Alberta
Fraser Institute says Albertans should get annual dividend to promote Heritage Fund
From the Fraser Institute
By Tegan Hill and Joel Emes
An Alberta Dividend: The Key to Growing the Heritage Fund
If the government of Alberta wants to build the Heritage Fund over the longer term, it should start paying dividends to Albertans, finds a new study published today by the Fraser Institute, an independent non-partisan Canadian think-tank.
“The Alberta government has promised to ‘re-build’ the Heritage Fund, but it will require a consistent commitment over the long term,” said Tegan Hill, director of Alberta Policy at the Fraser Institute and co-author of An Alberta Dividend: The Key to Growing the Heritage Fund.
In 1976, the province established the Alberta’s Heritage Savings Trust Fund to save a share of the province’s resource revenues to provide ongoing benefits to Albertans. Since its creation, however, resource revenue contributions have only been made in 11 of 48 years of the fund’s existence and just 3.9 per cent of total resource revenue has been deposited to the fund over its lifetime.
Learning from Alaska’s success with its resource revenue savings fund—the Alaska Permanent Fund—the study proposes that Alberta should introduce a dividend to provincial residents to create public buy-in that generates political pressure to adhere to fiscal rules around the Heritage Fund’s operation—such as consistent resource
revenue contributions and inflation-proofing of the fund’s principal—to ensure its growth over time.
For perspective, the Permanent Fund was started the same year as Alberta’s Heritage Fund but has grown to US$78.0 billion in 2022/23—or C$88.6 billion—compared to a balance of just C$19.0 billion in Alberta’s Heritage Fund.
Using two alternatives based on Alaska, which includes mandatory 25 per cent resource revenue contributions and consistent inflation proofing of the fund’s principal, the Heritage Fund has the potential to pay each Albertan a total of $571 to $1,108 in dividends over the next three years—equivalent to $2,284 to $4,430 per family of four.
Under these rules, the Heritage Fund would be worth between $35.8 billion and $38.7 billion by 2026/27, while paying out between $2.9 billion to $5.5 billion in dividends to Albertans.
“As demonstrated in Alaska, by giving citizens an ownership share in the state’s resource fund, they demand that sound rules regarding the governance of the fund be adhered to.” said Hill.
- The Smith government has promised to “re-build” the Heritage Fund so that eventually its earnings are significant enough to replace volatile resource revenue in the budget. While this is a worthy goal, it will require a long-term commitment.
- Building on work from Hill, Emes, and Clemens (2021), this bulletin uses Alaska’s success with its resource revenue savings fund—the Alaska Permanent Fund—to demonstrate how the Smith government can introduce new fiscal rules to ensure growth in the Heritage Fund with a focus on the annual dividend.
- As demonstrated in Alaska, by giving citizens ownership shares in the state resources, they recognize their vested interest and demand that the state maximizes returns from such resources. Put simply, by creating public buy-in, the dividend generates political pressure to enforce robust fiscal rules around the fund’s operation to ensure its growth.
- Using two illustrative models based on the Alaska Permanent Fund, which includes mandatory 25 percent resource revenue contributions and consistent inflation proofing of the fund’s principal, each Albertan could be paid an estimated $148 to $297 in dividends in 2024/25, equivalent to $594 to $1,187 per family of four. From 2024/25 to 2026/27, each Albertan could receive a total of $571 to $1,108 in dividends, equivalent to $2,284 to $4,430 per family of four.
- Under these rules, the Heritage Fund would be worth between $35.8 billion and $38.7 billion by 2026/27, while paying out between $2.9 billion to $5.5 billion in dividends to Albertans.
Authors:
Alberta
Alberta bill would protect freedom of expression for doctors, nurses, other professionals
From LifeSiteNews
‘Peterson’s law,’ named for Canadian psychologist Jordan Peterson, was introduced by Alberta Premier Danielle Smith.
Alberta’s Conservative government introduced a new law that will set “clear expectations” for professional regulatory bodies to respect freedom of speech on social media and online for doctors, nurses, engineers, and other professionals.
The new law, named “Peterson’s law” after Canadian psychologist Jordan Peterson, who was canceled by his regulatory body, was introduced Thursday by Alberta Premier Danielle Smith.
“Professionals should never fear losing their license or career because of a social media post, an interview, or a personal opinion expressed on their own time,” Smith said in a press release sent to media and LifeSiteNews.
