Canada set to re-elect Conservatives on Tuesday

14 October 2008 21:31  [Source: ICIS news]

TORONTO (ICIS news)--Canada’s ruling Conservatives are on track to be re-elected on Tuesday in the first elections in a G7 country amid the global financial and credit crisis, according to the latest opinion polls.

 

After a short five-week campaign most pollsters predicted that Prime Minister Stephen Harper’s Conservatives would get about 35% of seats in Parliament, enough to form a second minority government after being first elected in 2006.

 

The Liberals, the main opposition party, were predicted to win just below 30% of the seats, with the remainder going to the leftist National Democratic Party (NDP) and the Bloc Québécois, a Quebec regional party.

 

The Green Party would likely gain in popular votes but was not likely to win a single seat under Canada’s “first-past-the-post” election system, pollsters said.

 

Still, some analysts would not rule out a Liberal surprise win. With some strategic voting in key ridings the Liberals under Stephane Dion could yet emerge to win a minority government of their own, or form a coalition with the NDP, they said.

 

The results will be disclosed only after 22:00pm Eastern Time, following the closure of the last polling stations in British Columbia.

 

The Liberals' platform, based on an ambitious “green shift” that called for a carbon tax while reducing income taxes, quickly lost relevance as the financial crisis shook up Canada's economy and stock market in past weeks.

 

A spokesperson for Canadian Chemical Producers Association (CCPA) was not immediately available for comment.

 

The Ottawa-based group had in the past been quite critical of the Conservatives' plans to cut greenhouse gas emissions.

 

Harper had also drawn criticism after he decided in 2006 to phase out favourable tax treatment for firms organised as income trusts.

 

Some Canadian chemical producers, including sodium chlorate producers Canexus and Surperior Plus/Erco Worldwide, as well as industrial chemicals producer Chemtrade Logisitcs, are organised as income trusts.

 

Dion, for his part, has promised to retain the tax-favoured status of income trusts.

 

In the outgoing parliament, Harper's Conservatives held 127 seats, the Liberals 95, the Bloc 48 and the NDP 30.

 

The opposition parties never united to bring Harper down and he has managed to rule as a minority leader since 2006.

 

On the Toronto stock exchange the S&P/TSX index was up 651.90 points, to 9,717.06 points in Tuesday afternoon trading (15:00 EST), after rebounding from last week's sharp declines.

 

To discuss issues facing the chemical industry go to ICIS connect

By: Stefan Baumgarten
+1 713 525 2653

For the latest chemical news, data and analysis that directly impacts your business sign up for a free trial to ICIS news - the breaking online news service for the global chemical industry.

Get the facts and analysis behind the headlines from our market leading weekly magazine: sign up to a free trial to ICIS Chemical Business.

Printer Friendly