While proponents of a national regulator are holding out hope that a national regulator is still possible, defenders of the current system say that the decision validates their position.
Speaking at a news conference in Calgary, Alberta finance minister Ron Liepert said that the decision confirms that the existing system is working well, and he called on Ontario to sign on to the passport system, which the other provinces have advocated as an alternative to a national regulator.
Provinces call on Ontario to join securities passport effort
Liepert didn’t completely close the door to further discussions with the feds, and other provinces, on the structure of securities regulation. He suggested that there’s a new era of co-operation between the federal government and the provinces, and if the feds want to bring forward some issues for discussion, it would “not be adverse” to considering what they might propose in light of today’s decision. “Those doors and phone lines are always open,” he said.
However, he stressed that he’d like to see discussions, possibly led by the feds, that would see Ontario opting into the passport system. And, while it would be prepared to listen to whatever the feds have to say, he said Alberta’s position is, “the system, as it stands today, is very efficient, and is working well for Canadians.”
Ultimately, Liepert suggested that the decision will leave the current system of securities regulation undisturbed. “As far as we are concerned, securities regulation in Alberta will be no different tomorrow than it was yesterday, and probably won’t be any different a year from now,” he said.
Similarly, Manitoba finance minister Stan Struthers also sees the decision as validation of the provincial position, and an endorsement of the current passport system.
“The ruling confirms what we believed from the beginning; the federal government was overstepping its boundaries on this issue,” he said, adding that it will continue to work with other provinces through the passport system.
“We’ve been a leader on the passport system and it has worked well for our country,” Struthers said. “It is a highly harmonized system of provincial securities legislations, which enables Manitoba to remain responsive to the local financial industry and the overall needs of our business community.”
Moreover, he adds that the decision encourages greater co-operation between both levels of government.
“The unilateral approach by the federal government is no way to do business. I hope they will take this ruling as a signal from the high court that we all need to put our heads together and work co-operatively to deal with issues like transfer payments for health care and other key public services,” Struthers said. “My door is always open when it comes to discussions on how to keep our province moving forward to grow our economy.”