“Alberta’s government is restoring fairness and neutrality so regulators focus on competence and ethics, not policing beliefs. Every Albertan has the right to speak freely without ideological enforcement or intimidation, and this legislation makes that protection real.”
The law, known as Bill 13, the Regulated Professions Neutrality Act, will “set clear expectations for professional regulatory bodies to ensure professionals’ right to free expression is protected.”
According to the government, the new law will “Limit professional regulatory bodies from disciplining professionals for expressive off-duty conduct, except in specific circumstances such as threats of physical violence or a criminal conviction.”
It will also restrict mandatory training “unrelated to competence or ethics, such as diversity, equity, and inclusion training.”
Bill 13, once it becomes law, which is all but guaranteed as Smith’s United Conservative Party (UCP) holds a majority, will also “create principles of neutrality that prohibit professional regulatory bodies from assigning value, blame or different treatment to individuals based on personally held views or political beliefs.”
As reported by LifeSiteNews, Peterson has been embattled with the College of Psychologists of Ontario (CPO) after it mandated he undergo social media “training” to keep his license following posts he made on X, formerly Twitter, criticizing Trudeau and LGBT activists.
He recently noted how the CPO offered him a deal to “be bought,” in which the legal fees owed to them after losing his court challenge could be waived but only if he agreed to quit his job as a psychologist.
Early this year, LifeSiteNews reported that the CPO had selected Peterson’s “re-education coach” for having publicly opposed the LGBT agenda.
The Alberta government directly referenced Peterson’s (who is from Alberta originally) plight with the CPO, noting “the disciplinary proceedings against Dr. Jordan Peterson by the College of Psychologists of Ontario, demonstrate how regulatory bodies can extend their reach into personal expression rather than professional competence.”
“Similar cases involving nurses, engineers and other professionals revealed a growing pattern: individuals facing investigations, penalties or compulsory ideological training for off-duty expressive conduct. These incidents became a catalyst, confirming the need for clear legislative boundaries that protect free expression while preserving professional standards.”
Alberta Minister of Justice and Attorney General Mickey Amery said regarding Bill 13 that the new law makes that protection of professionals “real and holds professional regulatory bodies to a clear standard.”
Last year, Peterson formally announced his departure from Canada in favor of moving to the United States, saying his birth nation has become a “totalitarian hell hole.”
Alberta
‘Weird and wonderful’ wells are boosting oil production in Alberta and Saskatchewan
From the Canadian Energy Centre
Multilateral designs lift more energy with a smaller environmental footprint
A “weird and wonderful” drilling innovation in Alberta is helping producers tap more oil and gas at lower cost and with less environmental impact.
With names like fishbone, fan, comb-over and stingray, “multilateral” wells turn a single wellbore from the surface into multiple horizontal legs underground.
“They do look spectacular, and they are making quite a bit of money for small companies, so there’s a lot of interest from investors,” said Calin Dragoie, vice-president of geoscience with Calgary-based Chinook Consulting Services.
Dragoie, who has extensively studied the use of multilateral wells, said the technology takes horizontal drilling — which itself revolutionized oil and gas production — to the next level.
“It’s something that was not invented in Canada, but was perfected here. And it’s something that I think in the next few years will be exported as a technology to other parts of the world,” he said.
Dragoie’s research found that in 2015 less than 10 per cent of metres drilled in Western Canada came from multilateral wells. By last year, that share had climbed to nearly 60 per cent.
Royalty incentives in Alberta have accelerated the trend, and Saskatchewan has introduced similar policy.
Multilaterals first emerged alongside horizontal drilling in the late 1990s and early 2000s, Dragoie said. But today’s multilaterals are longer, more complex and more productive.
The main play is in Alberta’s Marten Hills region, where producers are using multilaterals to produce shallow heavy oil.
Today’s average multilateral has about 7.5 horizontal legs from a single surface location, up from four or six just a few years ago, Dragoie said.
One record-setting well in Alberta drilled by Tamarack Valley Energy in 2023 features 11 legs stretching two miles each, for a total subsurface reach of 33 kilometres — the longest well in Canada.
By accessing large volumes of oil and gas from a single surface pad, multilaterals reduce land impact by a factor of five to ten compared to conventional wells, he said.
The designs save money by skipping casing strings and cement in each leg, and production is amplified as a result of increased reservoir contact.
Here are examples of multilateral well design. Images courtesy Chinook Consulting Services.
Parallel
Fishbone
Fan
Waffle
Stingray
Frankenwells
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