The bigger picture is inter-provincial trade, but if the inspection on a vehicle was removed when it changes owners across the Alberta-Saskatchewan border in Lloydminster, that would be a big help to local vehicle owners in the Border City.
Lowering trade barriers between Alberta and Saskatchewan by signing an agreement would “boost Canada’s GDP by an estimated $18.1 billion,” notes Trevor Tombe, professor of economics at the University of Calgary and senior fellow at the Montreal Economics Institute.
Tombe urges Saskatchewan to follow Nova Scotia’s strategy in bringing in mutual recognition laws with the rest of the country. In a recent study, Tombe notes if trade barriers between Saskatchewan and the rest of the country were removed, Canada’s GDP would benefit by $43.6 billion.
The Saskatchewan NDP is asking SGI to look at removing the vehicle inspection charge which could be about $200. It notes that if a vehicle is insured and road-worthy in another province it should be fit for Saskatchewan roads.
SGI is shooting down that suggestion, and pointing to road safety, minimizing fraud, and that inspections are mandatory in other provinces.
The NDP fires back that used vehicles bought within Saskatchewan are exempt from these inspections. It notes that a new vehicle bought in Alberta or Manitoba must face the inspection charge before SGI will insure it. But an old “junker” bought in Saskatchewan can be insured and hit the road without facing a mandatory mechanical inspection.