Suspending Parliament won't affect automaker aid, Clement says

There is still federal money available to help automakers stave off bankruptcy even though Parliament has been suspended, Industry Minister Tony Clement said Thursday.

The Conservative government has "certain instruments" available in its last budget to help the Detroit Big Three automakers, although no decision has been made about a potential aid package, he said.

The proroguing of Parliament until Jan. 26 has raised concerns that a bailout for the automakers could be delayed until the Tories have the chance to ask for the money in their next budget, to be delivered at the end of January.

Clement moved to ease those worries after filling in for Prime Minister Stephen Harper at the opening of a new Toyota plant in Woodstock, Ont. Harper's meeting with the Governor General forced him to cancel his trip.

"We cannot act on budget 2009 until we pass budget 2009 — I understand that and so do my fellow parliamentarians," Clement said.

"At the same time, it is possible for us to continue to act within the confines of budget 2008. We still have spending decisions that we can and should make and, at the same time, certainly it is possible for us to signal our intentions," he said.

Clement wouldn't specify where he'll find the money. The $250 million included in the last budget to fund new automotive technology won't come close to covering the billions of dollars that automakers say they need to avoid bankruptcy.

General Motors, Ford and Chrysler, who are also asking the U.S. Congress for $34 billion US, have until Friday to crack open their books and deliver a restructuring plan to the federal and Ontario governments.

With files from the Canadian Press