Alberta
Hospitality Association grateful, but desperate for clarity on provincial health restrictions
News release from the AHA (Alberta Hospitality Association)
ALBERTA HOSPITALITY ASSOCIATION OFFICIAL RESPONSE TO THE ALBERTA GOVERNMENT ANNOUNCEMENTS
While the announcements made by the Alberta Government today were a move in the right direction it still leaves the hospitality industry in a precarious position with many within the industry feeling unclear and frustrated.
We have already received a high volume of inquiries to our association from operators voicing feedback from customers because of the lack of clear communication in today’s press conference. It is evident that the general public and the media do not fully understand how businesses in the hospitality industry have been, and will continue to be, impacted until all restrictions are lifted.
The hospitality industry wants an understanding as to why REP would be lifted before other restrictions such as table capacity, curfew and approved socializing and events throughout our operations. Removal of REP without loosening additional restrictions will continue to see operators enduring huge losses daily.
There is no data to support, or deny, that the curfew had any influence on the spread of covid with this current variant as there was no testing or contact tracing in the province. Moving forward with no testing or tracing AHA wants assurance that the hospitality industry will not continue to be targeted.
For several months AHA along with key stakeholders in the hospitality industry have requested meetings with the Alberta Government to discuss the dire status of our sector, insight of a plan moving forward and support to help ensure businesses can stop hemorrhaging money and retain the hard working staff that have now been put through five targeted closures.
To move forward confidently with the second level of restrictions lifting and avoid another closure or reinforced restrictions we ask for:
● A clear understanding of what the actual metrics and benchmarks the government requires to move into phase 2.
● Clarity about which additional restrictions will be lifted in phase 2 specific to the hospitality industry as the government website currently does not provide any information.
● A clear plan of provincial support for the hospitality industry which was unfairly targeted with closures during the fifth wave of restrictions.
The AHA is once again requesting a hospitality specific round table with decision makers within government which include Premier Kenney, Doug Schweitzer (Minister of Jobs, Economy, and Innovation), and Jason Copping (Minister of Health), along with our key stakeholders to discuss the current reopening plan, the effects the industry has faced over the last two years, and how we can legitimately move forward successfully.
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.
“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.”
“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.”
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.”
“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.”
Related information
- Conference Board of Canada socio-economic Impacts of Canada’s 2030 Emissions Reduction Plan – (April 2025)
- Alberta Electric System Operator’s position on Canadian Energy Regulations
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