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Alberta

Danielle Smith: Just ‘watch me’ protect Alberta from federal restrictions on oil, gas production

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From LifeSiteNews

By Anthony Murdoch

‘That is what the Sovereignty Act was about, sending the indication that we’re simply not going to comply with federal rules around this’

Alberta Premier Danielle Smith warned the federal government of Prime Minister Justin Trudeau to “watch me” over how she will shield her province from economic damage and high fuel prices after the feds announced a plan to cut oil and gas production by a third via an “emissions” reduction scheme by 2030.

“You’ll just have to watch me if you don’t believe me. That is what the Sovereignty Act was about, sending the indication that we’re simply not going to comply with federal rules around this,” Smith said while speaking to reporters at the United Nations’ COP28 climate confab on Thursday.

Smith warned that the Trudeau government is risking a full-blown “constitutional crisis” over what she said are “economic sanctions” on Alberta because of Trudeau’s oil and gas production cut.

On Thursday, Environment Minister Steven Guilbeault unveiled a plan at COP28 to slash oil and gas emissions by 35% to 38% below 2019 levels. He claimed that Canada needs to reach “carbon neutrality in Canada by 2050.”

Natural Resources Minister Jonathan Wilkinson claimed that the federal government’s new rules are needed to keep the planet from “burning up.”

Smith agreed to attend COP28 to paint her province in a positive light and to promote its oil and gas industry in direct opposition to the Trudeau feds. She said Alberta and Canada are under attack by the Trudeau government and his “eco-extremist,” admitted socialist environment minister.

Smith issued a joint statement with Alberta Minister of Environment and Protected Areas Minister Rebecca Schulz on Thursday that said the Trudeau government’s new rules amount to a “de facto production cap on Alberta’s oil and gas sector” that is an “an intentional attack by the federal government on the economy of Alberta and the financial well-being of millions of Albertans and Canadians.”

“Alberta owns our resources and under the constitution we have the exclusive jurisdiction to develop and manage them,” Smith said.

“We have done so responsibly by setting a price on carbon as far back as 2007, developing a carbon offset and trading program (TIER), investing billions in commercial scale carbon capture, creating an innovation fund that has so far supported 260 emissions reducing projects with $2.6 billion in grants.”

Smith noted that Alberta has its own plan for “reaching carbon neutrality across our entire economy by 2050,” which may or may not come to fruition.

She then took a shot at Guilbeault, calling him an “eco-extremist” whose ideals are “threatening the jobs of hundreds of thousands of Albertans.”

“Ironically, they are also significantly undercutting global emissions reduction efforts by effectively de-incentivizing capital investment by the oil and gas sector in the emissions-reducing technologies and fuels the world needs Alberta to develop and share,” she said.

Earlier this week, Guilbeault announced at COP28 his first attack on the oil and gas sector via a methane emissions cap. Smith blasted his new rules as “unrealistic” and “unconstitutional.”

The Trudeau government is trying to force net-zero regulations on all Canadian provinces, notably on electricity generation, as early as 2035. His government has also refused to extend a carbon tax exemption on heating fuels to all provinces, allowing only Atlantic provinces this benefit.

Trudeau’s current environmental goals are in lockstep with the United Nations’ “2030 Agenda for Sustainable Development” and include phasing out coal-fired power plants, reducing fertilizer usage, and curbing natural gas use over the coming decades.

The reduction and eventual elimination of the use of so-called “fossil fuels” and a transition to unreliable “green” energy has also been pushed by the World Economic Forum (WEF) – the globalist group behind the socialist “Great Reset” agenda – an organization in which Trudeau and some of his cabinet are involved.

Last month, after announcing she had “enough” of Trudeau’s extreme environmental rules, Smith said her province has no choice but to assert control over its electricity grid to combat federal overreach, by enacting its Sovereignty Act.” The Sovereignty Act serves to shield Albertans from future power blackouts due to federal government overreach.

Unlike most provinces in Canada, Alberta’s electricity industry is nearly fully deregulated. However, the government still has the ability to take control of it at a moment’s notice.

Guilbeault’s extreme eco-activist past

Guilbeault is as extreme as they come for an environment minister and his background shows a history of breaking the law via activism. In 1997, he joined Greenpeace and served for a time as a director and then campaign manager of its Quebec chapter for about 10 years.

He was arrested many times for environmental protests, the most famous arrest coming after an incident in 2001 when he climbed Toronto’s CN Tower with British activist Chris Holden. The pair hung a banner saying “Canada and Bush — Climate Killers.”

Greenpeace is a group that advocates for population control in addition to calling for an end to all oil and gas.

His extreme ideals have continued in his role as environment minister. He threatened arrest and jail time for Saskatchewan Premier Scott Moe, who said that on January 1 his province will no longer collect a federally imposed carbon tax on electric heat in addition to natural gas.

Smith has repeatedly defended Alberta from Trudeau’s climate regulations and asserted Alberta’s right to control its power grid, also promising the province will not be “transitioning away” from oil and natural gas. She has called on Trudeau to replace Guilbeault because he is too “extreme.”

