Elements of the Continental Gateway Strategy

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Elements of the Continental Gateway Strategy
Private Sector Advisory Committee February 3,
2009
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Overview of the Presentation

• Elements and information to consider
• Global Economic Overview conferences
• Other studies and inputs including SODES, SOGC
  and Chambers of Commerce
• Results of studies and work from the Analytical
  Framework
• Briefs received to date
• Toward a strategy
• Structure of the strategy
• Context, issues and challenges
• Issues and opportunities
• Vision
• Directions objectives and measures

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Global Economic Overview Conferences

• Three conferences in Vancouver, Toronto and
  Montréal (around 450 participants)
• Exchange on economic trends and their impacts on
  the transportation system and competitiveness
• Exchange of information between the public and
  private sectors
• Discussion of issues and solutions
• Railways shared a list of potential
  infrastructure projects
• Infrastructure improvements needed to reduce
  congestion, particularly in urban areas and at
  border crossings
• Measures to improve the efficiency of the marine
  corridor
• Improving operations at terminals and
  distribution centres.
• Harmonization of regulations affecting
  transportation equipment and operations
• Environmental regulations
• Cabotage regulations on marine containers
• International air agreements (Blue Sky)
• Financial incentives for fleet and equipment
  renewal

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SODES Contributions
Other Studies and Inputs

• Infrastructure Improvements
• Shore based infrastructure to support Short Sea
  Shipping
• Rail grade separations to improve access and road
  traffic
• Sustain and upgrade the St. Lawrence Seaway
• Non-infrastructure Improvements
• An effective planning process for increasing the
  capacity of intermodal facilities as demand
  increase
• Encourage Short Sea Shipping
• Abolish the 25 duty on the import of
  foreign-built vessels
• Greater harmonization of marine-related
  regulations, both inter-provincial and Canada-US
• Address the growing labour shortage
• Encourage the adoption of new technologies that
  could improve the operational efficiency and
  security of ports and marine facilities

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SOGC Contributions
Other Studies and Inputs

• Infrastructure Improvements
• Improve road capacity to relieve congestion,
  especially east-west through the GTA
• Improve highway access to airports, ports and
  intermodal terminals
• Encourage the replacement of level crossings with
  rail grade separations in urban areas
• Work closely with municipalities to provide
  effective access to both existing and potential
  new rail intermodal facilities and industrial
  parks
• Non-Infrastructure Improvements
• Improving the EA process for transportation
  infrastructure
• Protect transportation corridors by coordinated
  regional planning
• Support initiatives to achieve more efficient and
  open borders
• Measures to renew and attract transportation
  labour force
• Amendments to regulatory fees and taxation that
  impact the competitiveness of the transportation
  industry
• Encouraging greater flexibility from shippers and
  receivers in avoiding peak times

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Chambers of Commerce
Other Studies and Inputs

• Non-Infrastructure Improvements as predominant
  focus
• Reduce inter-provincial labour mobility barriers
• Improve supply of skilled labour
• Reduce business regulatory and financial burden
  vis-à-vis the US
• 30 year planning for strategic transportation
  corridors and make it easier for private sector
  investment in transportation infrastructure
• Restart Canadian pre-clearance discussions with
  U.S. customs for the Peace Bridge
• Increase take-up of FAST and NEXUS trusted
  traveler programs
• Create a Borders Advisory Council to improve
  coordination of cross-border policies and
  infrastructure initiatives

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Briefs

• An open call for briefs went out to 668
  organizations, and included an open call for
  input on our web site.
• Due date was January 16
• Extension to January 30 where requested
• 26 briefs received to date, 4 to come
• Examples of proposals
• Road and rail access to ports, airports, and
  industrial parks/distribution centres
• Road and interchange improvement projects
• Rail-road grade separations and the separation of
  freight and passenger rail lines
• Support for the establishment of logistics hubs
• Technologies to improve processes, operations and
  information sharing
• Harmonization of regulations and coordination of
  programs
• Consultation approach and integrated strategy,
  sustainability
• Creation of new organizations

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Non-Infrastructure Working Groups
Analytical Framework

• Working Groups have various activities underway
  covering regulatory, operational and policy
  issues that could have an impact on the
  efficiency, safety, security and sustainability
  of the corridor
• Examples
• Harmonization of transportation regulations
• Skills development
• Border integrated traffic management
• Regulatory, fee, and taxation issues and
  competitiveness
• Improvements on Environmental Assessment process
• St. Lawrence Seaway technology assessment
• Long term transportation corridor protection

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System Analysis Studies
Analytical Framework

• Analysis of current needs for the multimodal
  transportation system is nearly concluded
• More than 200 consultations, identifing current
  issues, challenges and solutions on the existing
  multimodal system
• Port/rail/airport expansion plans
• Rail/road grade separations
• Highway and border infrastructures investments
• Identify the most important truck bottlenecks in
  the corridor (i.e. urban areas)
• Identify, locate and evaluate the access to the
  major distribution centers/logistic
  parks/intermodal terminals
• Future multimodal transportation system analysis
  by April 2009
• Future capacity issues, challenges and solutions
  (medium and longer term)

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Structure of the Strategy

• Context, Issues and Challenges
• Vision
• Key Strategic Directions
• Actions short, medium and long term
• Partnerships, Funding, Implementation and
  Follow-up

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Context, Issues and Challenges

