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Alberta

39 percent increase in funding for RCMP instigates discussion about future policing for rural Alberta

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Alberta’s government will pay the 39% increase for one year and will begin engagement with smaller communities on their policing needs for the future.

Alberta’s government is temporarily freezing the amount rural municipalities are responsible for paying for front-line policing services in Alberta.

The province is responsible for providing policing services to municipal districts, counties and urban municipalities with populations less than 5,000. In response to rising rural crime, Alberta’s government announced increased funding for RCMP services in 2019 which helped create hundreds of additional RCMP positions across the province.

When these changes came into effect in 2020, the province also worked with Alberta Municipalities and Rural Municipalities of Alberta to create a shared funding model through the Police Funding Regulation. Now, due to higher costs from recent RCMP collective agreements, the cost for policing in these smaller communities will increase by 39 per cent, with no corresponding increase in the services provided. To assist municipalities with these new costs, Alberta’s government will pay the increase for one year and will begin engagement with them on their policing needs for the future.

“The expiring regulation would have municipalities seeing a 39 per cent increase in their costs – with no improvement in policing services delivered. We know this is not acceptable for many municipalities. This cost freeze will give rural municipalities the stability and predictability they need, and it will allow for meaningful engagement between the province and municipalities on equitable support.”

Mike Ellis, Minister of Public Safety and Emergency Services

“Alberta’s government understands that such an increase in costs for service will be a challenge to our rural municipalities. With the costs frozen for a year, we look forward to a comprehensive review of the police funding model with our municipal partners. During our review, we will carefully consider all factors to ensure we provide an updated funding model that is sustainable.”

Ric McIver, Minister of Municipal Affairs

Municipalities are preparing their budgets for 2025, and those served by the RCMP under the Provincial Police Service Agreement can continue to expect the same level of service without the additional costs for one year. While these costs are shared between municipalities and the province, the province will pay a higher proportion of the costs next fiscal year, a total of $27 million, so that municipalities’ costs remain stable while they determine how to cover the increases on a forward basis and what the best model of policing is for their community.

The Police Funding Regulation introduced in 2020 was phased in over several years, with rural municipalities paying an increasing share of their policing costs each year for four years. Municipalities have been paying 30 per cent of front-line policing costs since fiscal year 2023-24. By sharing costs, the province has been able to afford the addition of many new RCMP police officers, programs and services over the past several years.

The Police Funding Regulation has been in place for almost five years, and with the significant cost increases coming from the federal government, the province will undertake a review to determine what improvements may be needed. While the regulation was originally supposed to expire March 31, 2025, Alberta’s government has extended it by one year to March 31, 2026, which will enable the province and municipalities to have fulsome conversations about future policing needs and models. More details about the comprehensive review and engagement opportunities for rural municipalities will be released shortly.

Quick Facts:

  • The Police Funding Regulation brought in a new funding model, which was phased in over several years, with rural municipalities paying an increasing share of their policing costs each year, reaching the intended 30 per cent in 2023.
    • They were charged 10 per cent starting April 1, 2020. This increased to 15 per cent one year later, 20 per cent the following year and finally 30 per cent starting April 1, 2023.
    • The initial funding model was based on 2018 costs to provide certainty and stability to municipalities.
    • After 2024-25, the municipal share will be required to be based on current policing costs, resulting in a proposed 39 per cent increase in costs for municipalities.
  • The Police Funding Model enabled a $235.4-million investment in policing over five years, adding 285 regular members and 244 civilian positions to enhance rural policing.

Alberta

‘Existing oil sands projects deliver some of the lowest-breakeven oil in North America’

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From the Canadian Energy Centre 

By Will Gibson

Alberta oil sands projects poised to grow on lower costs, strong reserves

As geopolitical uncertainty ripples through global energy markets, a new report says Alberta’s oil sands sector is positioned to grow thanks to its lower costs.

Enverus Intelligence Research’s annual Oil Sands Play Fundamentals forecasts producers will boost output by 400,000 barrels per day (bbls/d) by the end of this decade through expansions of current operations.

“Existing oil sands projects deliver some of the lowest-breakeven oil in North America at WTI prices lower than $50 U.S. dollars,” said Trevor Rix, a director with the Calgary-based research firm, a subsidiary of Enverus which is headquartered in Texas with operations in Europe and Asia.