Alberta does have support from the Supreme Court, however, which recently sided in favor of provincial autonomy when it comes to natural resources. The Supreme Court ruled that Trudeau’s law, C-69, dubbed the “no-more pipelines” bill, is “mostly unconstitutional.” This was a huge win for Alberta and Saskatchewan, who challenged the law in court. The decision returned authority over the pipelines to provincial governments, meaning oil and gas projects headed up by the provinces should be allowed to proceed without federal intrusion.

The Trudeau government, however, seems insistent on defying the recent rulings by pushing forward with its various regulations.

Alberta

Alberta government should eliminate corporate welfare to generate benefits for Albertans

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From the Fraser Institute

By Spencer Gudewill and Tegan Hill

Last November, Premier Danielle Smith announced that her government will give up to $1.8 billion in subsidies to Dow Chemicals, which plans to expand a petrochemical project northeast of Edmonton. In other words, $1.8 billion in corporate welfare.

And this is just one example of corporate welfare paid for by Albertans.

According to a recent study published by the Fraser Institute, from 2007 to 2021, the latest year of available data, the Alberta government spent $31.0 billion (inflation-adjusted) on subsidies (a.k.a. corporate welfare) to select firms and businesses, purportedly to help Albertans. And this number excludes other forms of government handouts such as loan guarantees, direct investment and regulatory or tax privileges for particular firms and industries. So the total cost of corporate welfare in Alberta is likely much higher.

Why should Albertans care?

First off, there’s little evidence that corporate welfare generates widespread economic growth or jobs. In fact, evidence suggests the contrary—that subsidies result in a net loss to the economy by shifting resources to less productive sectors or locations (what economists call the “substitution effect”) and/or by keeping businesses alive that are otherwise economically unviable (i.e. “zombie companies”). This misallocation of resources leads to a less efficient, less productive and less prosperous Alberta.
And there are other costs to corporate welfare.

For example, between 2007 and 2019 (the latest year of pre-COVID data), every year on average the Alberta government spent 35 cents (out of every dollar of business income tax revenue it collected) on corporate welfare. Given that workers bear the burden of more than half of any business income tax indirectly through lower wages, if the government reduced business income taxes rather than spend money on corporate welfare, workers could benefit.

Moreover, Premier Smith failed in last month’s provincial budget to provide promised personal income tax relief and create a lower tax bracket for incomes below $60,000 to provide $760 in annual savings for Albertans (on average). But in 2019, after adjusting for inflation, the Alberta government spent $2.4 billion on corporate welfare—equivalent to $1,034 per tax filer. Clearly, instead of subsidizing select businesses, the Smith government could have kept its promise to lower personal income taxes.

Finally, there’s the Heritage Fund, which the Alberta government created almost 50 years ago to save a share of the province’s resource wealth for the future.

In her 2024 budget, Premier Smith earmarked $2.0 billion for the Heritage Fund this fiscal year—almost the exact amount spent on corporate welfare each year (on average) between 2007 and 2019. Put another way, the Alberta government could save twice as much in the Heritage Fund in 2024/25 if it ended corporate welfare, which would help Premier Smith keep her promise to build up the Heritage Fund to between $250 billion and $400 billion by 2050.

By eliminating corporate welfare, the Smith government can create fiscal room to reduce personal and business income taxes, or save more in the Heritage Fund. Any of these options will benefit Albertans far more than wasteful billion-dollar subsidies to favoured firms.

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Alberta

Official statement from Premier Danielle Smith and Energy Minister Brian Jean on the start-up of the Trans Mountain Pipeline

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Alberta is celebrating an important achievement for the energy industry – the start-up of the twinned Trans Mountain pipeline. It’s great news Albertans and Canadians as this will welcome a new era of prosperity and economic growth. The completion of TMX is monumental for Alberta, since this will significantly increase our province’s output. It will triple the capacity of the original pipeline to now carry 890,000 barrels per day of crude oil from Alberta’s oil sands to British Columbia’s Pacific Coast.
We are excited that Canada’s biggest and newest oil pipeline in more than a decade, can now bring oil from Edmonton to tide water in B.C. This will allow us to get our energy resources to Pacific markets, including Washington State and California, and Asian markets like Japan, South Korea, China, and India. Alberta now has new energy customers and tankers with Alberta oil will be unloading in China and India in the next few months.
For Alberta this is a game-changer, the world needs more reliably and sustainably sourced Alberta energy, not less. World demand for oil and gas resources will continue in the decades ahead and the new pipeline expansion will give us the opportunity to meet global energy demands and increase North American and global energy security and help remove the issues of energy poverty in other parts of the world.
Analysts are predicting the price differential on Canadian crude oil will narrow resulting in many millions of extra government revenues, which will help fund important programs like health, education, and social services – the things Albertans rely on. TMX will also result in billions of dollars of economic prosperity for Albertans, Indigenous communities and Canadians and create well-paying jobs throughout Canada.
Our province wants to congratulate the Trans Mountain Corporation for its tenacity to have completed this long awaited and much needed energy infrastructure, and to thank the more than 30,000 dedicated, skilled workers whose efforts made this extraordinary project a reality. The province also wants to thank the Federal Government for seeing this project through. This is a great example of an area where the provincial and federal government can cooperate and work together for the benefit of Albertans and all Canadians.
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