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David Thompson Aurora Institute Vancouver, Canada aurora

Explore how cooperative structures can address public policy issues in energy, environment, healthcare, social justice, and governance. Discover the potential of cooperative solutions in transforming industries for the public good.

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David Thompson Aurora Institute Vancouver, Canada aurora

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  1. Can Co-operative Structures Solve Public Policy Problems?Parkland Institute:Co-op - Friendly Think Tank David Thompson Aurora Institute Vancouver, Canada www.aurora.ca

  2. Parkland Institute • Alberta research network • In Faculty of Arts, University of Alberta • Non-partisan • Progressive think-tank • bridge academy and public/media • CCPA, Fraser Institute • Academic standards – peer review Can co-operative structures solve public policy problems?

  3. Parkland - Outputs • Research reports, books, occasional papers • Conferences • “Power for the People: Determining our Energy Future” • Nov 17-19, 2006, University of Alberta • Keynote: John Ralston Saul • Go! • Media – op-eds, articles, interviews, etc. • Policy options to solve problems Can co-operative structures solve public policy problems?

  4. Parkland – Research Areas Public Policy Issues: • Energy • Environmental problems • Health care • Poverty and social justice • Democracy and government • Fiscal, economic issues Can co-operative structures solve public policy problems?

  5. Traditional Public Policy Solutions • Regulation • Statutes, regulations, codes • Essential, but not enough • Fiscal • Spending and taxation powers • Essential, but not enough, not done here • Voluntary approaches • Ineffective, inefficient, costly – OECD (2003) Can co-operative structures solve public policy problems?

  6. Traditional solutions not effective • Why? • Create incentives for good outcomes • Accept structures that produce bad outcomes • For-profit business corporation • Profit good motivator to increase production • Profit good motivator to reduce costs • Increasing production or reducing costs not always a positive thing • Example: environmental harm from production and externalization of costs Can co-operative structures solve public policy problems?

  7. Policy issue: Energy Security • Raises questions of: • resource conservation • environmental protection • resource rents for owners (“royalties”) • Parkland recommendations included structural changes: • Democratic management • Public interest mandate, not just profits • Didn’t address cooperatives specifically Can co-operative structures solve public policy problems?

  8. Can co-operative structures solve public policy problems?

  9. Policy Issue: Corporatization and Privatization • Sell City drainage function to EPCOR? • Huge asset – many billions of dollars • EPCOR corporatized utility owner/operator • Power and water utilities here, Canada, US • No public control or accountability • Transparency very restricted • Thus significant public debate on drainage • City council vote Can co-operative structures solve public policy problems?

  10. Corporatization and Privatization Can co-operative structures solve public policy problems?

  11. Corporatization and Privatization Parkland Report and presentation to City Council: • Reject proposal to sell off drainage • Successful, despite millions spent by other side • Reform EPCOR • Convert to utility cooperative • Utility cooperatives common throughout the world • Accountable to people served • Serve broader range of goals than just profit maximization – e.g. environment Can co-operative structures solve public policy problems?

  12. Policy issue: Energy and democracy • Parkland conference: “Power for the People” (Nov. 17-19) • Panel: Can we transition to a post-carbon economy? • Major challenge: Energy corporations • extremely profitable, politically powerful • aggressive at protecting their interests • Can we ever succeed with this structure in the industry? Can co-operative structures solve public policy problems?

  13. Transforming the Fossil Fuel Industry:Private sector ownership,Public interest mandate Power for the People Conference Parkland Institute University of Alberta November 17-19, 2006

  14. Ownership vs. Interest Served Public interest Charities Churches Social enterprise Crown corporations Public ownership Private ownership Business corporations Private interest Can co-operative structures solve public policy problems?

  15. Issues in transforming the industry • Legal capacity • Financial capacity • Trade challenges • Corporate culture • Political will • Others… Can co-operative structures solve public policy problems?

  16. How is this emerging structural policy approach different? • Old approach: alter rules (regulatory or fiscal) • Corporate programming conflicts with rules • Industry not cooperate / oppose • Limited success • New approach: alterindustry • Industry programming mirrors rules • Industry comply, cooperate • Far-reaching outcomes Can co-operative structures solve public policy problems?

  17. Why do we need a new policy approach? • Why not just continue with the traditional policy instruments? • Because outcomes not good enough in those policy areas • Einstein: “Insanity is doing the same thing over and over, and expecting a different result” Can co-operative structures solve public policy problems?

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