Alberta’s oil sands currently produce about 3.4 million bbls/d. Individual companies have disclosed combined proven reserves of about 30 billion barrels, or more than 20 years of current production.

A recent sector-wide reserves analysis by McDaniel & Associates found the oil sands holds about 167 billion barrels of reserves, compared to about 20 billion barrels in Texas.

While trade tensions and sustained oil price declines may marginally slow oil sands growth in the short term, most projects have already had significant capital invested and can withstand some volatility.

Cenovus Energy’s Christina Lake oil sands project. Photo courtesy Cenovus Energy

“While it takes a large amount of out-of-pocket capital to start an oil sands operation, they are very cost effective after that initial investment,” said veteran S&P Global analyst Kevin Birn.

“Optimization,” where companies tweak existing operations for more efficient output, has dominated oil sands growth for the past eight years, he said. These efforts have also resulted in lower cost structures.

“That’s largely shielded the oil sands from some of the inflationary costs we’ve seen in other upstream production,” Birn said.

Added pipeline capacity through expansion of the Trans Mountain system and Enbridge’s Mainline have added an incentive to expand production, Rix said.

The increased production will also spur growth in regions of western Canada, including the Montney and Duvernay, which Enverus analysts previously highlighted as increasingly crucial to meet rising worldwide energy demand.

“Increased oil sands production will see demand increase for condensate, which is used as diluent to ship bitumen by pipeline, which has positive implications for growth in drilling in liquids-rich regions such as the Montney and Duvernay,” Rix said.

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Alberta

It’s On! Alberta Challenging Liberals Unconstitutional and Destructive Net-Zero Legislation

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“If Ottawa had it’s way Albertans would be left to freeze in the dark”

The ineffective federal net-zero electricity regulations will not reduce emissions or benefit Albertans but will increase costs and lead to supply shortages.

The risk of power outages during a hot summer or the depths of harsh winter cold snaps, are not unrealistic outcomes if these regulations are implemented. According to the Alberta Electric System Operator’s analysis, the regulations in question would make Alberta’s electricity system more than 100 times less reliable than the province’s supply adequacy standard. Albertans expect their electricity to remain affordable and reliable, but implementation of these regulations could increase costs by a staggering 35 per cent.

Canada’s constitution is clear. Provinces have exclusive jurisdiction over the development, conservation and management of sites and facilities in the province for the generation and production of electrical energy. That is why Alberta’s government is referring the constitutionality of the federal government’s recent net-zero electricity regulations to the Court of Appeal of Alberta.

“The federal government refused to work collaboratively or listen to Canadians while developing these regulations. The results are ineffective, unachievable and irresponsible, and place Albertans’ livelihoods – and more importantly, lives – at significant risk. Our government will not accept unconstitutional net-zero regulations that leave Albertans vulnerable to blackouts in the middle of summer and winter when they need electricity the most.”

Danielle Smith, Premier

“The introduction of the Clean Electricity Regulations in Alberta by the federal government is another example of dangerous federal overreach. These regulations will create unpredictable power outages in the months when Albertans need reliable energy the most. They will also cause power prices to soar in Alberta, which will hit our vulnerable the hardest.”

Mickey Amery, Minister of Justice and Attorney General

Finalized in December 2024, the federal electricity regulations impose strict carbon limits on fossil fuel power, in an attempt to force a net-zero grid, an unachievable target given current technology and infrastructure. The reliance on unproven technologies makes it almost impossible to operate natural gas plants without costly upgrades, threatening investment, grid reliability, and Alberta’s energy security.

“Ottawa’s electricity regulations will leave Albertans in the dark. They aren’t about reducing emissions – they are unconstitutional, ideological activist policies based on standards that can’t be met and technology that doesn’t exist. It will drive away investment and punish businesses, provinces and families for using natural gas for reliable, dispatchable power. We will not put families at risk from safety and affordability impacts – rationing power during the coldest days of the year – and we will continue to stand up for Albertans.”

Rebecca Schulz, Minister of Environment and Protected Areas

“Albertans depend on electricity to provide for their families, power their businesses and pursue their dreams. The federal government’s Clean Electricity Regulations threaten both the affordability and reliability of our power grid, and we will not stand by as these regulations put the well-being of Albertans at risk.”

Nathan Neudorf, Minister of Affordability and Utilities

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