Devolving powers to regional government.

• Author: Stewart, Nick

With the strong Canadian dollar and the high prices of energy and fiber taking a devastating toll on the forestry industry, more and more individuals within Northwestern Ontario are beginning to give serious thought to finding stronger independence from Queen's Park.

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"Ontario is becoming increasingly focused on Toronto, whose problems are dominating the province to an extent where it is difficult for other parts of the province to make their case," says Livio Di Matteo, a professor of economics at Lakehead University in Thunder Bay.

"Toronto insists that it's the engine of the economy and it's acquiring new powers under the City of Toronto Act. If it can work for Toronto, it can work for the Northeast or the Northwest, and I think Queen's Park should consider devolving certain powers to regional governments."

Spurred by the increasing level of interest within the North west for some alternate form of government, Di Matteo co-authored a study published in the Canadian Policy Journal in 2006 analyzing that very concept, which would encompass the districts of Rainy River and Thunder Bay northward to the James Bay area. The study also looked at other ideas, such as merging the area with Manitoba, though these were ultimately viewed as being unrealistic due to the massive political complications.

As the most feasible and potentially productive option, he says that regional government for the Northwest would represent an opportunity for solid economic development, provided that the province would allocate certain tax transfer credits as well as the appropriate tools such as jurisdiction over crown lands, transportation, energy and tourism.

"Part of the problem for Northwestern Ontario is that many of the most important decisions are being made thousands of kilometres away by people who are not as familiar or as interested with the issues and don't have the time because they're preoccupied by other things," says Di Matteo. "This is a win-win situation. We get jurisdiction over things that other people don't really want to deal with and people in the Toronto area get us off their backs and don't have to worry about us as much."

Also putting some thought into the topic is the Northern Ontario Municipalities Association (NOMA), who has partnered with a number of regional chambers of commerce and local stakeholders to develop a recommendation paper which is to be delivered to the federal and provincial governments in the spring...