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FortisBC Inc. (FortisBC) Application for a Certificate of Public ...

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Conclusion<br />

Marijuana is grown all over the world. In<br />

British Columbia (as in other provinces,<br />

notably Quebec and Ontario), it is a significant<br />

crop that fuels organized crime. Marijuana production<br />

appears to have been growing robustly<br />

during the past decade. Like many illegal products<br />

and services, it is difficult to measure the level<br />

<strong>of</strong> marijuana production. This is particularly the<br />

case when it is cheap to set up a grow operation<br />

and the market is substantial. In this paper I have<br />

reported a methodology <strong>for</strong> estimating the output<br />

<strong>of</strong> illegal production. Using estimates <strong>of</strong> marijuana<br />

growing in British Columbia based on this<br />

methodology, I have developed an estimate about<br />

the overall size <strong>of</strong> the local market and the implied<br />

level <strong>of</strong> exports.<br />

Appendix BCUC IR1 74.1<br />

The analysis reveals how widespread is the use <strong>of</strong><br />

marijuana in Canada and how extensively it is<br />

produced in British Columbia. Consequently, the<br />

broader social question becomes less whether or<br />

not we approve or disapprove <strong>of</strong> local production,<br />

but rather who shall enjoy the spoils. As it<br />

stands now, growers and distributors pay some<br />

<strong>of</strong> the costs and reap all <strong>of</strong> the benefits <strong>of</strong> the<br />

multi-billion dollar marijuana industry while the<br />

non-marijuana-smoking taxpayer sees only costs.<br />

Alcohol prohibition in the US expanded organized<br />

crime in North America. Removing alcohol<br />

prohibition generated many problems, but none<br />

like those afflicting society in the days <strong>of</strong> Al Capone<br />

and his ilk. Removing the prohibition on<br />

marijuana production would permit society to replace<br />

today’s gift <strong>of</strong> revenue to organized crime<br />

with (at the very least) an additional source <strong>of</strong><br />

revenue <strong>for</strong> government c<strong>of</strong>fers.<br />

The Fraser Institute 29 Marijuana Growth in British Columbia

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