Opinion/Research Archives - Page 4 of 4

22Mar

By Bob AscahNo Comments

Budget, Credit Ratings, Government Finances, Opinion/Research, Opinion/Research

Budget 2020-Credit Perspective

[Updated 23 August 2020. Note: This report was in development before the DBRS Morningstar report of Thursday 19 March. The report is only available to purchasers of the service. Normally, the Province of Alberta posts on its Investor Relations page the reports. To date, this has not taken place. Nor has there been an official reaction to the downgrade to AA- from AA and the outlook to negative.] One of the key audiences of any government budget, but especially a budget under increasing duress and scrutiny, are credit rating agencies such as Moody’s, Standard & Poor’s and DBRS Morningstar. Credit evaluation is as much an art as a science, requiring an understanding of financial principles, economics and political science. Agencies provide opinions on probabilities of default of b...

12Feb

By Bob AscahNo Comments

Energy, Energy, Opinion/Research

Teck-Frontier -Opinion

There are alternatives to Teck-Frontier I have not witnessed this level of political intemperance in Alberta since I was a graduate student at the University of Alberta in 1980. I am alarmed and deeply disturbed with the nasty rhetoric that has been displayed recently by the Alberta government – notably the statement by Jason Nixon, the Environment and Parks Minister. At issue is the impending decision by the federal government on the Teck-Frontier project. Proponents of the project stress the project will create 7,000 jobs during construction and up to 2,500 workers during operation. The project, which has been under review for ten years, is estimated to deliver $70 billion in taxes over 40 years of production and billions of dollars in spin off activity. There is no doubt that it i...

30Oct

By Bob AscahNo Comments

Opinion/Research, Politics

Let’s Just Take a Deep Breath- Opinion

Our political leaders, both provincial and federal, need to take a deep breath. Premiers Kenny and Moe specifically need to reset their expectations after the rather surprising election victory by Trudeau built on the wings of Canada’s unfair “first-past-the-post” system. Yes Alberta, and to a lesser extent, Saskatchewan, have endured over four years of lousy economic performance. However, unemployment increases and declining investment are due mainly to our economy’s being hostage to internationally determined oil and gas prices, not Ottawa’s policies. Political leaders in this province have talked for decades about “getting off the energy roller coaster.” Common lore – “give us another oil boom and we promise not to piss it away again” has not seemed to penetrate our political leaders’...

Environmental Liabilities-Part 2 AER Bombshell

6Nov

By Bob AscahNo Comments

Energy, Environment, Opinion/Research

Environmental Liabilities-Part 2 AER Bombshell

Originally posted on 5 November 2018 On Thursday, 2 November 2018 a startling Power Point presentation made by the Vice-President, Liabilities of the Alberta Energy Regulator [Go to National Observer] was released under Alberta's Freedom of Information and Protection of Privacy Act. The path-breaking investigation was undertaken by staff at the National Observer, Toronto Star, StarMetro Calgary, and Global News. Find the full Powerpoint presentation here. AER-FEB 28-wadsworth-liability-260 BILLION (1) Mr. Wadworth (pictured) worked at the Bruce Nuclear power plant in Ontario prior to his taking the VP's job at the AER. Mr. Wadsworth is a graduate of Royal Military College. In 2017, according to AER's disclosure under the Public Sector Compensation Transparency A...

2Mar

By albertarecessionwatchNo Comments

Budget, Fiscal History, Opinion/Research

And then there were none: Pros and Cons of a Sales Tax

Originally posted 2 March 2018 Economics Society of Northern Alberta hosts debate on sales tax All MLAs invited -but all missing in action Key obstacle is public's perception that governments will just waste the money Will a crisis tilt Alberta to new massive cuts or a sales tax? Are Alberta public sector workers overpaid? Relative to whom? (more…)

13Dec

By albertarecessionwatchNo Comments

Opinion/Research

Economic Diversification

In October, I wrote a column for Alberta Council of Technologies concerning diversification. [Tech Notes] In posts covering the Economic Outlook 2017 put on by the Economics Society of Northern Alberta, a summary of the panel on economic diversification was provided. The debate, in essence, pitted Gil McGowan who supports more government intervention to foster more value-added, commodity-based production with economist Trevor Tombe and Canada West Foundation CEO, Martha Hall Findlay, who judge that the market is the best to allocate capital. My column sketched the "inglorious history" of economic diversification in this province. The Don Getty years were perhaps the height of poor investments but Peter Lougheed's Heritage Fund investments in Prince Rupert, Vencap Equities, and support ...

25May

By albertarecessionwatchNo Comments

Opinion/Research

Government needs a set of fresh eyes to look at Investment Manager

Few Alberta municipal workers, health care workers, police officers, or provincial civil servants have ever heard of the Alberta Investment Management Corporation (AIMCo). This corporation, established by statute in 2007, and operating since 2008, now manages over $90 billion in investments, including the assets of the Heritage Fund. The corporation manages money for 26 pension, endowment, and government entities. AIMCo manages over $46 billion on behalf of roughly 336,000 active and retired members of public pension plans representing hundreds of government and agency employers. Prior to 2008, the management of these large investment funds had been undertaken by public servants employed by the Finance Ministry. The success of this organization is important for all Alberta residents, not j...