Wednesday, April 2

Environment

Environment, Government Finances, Intergovernmental, Opinion/Research, Politics, Rural

2021 Top Stories

Politics During 2021 Alberta’s political oxygen was consumed almost entirely with COVID-19- a topic Abpolecon.ca kept in the background.  The third, fourth (Delta) and fifth (Omicron) waves rolled over the province and Kenney’s government was consistently found wanting. Not only was 2021 defined by the premier’s mishandling of COVID - the “best summer ever” but the NDP consistently out fund-raised the UCP. On top of these failures was a sexual harassment suit, an ill-timed UCP Christmas reception, and 22 constituency associations demanding the leadership review be bumped up to March (the effort was denied by the party Executive). By September Kenney was regarded as a “dead man walking.”  In December, former Wildrose leader and UCP leadership contestant Brian Jean resurfaced as UCP candidat...
Employment, Environment, Government Finances, Intergovernmental, Opinion/Research

Alberta’s Economic Recovery Plan appears to be taking off

The past ten-days has seen a flurry of announcements from Premier Kenney, his Jobs, Economy and Innovation minister Doug Schweitzer, Associate Minister of Natural Gas and Electricity- Dale Nally, and Finance Minister Travis Toews. Kenney, in all these announcements, was centre stage and answering inquiries from the media. Hydrogen Roadmap The first announcement on 6 November was the unveiling of a hydrogen strategy. Hydrogen, especially “blue hydrogen,” is now seen as having the potential of an oilsands-like boom. According to Kenney: “With a global market estimated to be worth $2.5 trillion a year by 2050, hydrogen could be Alberta’s next great energy opportunity. Alberta has been a global leader in responsible energy production for decades, and now we’re ready to apply that leadership t...
Environment

Kudos to Environmental Law Centre!

On Wednesday 1 September Jason Nixon, Minister of Environment and Parks made an intriguing announcement. Sharing the stage with Tanya Fir, the Associate Minister of Red Tape Reduction, the duo announced the opening of a new website that allows citizens access to the records of Alberta's environmental enforcement actions.  This website does not include Alberta Energy Regulator's enforcement actions which can be found at AER's compliance dashboard. According to the news release, the free access to these records "demonstrates this government’s commitment to transparency, reducing red tape, improving efficiencies and eliminating the cost to Albertans." While seeming to claim credit, the real credit must go to the Environmental Law Centre which has offered this service since 1996 for a fee. Ac...
Agencies, Energy, Environment, Opinion/Research

Alberta’s environmental bills coming due. Who will Pay?

The release of The Big Cleanup: How enforcing the Polluter Pay principle can unlock Alberta’s next great jobs boom on Tuesday 29 June by the Alberta Liabilities Disclosure Project is an important next step in the Province coming to terms with its oil and gas legacy. The easy-to-read 40-page report comes complete with nuggets of information to jar government and industry policy-makers along with a dozen recommendations to minimize the costs to Canadian and Albertan taxpayers. Preliminary There is little doubt that Albertans have enjoyed the fruits of the periodic capital investment booms of the energy industry since the 1950s. These fruits included low unemployment rates, highest incomes in Canada, generous government services, low taxes, and Canada’s highest “standard of living.” Standard...
Agencies, Energy, Environment, Health, Politics

The times they are a’changin

Come senators, congressmenPlease heed the callDon't stand in the doorwayDon't block up the hallFor he that gets hurtWill be he who has stalledThe battle outside ragin'Will soon shake your windowsAnd rattle your walls… Bob Dylan On Thursday 18 June a remarkable event took place. The near simultaneous release of an Alberta Energy Regulator (AER)/Canadian Environment Impact Assessment Agency (CEIAA) joint panel rejection of the controversial Grassy Meadows coal project and a news release from Alberta's Environment and Energy ministers "respecting" the Joint Panel’s recommendations. The Thursday announcements followed declarations by federal Environment Minister Jonathan Wilkinson that all coal projects which produced selenium would be subject to federal review due to the environmental impa...
Agencies, Energy, Environment, Government Finances, Opinion/Research

Exploring the Regulatory Maze (3): The Auditor General Reports…

The bizarre story of the Mine Financial Security program (MFSP) continues to unfold. In May, the Minister of the Environment and Parks, Jason Nixon announced a review of the program noting depressed profits in 2020 motivated the government to reset the rules in calculating security requirements.  This meant that increased security requirements under the existing requirement would be reduced.    Then on 10 June, Auditor General Doug Wylie released a report which focused on processes to provide information about government's environmental liabilities. The report unfortunately raises serious questions about the competencies of provincial officials at all levels as well as the failure of senior officials and ministers to accept responsibility for environmental cleanups. Wylie’s report addres...
Energy, Environment, Government Finances

International Energy Agency- Bombshell Report

Until about five years ago the International Energy Agency was beholden to Big Oil. It is no more. Its blockbuster report dropped on an unsuspecting world on 18 May raises deep questions about Big Oil’s survival much past the next decade. The report of 223 pages entitled Net Zero by 2050- A Roadmap for the Global Energy Sector, contains four main chapters, four appendices, and six pages of references. With ESG investing in ascendance, Alberta’s regulatory system of setting security requirements broken, now there is considerable doubt that long-term bitumen reserves have the value they once had.. The IEA volume is organized in four parts: implications of country’s net-zero pledges; global pathway to net-zero CO2 emissions in in 2050; sectoral pathways to net-zero CO2 emissions by 2050; and...
Banks, Environment, Opinion/Research

Mark Carney’s magnum opus: A Book Review

Mark Carney, the much-celebrated central banker from Canada has a new book entitled Value(s). This 600-page (with endnotes) book represents a much-awaited synthesis of his ideas from his days as bank governor, senior Finance official and Goldman Sachs investment banker. His return to Ottawa, appointment at Brookfield and earlier appointment as the U.N. Special Envoy for the Environment might seem like a crowning achievement but Dr. Carney’s career has probably not peaked yet. Naturally there is much speculation about his future relationship with the Liberal Party of Canada but it strikes me that his ambitions (and talents) are more global in nature.  Carney is not what I would consider a conventional economist. His D.Phil at Oxford was entitled "The dynamic advantage of competition,” ...
Environment, Health, Opinion/Research

Exploring a regulatory maze

This post, the first of a series of articles dealing with the nature of regulation-making authority in Alberta endeavours to understand the breadth and complexity of regulation in various forms. This post was tweaked by a news release concerning a violation of the Environment Protection Enhancement Act. The series will investigate the complex nature of legislation and delegated regulation-making powers, the nature of enforcement, and the possible implications for society and the economy at large. Suncor pleads guilty On Friday 16 April the Alberta Department of Environment and Parks issued a press release stating Suncor Energy Products Partnership Product s Suncor Energie, S.E.M.E pleaded guilty to breaching legislation “relating to the release of hydrogen sulphide.” The event happened on ...
Capital Spending, Economic Data, Energy, Environment, Fiscal History, Government Finances, Politics

Presentation to EQUS directors- 23 November

EQUS is a small, co-operative distributor of  electricity to 12,000, mostly rural, customers.  The organization is the product of a series of mergers of rural electrification co-operatives over the past two decades. EQUS employs about 100 staff with its head office in Innisfail. The presentation, provocatively entitled "Alberta's Crumbling Economic and Fiscal Foundation" builds on concerns about the future health of Alberta's economy in a world where international financial capital places more emphasis on renewable energy solutions. The presentation highlights the pivotal role of capital expenditures of the oil and gas sector which have driven the Alberta economy since 1947. Alberta's gross fixed capital formation (oil and gas, institutional, industrial, residential and non-residential bui...