VZCZCXRO5437
OO RUEHGA RUEHHA RUEHMT RUEHQU RUEHVC
DE RUEHOT #0074 0262144
ZNR UUUUU ZZH
O 262144Z JAN 09
FM AMEMBASSY OTTAWA
TO RUEHC/SECSTATE WASHDC IMMEDIATE 9025
INFO RUCNCAN/ALL CANADIAN POSTS COLLECTIVE PRIORITY

UNCLAS OTTAWA 000074 
 
SIPDIS 
 
SENSITIVE 
 
E.O. 12958: N/A 
TAGS: PGOV ECON CA
SUBJECT: 40th PARLIAMENT'S THRONE SPEECH - TAKE TWO 
 
REF: 08 OTTAWA 1516 
--   08 OTTAWA 1470 
 
¶1. (SBU) Summary: At the January 26 opening of the second session of 
the 40th Parliament, the government's latest Throne Speech was 
brief, sober in tone, focused exclusively on the economy, and 
unabashed in hitting key Liberal Party buttons in a clear bid to 
secure bipartisan political support.  The government will next 
present the FY09 federal budget on January 27; votes on that over 
the next week will be the key to the survival of Prime Minister 
Stephen Harper's government, which still appears likely. End 
summary. 
 
DO-OVER 
------- 
 
¶2.  (U) On January 26, Governor General Michaelle Jean read an 
unprecedentedly short (seven-and-a-half minutes) "Speech from the 
Throne" to kick off the second session of the 40th Parliament 
following the prorogation of Parliament on December 4 (ref a).  It 
came just 68 days since the last Throne Speech on November 18 (ref 
b) and was markedly missing many of the usual trappings of the event 
(notably, the outdoor ceremonies, which the bitter winter weather 
made unfeasible).  Highlighting that the global economic outlook had 
weakened since the October federal election, and even further since 
prorogation in December, the Speech focused almost exclusively on 
the urgency of shoring up the Canadian economy. 
 
¶3. (U) The government's Speech also exhorted parliamentarians to 
work together, to put aside partisanship, and to strive for greater 
solidarity at a time of "unprecedented economic uncertainty."  The 
government underscored that it had undertaken a real dialogue with 
stakeholders, that it had reached out and listened to Canadians and 
organizations, as well as to municipal, provincial, and territorial 
governments, in "a spirit of open and non-partisan co-operation" to 
find workable solutions.  It admitted that the "deepening crisis" 
required testing "old assumptions" and rethinking "old decisions." 
 
¶4. (U) The Speech foreshadowed the federal budget, which the 
government will introduce on January 27, by promising a "clear and 
focused" economic action plan to stimulate the economy, to invest in 
infrastructure, to protect the stability of the financial system, to 
ensure access to credit, to support Canadian industries in 
difficulty (including forestry, manufacturing, automotive, tourism, 
and agriculture), and to protect the vulnerable, especially those on 
low incomes, seniors, and aboriginals.  While pledging that the 
government would spend what was necessary, the Speech promised that 
the government would not return to permanent deficits.  Although the 
government acknowledged that its primary focus was the economy, it 
also pledged to attend to "the other important priorities" it had 
set out in last fall's Throne Speech, without specifying those 
issues. 
 
MIXED REACTION 
-------------- 
 
¶5.  (U) Leader of the Official Opposition and of the Liberal Party 
Michael Ignatieff was quick to take credit for the Speech's 
references to protecting the most vulnerable, saving jobs for now, 
and creating new jobs for the future, claiming that "imitation is 
the most sincere form of flattery" since they reflected virtually 
word-for-word his comments at the Liberals' January 19 caucus.  He 
and other Liberal spokespersons nonetheless declined to specify 
whether they would support the budget, insisting that they would 
closely examine the entire document first, but promising a clear 
position in a day or two.  Bloc Quebecois leader Gilles Duceppe and 
New Democratic Party leader Jack Layton were more categorical in 
voicing their opposition.  Layton emphasized that the real issue was 
"trust," which he claimed that PM Harper had irreparably destroyed. 
Q"trust," which he claimed that PM Harper had irreparably destroyed. 
 
 
 
¶6.  (U)  There will be apparently a vote on a Bloc Quebecois 
sub-amendment to the budget on January 28 or 29, with a vote on a 
Liberal amendment expected o/a February 2.  These votes, as well as 
the final votes on the budget and on the Speech itself, will all by 
definition be confidence votes that could bring down the 
government. 
 
¶7. (SBU) Comment:  The latest Throne Speech's subdued tone is a 
significant change from November's confident and provocative 
statement, demonstrating that the Conservatives essentially "get it" 
in terms of the need to speak a new language of conciliation and 
co-operation after their near-death experience in December.  The 
Speech hit important Liberal buttons and likely will gain the 
Liberals' support or acquiescence, but, as some opposition 
politicians have already warned, "the proof is in the pudding" with 
respect to the specifics of federal budget (and extent of the 
deficit) as well as PM Harper's willingness to make Parliament work. 
End comment. 
BREESE