Thank you for soliciting the Western Grain Elevator Association’s (WGEA’s) views on the movement of grain by rail as part of the overall review of the Canada Transportation Act. The WGEA is an association of nine public and private grain businesses operating in Canada, which collectively handle in excess of 90% of western Canada’s bulk grain exports. Members represented by the WGEA account for approximately 15% of railway revenues and Pay annual total rail freight of approximately 1.4 billion dollars. Our members are listed on the bottom of our letterhead.
The WGEA provides the CTA Review Panel with this letter to supplement our submission of December 18, 2015. Our members’ views and opinions as represented on December 18th have not changed, and this letter is designed to be taken in combination with our original submission.
Myth – The Canadian Transportation Act (the Act) already says railways must provide “adequate and suitable” service. It therefore provides all of the protection shippers require.
Myth – Extended interswitching included in C-30 achieved its objective to clear the grain backlog and is no longer needed by grain shippers.
Does the MRE cap the amount of money railways can make on moving grain?
Railways already negotiate contracts with shippers, including grain shippers, why does the law need to require Service Level Agreements (SLAs) for grain shippers?