• Transportation needs and demand
• Changes in the global trade patterns at the
  international level and growing overseas trade
• Territorial specialization of companies and
  transformation in the manufacturing sector
• The value of the Canadian dollar, productivity
  and Canadas economic competitiveness
• Demographic shift and urbanization
• Capacity to respond to transportation demand
• Congestion management in the urban areas and
  transit
• Fluidity at Canada-U.S. border crossings
• Management and protection of transportation
  corridors
• Availability and cost of fossil fuels.
• Innovation, technology and intelligent
  transportation systems
• Importance of including transportation in the
  supply chain
• Importance of taking safety and sustainability
  into account

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Context, Issues and Challenges Our Strengths

• A strategic location into the heartland of North
  America
• Integral part of a huge market
• Primary gateway for Europe and emerging countries
• A multimodal and intermodal transportation system
  with four modes of transportation serving the
  corridor
• Efficient and fluid connections with US partners,
  which are vital to Canadas economy and to
  stimulate international interest for those
  seeking access to U.S. market
• Border crossings at Windsor, Niagara, Sarnia, and
  Lacolle and integrated road network carry more
  than half of Canada-U.S. trade
• Multimodal hubs linked to Port of Montréal and
  other complementary ports, as well as to Toronto
  and Montreal airports and rail terminals
• Containers, interconnectivity between modes
• Can take advantage of logistics innovations in
  all four modes

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Challenges and Opportunities

• Challenges
• Capacity of multimodal transportation system to
  sustain and enhance current and future trade
• Competitiveness and capability to adapt to
  current and future market fluctuations and
  demand changing trade partners, types of
  merchandise, modes
• Improvements to transportation system which fully
  take into account social issues, the natural and
  built-up environment, and safety and security
• Opportunities
• Optimize positioning to take advantage of
  evolving economic contexts
• The Continental Gateway must not only be a
  conduit for goods movements, but also be in
  support of exports and create new economic growth
  and jobs

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Vision 2030 for the Continental Gateway A
Competitive, Safe, Secure, and Sustainable
Gateway

• An efficient, competitive and adaptable
  transportation system
• A world class multimodal transportation system
• Drives global economic growth, creates jobs and
  effectively supports the Gateways
  competitiveness
• Efficiency is enhanced through optimization and
  modal integration
• Can adjust to changing market needs
• In support of safe and secure movements
• A North American leader in the areas of safety
  and security and whereby reliability of safety
  and security of borders and all along the supply
  chain is ensured
• Accidents risks are minimized for all types of
  transport
• Respecting the Sustainable Development principles
  
• A Transportation Corridor which balances economic
  development needs with social and environmental
  perspectives

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Strategic Direction and Objectives Efficiency and
Competitiveness

• An efficient, competitive and flexible
  transportation system
• Address current and future congestion points
• Improve access to intermodal facilities
• Reduce interference between modes
• Regulatory aspectsharmonization and
  competitiveness
• Availability of labour and skills development
• Technologies and logistics practices to improve
  efficiency
• Positive branding

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Strategic Direction and Measures Efficiency and
Competitiveness

• Measures Suggested by the Public and Private
  Sectors
• Strategic investments at current and future
  points of congestion
• Pre-clearance and other customs procedures
• Road and rail projects to improve intermodal
  access and reduce inefficiencies
• Measures to facilitate the introduction of new
  equipment and connections to improve the modal
  integration
• Harmonize transportation regulations and programs
• Encourage the adoption of new technologies that
  could improve operational efficiencies in each
  mode
• Use Intelligent Transportation Systems
• Logistic development and integration of processes
  in the supply chain
• Harmonize and coordinate programs to optimize
  operational efficiency
• Marketing and outreach plans

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Strategic Direction and Objectives Security and
Safety

• Allowing safe and secure movements
• Reliable and safe border and customs areas
• Reduction of natural and man-made risks along the
  corridor
• Reduction of accident rates and mortalities
• Measures Suggested by the Public and Private
  Sectors
• Increase take-up of FAST and NEXUS trusted
  traveler programs
• Create a provincial Borders Advisory Council to
  improve coordination of cross-border policies and
  infrastructure initiatives
• Analyse and risk manage potential security
  threats across supply chain, not just at borders.
  
• Market Canada to U.S. as safe and secure point of
  entry
• Rigorous and efficient procedures
• Measures in all modes to reduce accident rates
  and mortalities

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Strategic Direction and Objectives Sustainable
Development

• Respecting sustainable development principles
• Reduce energy consumption
• Reduce GHG emissions and climate changes
• Reduce incidence and impact of other types of
  pollutants (spills, noise)
• Long-term corridor and transportation
  infrastructure protection
• Respect of communities and natural environments
• Measures Suggested by the Public and Private
  Sectors
• Optimization of transportation system and
  promotion environmentally efficient modes.
• Promote programs to reduce energy consumption,
  GHG emissions and other pollutants
• Encourage coordinated regional planning to
  protect transportation corridors and
  infrastructures in a long term perspective
• Measures to improve EA process

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Partnerships, Implementation and Follow-up

• To take full advantage of the multimodal
  transportation system, partnerships are critical
• Within the three governments so that investments,
  regulations and other measures are coordinated
• Between governments and private sector to improve
  transportation investments coordination
• To take advantage of potential for public-private
  partnerships
• The efficiency of strategy depends on long term
  commitment and funding from all partners
• Partnership and intergovernmental mechanisms for
• Implementation and ongoing follow-up to ensure
  the strategy remains current and addresses
  evolving needs
• Information sharing and improvements to the
  knowledge base for the multimodal transportation
  system
• Developing and implementing marketing plans
• Coordinating investments

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Discussion

• Are all critical aspects included in the proposed
  Strategy Outline?
• How to identify priority measures?
• What role can the private sector play in
  implementing the strategy?
• How can the strategy be aligned with private
  sector plans?
• How should longer term partnerships among
  governments and with the private sector be
  structured to keep the strategy on track?

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