Trade in Services
WTO - Trade in Services
The GATS and Environment, Water and Energy
- Does the GATS prevent Canada from
protecting the environment?
- Do Canada's trade obligations cover
bulk water?
- Does Canada allow foreign access
to water distribution services under the GATS?
- Will the GATS affect the ability
of municipalities to deliver drinking water to their citizens?
- Will our right to set water quality
standards be threatened by the GATS negotiations?
- Does Canada have GATS commitments
for energy services?
- Does the GATS limit Canada's ability
to maintain independent energy policies?
Does the GATS
prevent Canada from protecting our environment?
No.
Nothing in the GATS exempts foreign service providers from Canadian
laws and regulations. This includes laws aimed at protecting the
environment as well as laws and regulations regarding labour, health,
building and safety standards.
Furthermore, the GATS states that nothing in the agreement shall
prevent the adoption or enforcement of measures necessary to protect
human, animal or plant life or health.
Finally, the Government of Canada is undertaking an environmental
assessment of the GATS to assess the environmental impact of
the negotiations on Canada.
Do Canada's
trade obligations cover bulk water?
Nothing in any of Canada's international
trade obligations, including the GATS affects Canada's ability to
regulate water as a natural resource.
Water in its natural state is a natural resource and is not a good
for the purposes of trade agreements.
Only when water is removed from its natural state does it become
a good subject to trade disciplines dealing with Trade in Services.
This would include, for example, bottled water for the commercial
market.
Does Canada
allow access to foreign service providers to provide water distribution
services under the GATS?
All of Canada's international trade obligations
clearly preserve Canada's ability to deliver drinking water to its
citizens by municipal, regional or provincial governments, or by
these governments through procurement of water distribution services
from private sector firms.
Canada has no GATS commitments in respect of water collection,
purification and distribution services and has no plans to make
any.
In addition, the GATS services sectoral classification list, on
which the majority of WTO Members' commitments, including Canada's,
are based, explicitly excludes collection, purification and distribution
services of potable water.
Will the GATS
affect the ability of municipalities to deliver drinking water to
their citizens?
No.
In Canada, drinking water is delivered directly to citizens by
municipal, regional or provincial governments, or by these governments
through procurement of water distribution services from private
sector firms. In both cases, no GATS obligations of any kind exist.
Will our right
to set water quality standards be threatened by the GATS negotiations?
No. Nothing in the GATS, or any other trade agreement, prevents
governments from setting standards to ensure that Canadians have
access to safe drinking water.
All companies operating in Canada, both domestic and foreign, must
respect Canadian laws and regulations. This is not affected by trade
agreements.
Does Canada
have GATS commitments for energy services?
Canada has substantially
liberal GATS commitments in areas such as oil and gas services rendered
for oil and gas fields, and has very limited commitments for brokerage
services of wholesale electricity.
Canada's initial offer does not include new commitments for transportation
services associated with offshore oil and gas, the transmission
and distribution of electricity, or for the wholesale or retail
sale of electricity.
Electricity itself, meanwhile, is a good and is not covered by
the GATS.
Does the GATS
limit our ability to maintain independent energy policies?
No.
The GATS recognizes the right of all levels of government to regulate
and to introduce new regulations to meet national policy objectives.
Canada's long-standing position has been to look for opportunities
to expand and secure access for Canadian energy services exports.
Canada is a promoter of competitive markets, fair regulation and
the principles of sound, sustainable development that balance economic
factors with environmental and social objectives.
|
