Alberta
How will Alberta’s new Premier deal with Ottawa? These are the approaches of four leading candidates
No matter who wins the UCP Leadership race, you can count on a turbulent relationship with Ottawa. Albertans have long had issues with how the Liberal government stifles the critical Oil and Gas industry. Now Alberta’s farmers are finding out what that feels like, as the federal government is introducing measures to reduce the amount of nitrogen fertilizer they use.
To add to the level of animosity between the two governments, a growing number of Alberta UCP supporters are voicing dissatisfaction over Covid restrictions and mandates. This group is active politically, and seems to be rallying behind frontrunner Daniel Smith and likeminded Todd Loewen. The idea is to avoid future restrictions and mandates provincially, and stand up against any federal measures.
It’s no coincidence then, that the leading candidates in the UCP race all have strong platform initiatives to stand up to Ottawa. Here’s what they look like, beginning with Danielle Smith’s “Alberta Sovereignty Act.
Danielle Smith – Alberta Sovereignty Act
It is clear that my proposed Alberta Sovereignty Act has thus far been the central issue of the UCP leadership campaign. Tens of thousands of Albertans have embraced the idea of actually standing up to Ottawa’s attacks against us, rather than usual ineffective letter writing campaigns and complaining.
It’s been both exciting and heartwarming to see hope restored to so many in our Province, and I want them to know how much their faith and confidence in this initiative strengthen my personal resolve to see it through.
Unsurprisingly, many in the media and establishment do not support the Alberta Sovereignty Act and have turned to the tried and tested methods of fearmongering and disinformation to discredit the idea. Unfortunately, some of my fellow UCP candidates may have fallen into their trap.
My hope in releasing this FAQ sheet on the Alberta Sovereignty Act, is that more Albertans and MLAs will take a thoughtful look at this policy, and join the growing majority of Albertans who want to see us stand up to Ottawa, restore our constitutional rights, and take control of our future in this manner.
I am sincerely looking forward to implementing this critically important piece of legislation together.
– Danielle Smith
What is the Alberta Sovereignty Act?
A proposed provincial law that would affirm the authority of the Provincial Legislature to refuse enforcement of any Federal law or policy that violates the jurisdictional rights of Alberta under Sections 92 – 95 of the Constitution or that breaches the Charter Rights of Albertans.
How will it be used?
When the Federal Government institutes a law or policy that appears to violate the constitution or Charter, the Government of Alberta may introduce a Special Motion for a free vote of all MLAs in the Legislature. The Special Motion would include the following:
1. Identification of the Federal law or policy that it deems to be in violation of the Constitution
2. An Outline of the specific harms that violation of the Constitution imposes on the citizens of Alberta
3. Description of the specific actions the Province will take to refuse the enforcement of that Federal law or policy in Alberta
4. A Declaration that by authority of the Alberta Sovereignty Act and notwithstanding the specific Federal law or policy in question, it shall not be enforced by the Provincial Government within Alberta in the manner outlined by the Special Motion
5. Imposition a specific time frame (no more than 24 months) by which the Special Motion will be reviewed in the Legislature
Will a Premier or Governing Party be able to refuse enforcement of any Federal Law or Policy they don’t like?
No, the Alberta Sovereignty Act may not be used unless specifically authorized by way of a free vote of all elected MLAs in the Alberta Legislature, as explained above.
What examples of Federal Laws will the Alberta Sovereignty Act be applied to?
Examples could include:
– Federal mandatory vaccination policies – Charter violation
– Use of Emergencies Act to jail & freeze accounts of peaceful protesters – Charter violation
– Bill C-69 ‘No New Pipelines’ Law – found unconstitutional by Alberta Court of Appeal
– Mandatory cuts to fertilizer use by Alberta Farmers – violation of s.95
– Mandatory emissions and production cuts to Alberta energy projects – violation of s.92A
– Federal gun grabs – violation of s.92(13)
Is the Alberta Sovereignty Act about Separation from Canada?
No, the entire objective of the Alberta Sovereignty Act is to assert Alberta’s Constitutional Rights within Canada to the furthest extent possible by effectively governing itself as a Nation within a Nation, just as Quebec has done for decades and as Saskatchewan is also now considering.
If anything, the restoration of provincial rights and autonomy of every province from the destructive overreach of Ottawa is likely the only viable way for Canada to survive and flourish into the future. Ottawa’s “divide, control and conquer’ policies have Canada on a path of division and disunity. Alberta can and must lead on this issue going forward.
