Avatar photo

VICTORIA, B.C. — Arguing that trucking gets a free ride when it comes to using infrastructure, a railway group is petitioning Ottawa to remove a “tax handicap” on the railway companies.

“Rail pays all the costs of its own corridors, including property taxes, while the trucking competition doesn’t,” says Bill Rowat, president and chief executive officer of the Railway Association of Canada.

“Current government tax and regulatory policies, though, give Canadian rail a 52-per cent tax handicap, compared with U.S. railroads,”

Arguing that the policy change would develop a forward-looking transportation policy, Rowat, speaking before the WESTAC annual meeting and conference, added Canada is more dependent on trade than any other G-7 country.

“But many of its public policies don’t reinforce that regional economic reality or national strategic strength,” says Rowat. “Government policies either improve competitiveness, or weaken it. Right now, as far as rail transport is concerned, many of Canada’s public policies fail the test. They don’t have to fail in the future.”

Avatar photo

Truck News is Canada's leading trucking newspaper - news and information for trucking companies, owner/operators, truck drivers and logistics professionals working in the Canadian trucking industry.

Have your say

This is a moderated forum. Comments will no longer be published unless they are accompanied by a first and last name and a verifiable email address. (Today's Trucking will not publish or share the email address.) Profane language and content deemed to be libelous, racist, or threatening in nature will not be published under any circumstances.