Alberta
Danielle Smith slams Trudeau’s methane emissions rules as ‘unrealistic,’ ‘unconstitutional’
From LifeSiteNews
‘Instead of building on Alberta’s award-winning approach, Ottawa wants to replace it with costly, dangerous and unconstitutional new federal regulations that won’t benefit anyone beyond Environment and Climate Change Minister Steven Guilbeault’s post-office career,’ a joint statement read
Alberta Premier Danielle Smith condemned the Trudeau government’s methane emissions cap as “unrealistic” and “unconstitutional.”
On December 4, Smith and Minister of Environment and Protected Areas Rebecca Schulz issued a joint statement blasting Environment Minister Steven Guilbeault’s new draft methane regulations.
“The federal government has unilaterally established new methane emissions rules and targets to help win international headlines,” the joint statement read.
“Instead of building on Alberta’s award-winning approach, Ottawa wants to replace it with costly, dangerous and unconstitutional new federal regulations that won’t benefit anyone beyond Environment and Climate Change Minister Steven Guilbeault’s post-office career,” it continued.
The proposed regulations, drafted December 4 after the 2023 United Nations Climate Change Conference (COP28) in Dubai, restrict oil and gas methane emissions to allegedly reduce “climate change.”
“The proposed methane regulations are consistent with Canada’s commitment to cap and cut oil and gas emissions and with calls from the International Energy Agency for all oil- and gas-producing countries to reduce methane emissions from the sector by 75 percent by 2030,” the news release read.
Under the proposed plan, methane regulations must reduce by 217 megatonnes (carbon dioxide equivalent) from 2027 to 2040.
“Canada is on track to meet its 2025 methane reduction target of 40 to 45 percent below 2012 levels,” the statement asserted. “The draft regulations published today are amendments to the 2018 methane regulations.”
In response to the regulations, Smith pointed out that Alberta has the autonomy to determine its own climate regulations without the direction of the Liberal government under the leadership of Prime Minister Justin Trudeau.
“Managing emissions from Alberta’s oil and gas industry is our constitutional right and responsibility, not Ottawa’s, and we are getting the job done,” Smith declared. “Using a province-led approach, Alberta has already reduced methane emissions from the oil and gas sector by 45 percent – hitting our target three years early – and we’re just getting started.”
“Meanwhile, not only is it illegal for Ottawa to attempt to regulate our industries in this manner, Ottawa also hasn’t even hit one of its past arbitrary and unscientific emissions targets,” she revealed.
“Once again, the federal government is setting unrealistic targets and timelines,” Smith added. “Infrastructure can only be updated as quickly as technology allows. For example, Alberta will not accept nor impose a total ban on flaring at this time, as it is a critical health and safety practice during production.”
“Given the unconstitutional nature of this latest federal intrusion into our provincial jurisdiction, our government will use every tool at our disposal to ensure these absurd federal regulations are never implemented in our province,” Smith concluded.
This is hardly the first time Smith has defended Alberta from Trudeau’s climate regulations. Smith has repeatedly asserted Alberta’s right to control power grid, promising the province will not be “transitioning away” from oil and natural gas.
Smith has warned that Canadians could freeze in the winter if the new “clean emissions” regulations are enforced, an assertion supported by Alberta’s electric grid operator, Alberta Electric System Operator (AESO), which warned that Trudeau’s 2035 net-zero power grid goal will mean instability for the western province and are “not feasible.”
Two recent court rulings dealt a serious blow to the Trudeau government’s environmental activism via legislation. The most recent was in November when the Federal Court of Canada ruled in favor of Alberta and Saskatchewan and overturned the Trudeau government’s ban on single-use plastic, calling it “unreasonable and unconstitutional.”
The second victory for Alberta and Saskatchewan concerns a Supreme Court ruling that stated that Trudeau’s law, C-69, dubbed the “no-more pipelines” bill, is “mostly unconstitutional.” 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.
In May, Guilbeault declared that violating environmental regulations banning the use of coal and gas-fired power after 2035 may even result in criminal sanctions, a statement that only increased the tension between the federal government and the provinces opposed to the proposed policies.
Alberta
Alberta’s fiscal update projects budget surplus, but fiscal fortunes could quickly turn
From the Fraser Institute
By Tegan Hill
According to the recent mid-year update tabled Thursday, the Smith government projects a $4.6 billion surplus in 2024/25, up from the $2.9 billion surplus projected just a few months ago. Despite the good news, Premier Smith must reduce spending to avoid budget deficits.
The fiscal update projects resource revenue of $20.3 billion in 2024/25. Today’s relatively high—but very volatile—resource revenue (including oil and gas royalties) is helping finance today’s spending and maintain a balanced budget. But it will not last forever.
For perspective, in just the last decade the Alberta government’s annual resource revenue has been as low as $2.8 billion (2015/16) and as high as $25.2 billion (2022/23).
