I’ve had this book in my library for over 45 years and finally got around to reading it. Reading The Last Spike by Pierre Berton recently spurred my interest in exploring more about the fascinating history of the railway in Canada.
What are freight rates and what was the issue?
The federal government back when railways had a monopoly, set up a series of rates for hauling cargo on the CPR (1885) and the CNR (1918) which often charged the West (and Maritimes) more than the equivalent rates in Ontario and Quebec. Western farmers in particular felt discriminated against and pressured their provincial governments to negotiate with Ottawa to resolve the issue. Politicians dug in on this as they realized they could make hay lol!
Who is Howard Darling?
Howard Darling was a U of T educated transportation economist and consultant with years of experience at the CPR and Transport Canada. He happened to be my step-father. Unfortunately he passed away suddenly in 1977 after having completed the manuscript for most of this book. Proff. Cecil E. law of Queen’s University took over and had the book published posthumously in 1980.
So what happened?
The Crowsnest Pass Agreement of 1897 locked in preferred rates for transporting western grain and flour. But extra charges for terminal storage and car handling snuck in over time while the policy framework remained stuck in the past. The disagreements morphed into other commodities, broader regional development issues and even the need for a federal subsidy to keep the railways solvent after labour strikes and generous settlements.
The acrimonious situation endured for over 60 years despite repeated efforts to rectify it which some thought was originally grounded in higher railway operational and capital costs, mountain terrain, longer distances, etc.).
Governments came and went and still the problem persisted and grew, Finally in the 1960s with the rise of efficient truck transportation of goods, the fixed freight rates were swept aside in favour of permitting railways to charge whatever they could in order to remain competive. Howard interjected humour saying how all kinds of people including the man on the street pronounced on the issue over the years but had no direct knowledge or vested interest in the outcome.
The Constitutional Problem
In a remarkable last chapter, he narrows down the long delay in resolving the imbalance to the monolithic nature and failure of Canada’s Parliament. Built on the model of British rule for a much smaller country, Canada’s federal system was not up to providing the tools and assistance the West needed to overcome its unique set of geographical and environmental problems, which were and still are, very different from those in Central Canada. He warned that a federation like Canada will not last long if it cannot handle a wide variety of diverse interests in an efficient and effective manner.
One concrete suggestion he made was to enable Federal MPs to sometimes vote according to their regional constituents’ interests rather than strictly on party lines.
The book is very well written and researched. I found it difficult to read in places due to the amount of detail but what an eye opener on the politics of freight rates and the larger issue of failures in Federal-Provincial relations that persist today.
I truly think that Howard Darling wrote a remarkable book both for the policy analyst and the general reader that is still relevant today. Oh Canada, what a beautiful thing!
mattersofthemoment 