Aren’t crown corporations an outmoded way of delivering services?

Not in the slightest. If anything, Crown corporations, public ownership, and community ownership of essential resources are even more relevant in recent years, where our economic system (capitalism) as a whole is less stable (prone to booms, busts, and crashes).

  • Crown corporations can borrow money at more favourable interest rates and can finance such projects more cheaply than the private sector.
  • Rather than seeking to maximize shareholder profits, Crown corporations try to guarantee access to their services at the lowest possible cost.
  • Crown corporations can equalize access to services by ensuring that under-served communities and groups have access to necessary services.
  • In good years, Crown dividends in Saskatchewan have been used to balance the provincial budget.
  • Crown corporations can consider the economic effects of their operations on local economies and the province as a whole when making strategic decisions.
  • Crown corporations have more ability to address environmental issues and concerns.
  • Public services offer us tremendous value as taxpayers.

A very obvious example of all this is the weak services that are applying to replace the Saskatchewan Transportation Company’s routes. Most applicants only want to fill the Saskatoon-Regina route or a few others that can be made profitable. This strands thousands of people in the province who don’t own their own transportation.

If a Crown corporation is not doing these things, then the responsibility lies with government to make Crown corporations fulfill their mandates, not cancel them, privatize them or “wind them down.”