Thank you, Mr. Speaker. Members initially had concerns that the enforcement powers included in the bill might be somewhat heavy handed. As Mr. Massey stated with respect to the inspection and auditing powers, "the fact that power is there to use at their discretion with no forewarning, and all over the deposit refund money and how they are doing that seems somewhat overkill."

In particular, there were concerns that the maximum fine of $50,000 for violating the act was unreasonably high. For example, Members would not want to see a volunteer-run not-for-profit group fined $50,000 for inadvertently failing to complete the proper paperwork for a depot it was running.

However, Members heard from Mr. Jack Walker of Petersen and Auger that the enforcement provisions may not be strong enough. Mr. Walker's concerns are discussed in more detail in another section of this report. The committee also noted that other Canadian jurisdictions with mandatory recycling programs have similar inspection and audit powers.

Further, the Minister and department indicated that strong enforcement powers and heavy maximum fines are needed for deterrence in the case of large distributors that intentionally do not comply with the act and regulations. As a result, the committee was generally satisfied that the enforcement provisions in this bill are reasonable.

The committee notes that the bill would allow for specific penalties to be set in regulations, and would urge the government to consider whether smaller maximum penalties could be set in the beverage container recovery regulations for offences by depot and processing centre operators.

Further enforcement issues specific to the proposed beverage container recovery program are discussed in a later section.