And while the resource revenue rollercoaster is currently in Alberta’s favor, Finance Minister Nate Horner acknowledges that “risks are on the rise” as oil prices have dropped considerably and forecasters are projecting downward pressure on prices—all of which impacts resource revenue.
In fact, the government’s own estimates show a $1 change in oil prices results in an estimated $630 million revenue swing. So while the Smith government plans to maintain a surplus in 2024/25, a small change in oil prices could quickly plunge Alberta back into deficit. Premier Smith has warned that her government may fall into a budget deficit this fiscal year.
This should come as no surprise. Alberta’s been on the resource revenue rollercoaster for decades. Successive governments have increased spending during the good times of high resource revenue, but failed to rein in spending when resource revenues fell.
Previous research has shown that, in Alberta, a $1 increase in resource revenue is associated with an estimated 56-cent increase in program spending the following fiscal year (on a per-person, inflation-adjusted basis). However, a decline in resource revenue is not similarly associated with a reduction in program spending. This pattern has led to historically high levels of government spending—and budget deficits—even in more recent years.
Consider this: If this fiscal year the Smith government received an average level of resource revenue (based on levels over the last 10 years), it would receive approximately $13,000 per Albertan. Yet the government plans to spend nearly $15,000 per Albertan this fiscal year (after adjusting for inflation). That’s a huge gap of roughly $2,000—and it means the government is continuing to take big risks with the provincial budget.
Of course, if the government falls back into deficit there are implications for everyday Albertans.
When the government runs a deficit, it accumulates debt, which Albertans must pay to service. In 2024/25, the government’s debt interest payments will cost each Albertan nearly $650. That’s largely because, despite running surpluses over the last few years, Albertans are still paying for debt accumulated during the most recent string of deficits from 2008/09 to 2020/21 (excluding 2014/15), which only ended when the government enjoyed an unexpected windfall in resource revenue in 2021/22.
According to Thursday’s mid-year fiscal update, Alberta’s finances continue to be at risk. To avoid deficits, the Smith government should meaningfully reduce spending so that it’s aligned with more reliable, stable levels of revenue.
Author:
Alberta
Premier Smith says Auto Insurance reforms may still result in a publicly owned system
Better, faster, more affordable auto insurance
Alberta’s government is introducing a new auto insurance system that will provide better and faster services to Albertans while reducing auto insurance premiums.
After hearing from more than 16,000 Albertans through an online survey about their priorities for auto insurance policies, Alberta’s government is introducing a new privately delivered, care-focused auto insurance system.
Right now, insurance in the province is not affordable or care focused. Despite high premiums, Albertans injured in collisions do not get the timely medical care and income support they need in a system that is complex to navigate. When fully implemented, Alberta’s new auto insurance system will deliver better and faster care for those involved in collisions, and Albertans will see cost savings up to $400 per year.
“Albertans have been clear they need an auto insurance system that provides better, faster care and is more affordable. When it’s implemented, our new privately delivered, care-centred insurance system will put the focus on Albertans’ recovery, providing more effective support and will deliver lower rates.”
“High auto insurance rates put strain on Albertans. By shifting to a system that offers improved benefits and support, we are providing better and faster care to Albertans, with lower costs.”
Albertans who suffer injuries due to a collision currently wait months for a simple claim to be resolved and can wait years for claims related to more serious and life-changing injuries to addressed. Additionally, the medical and financial benefits they receive often expire before they’re fully recovered.
Under the new system, Albertans who suffer catastrophic injuries will receive treatment and care for the rest of their lives. Those who sustain serious injuries will receive treatment until they are fully recovered. These changes mirror and build upon the Saskatchewan insurance model, where at-fault drivers can be sued for pain and suffering damages if they are convicted of a criminal offence, such as impaired driving or dangerous driving, or conviction of certain offenses under the Traffic Safety Act.
Work on this new auto insurance system will require legislation in the spring of 2025. In order to reconfigure auto insurance policies for 3.4 million Albertans, auto insurance companies need time to create and implement the new system. Alberta’s government expects the new system to be fully implemented by January 2027.
In the interim, starting in January 2025, the good driver rate cap will be adjusted to a 7.5% increase due to high legal costs, increasing vehicle damage repair costs and natural disaster costs. This protects good drivers from significant rate increases while ensuring that auto insurance providers remain financially viable in Alberta.
Albertans have been clear that they still want premiums to be based on risk. Bad drivers will continue to pay higher premiums than good drivers.
By providing significantly enhanced medical, rehabilitation and income support benefits, this system supports Albertans injured in collisions while reducing the impact of litigation costs on the amount that Albertans pay for their insurance.
“Keeping more money in Albertans’ pockets is one of the best ways to address the rising cost of living. This shift to a care-first automobile insurance system will do just that by helping lower premiums for people across the province.”
Quick facts
- Alberta’s government commissioned two auto insurance reports, which showed that legal fees and litigation costs tied to the province’s current system significantly increase premiums.
- A 2023 report by MNP shows
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