deduction of property tax payments up to $1,000. : Adamson said. com- puter projections had shown the praposal wauld stimulate demand for housing. But the cost to the government in lost tax revenue would not be offset by the increases in revenue this new economic activity would generate. This would force government td raise taxes in other areas, cut ex- penditures from other programs or have higher annual deficits. Adamson, who was speaking at a conference on housing at ° the University of Windsor, said it was rare that a public servant would enter“a partisan political debate: : ' "The" proposal already, has been’ altacked by Primé Minister Trudeau as costly and unfair. Adamson said he was explaining why both Liberal and Conservative governments in the country have resisted the idea of mortgage deductablity from income in the past. “It is an idea whose appeal is strengthened in a time of high unem- ployment,"' he said, There would be im- mediate job creation because of increased demand for housing, but Adamson said the same effect could be achieved by applying the idea only to new housing con- struction. preferred and common A shares are held by Alber- lans. Companies holding a healthy chunk of the Class B common voting stock include Gulf Oil Canada Ltd, Hudson’s Bay Oil and Gas Lid. and Shel] Canada Ltd., all owned by American - ince’s oil conservation legislation might flounder after recent Supreme Court of Canada decisions on Saskatchewan resource control, also questions the degree of public control gained over resources through AEC and Alberta Gas Trunk. . He says AEC should be made a Crown corporation and thus answerable to the legisialure. As well, the New Democralic Party leader espouses direct involvement by the three-year-old firm in private oil development. “The government has technical jurisidiction but the action is dominated by large multi-national com- panies.” Getty, however, chooses a more conservative plan and points to ithe . tremendous wealth derived from private preduction, saying too- stringent government control and = intervention HERMAN would dampen investment, z it “ “ E masahe 2 ov Moa, "| was cleaning it!” 4 ow os “After watching all these baseball, football and hac. Aev games, his eves finally seized up watching. Dolly Parton.”