Is the Alberta Sovereignty Act illegal or does it run contrary to the rule of law?
No, just the opposite.
Over the last several years the Federal Government has triggered a constitutional crisis through repeated lawless attacks on provincial constitutional rights and the Charter.
The Trudeau Government has effectively imposed economic sanctions against Alberta (and parts of Saskatchewan and BC) that have resulted in economic chaos.
Hundreds of billions in investment and tax revenues, and hundreds of thousands of jobs, have been lost to these sanctions as investors around the world find it too risky to do business in Alberta’s energy industry. In fact, no new major development of our world class oil sands has been commenced in almost 20 years as a result.
The idea expressed by some UCP leadership candidates that the Alberta Sovereignty Act would “cause chaos” in the markets is naive in the extreme. The “chaos” is already here and has been caused by both Ottawa’s unlawful policies and an utter lack of provincial leadership on effectively pushing back against those attacks.
The fact is the Alberta Sovereignty Act reimposes constitutional rule of law on a lawless Ottawa by reaffirming the critical import of respecting the powers and jurisdiction of the Provinces under the Canadian Constitution.
Brian Jean – Autonomy For Albertans Act
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I started with policies designed to change how Alberta reacts to the federal government and Canada. I want us to stop being defensive and go on the offensive. We have to stop covering up and we have to take the fight to Canada. The five sets of actions that will protect and enhance Alberta’s Autonomy Within Canada are:
These actions and this approach is very different than how Alberta has traditionally acted. This is very different from what the other leadership candidates are proposing. First this is about acting, about doing something. The “Alberta Sovereignty Act” proposal is purely defensive and reactive. Instead of saying to Canada “we won’t enforce your rules if you come after us,” I am saying that we need to take the initiative.
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My proposals are about taking ACTION and going on the offense. Danielle Smith proposes a purely defensive strategy that surrenders on past fights. Travis Toews has no strategy at all in this area — he wants to continue Jason Kenney’s practice of writing stern and meaningless letters whenever we get stepped on.
When we open the Constitution, we can deal with the issues of: pipelines and right-of-ways, access to tidewater, stopping provinces and the federal government from landlocking provinces, and democratic under-representation. Taking the fight to the rest of Canada is the way to actually get results and reverse the damage.
Passing an unconstitutional “Sovereignty Act” that only kicks in the next time we are punched doesn’t change anything. It will likely encourage Trudeau to hit Alberta harder.
Fighting the efforts of the World Economic Forum to change our society is something Alberta should have been doing all along.
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As is using the courts intelligently including as a way to get expert testimony into the record in important legal debates.
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Fighting back against the insults of Quebec and the federal government should have always been our policy. Instead under Jason Kenney we too often gave away things hoping that other provinces would return the favour. They did not.
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Finally, we should learn from Quebec and have our position in the world recognized by Canada. Alberta is an energy superpower and it should own Canada’s seat at the global table whenever energy issues are discussed.
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Rebecca Schulz – 100 DAY PROVINCIAL RIGHTS STRATEGY
A Schulz government would immediately start the 100 Day Provincial Rights Action Plan, with clear steps – and a timeline – to fight, negotiate, partner, and strengthen Alberta’s position with Confederation.
“No more letters, no more panels, and no more empty threats – Albertans want action and results when it comes to defending our rights in confederation and seeing our province reach its full potential.” – Rebecca Schulz
Within the first 10 days, a Schulz government will appoint a Deputy Premier and team with the primary focus to act as Alberta’s lead negotiators in strengthening Alberta’s position in Canada.
This will include:
- Presenting the federation with a package of common sense reforms on equalization, fiscal stabilization, and greater provincial control over programs through tax points
- Presenting the federation with a list of federal, provincial overlap in regulations/policy and begin negotiations on disentanglement
- Pursuing an Alberta Pension Plan, Alberta Employment Insurance and an Alberta Revenue Agency
Within the first 50 days, Schulz and the Deputy Premier would present a Provincial Rights
Framework, to identify every legal and constitutional measure possible to stand up against Ottawa’s continued attacks on provincial jurisdiction.
This will include:
- Calling for a Protecting Provincial Rights Summit to bring provinces to the table and identify every measure to stand up for jurisdictional rights against federal interference
- Continuing the fight against the Tanker Ban (C-48) and Trudeau’s No-More Pipelines legislation (C-69), alongside all 10 provinces
- Taking every proactive legal measure possible against Trudeau’s federal emissions and fertilizer caps.
Within the first 100 days, Schulz and the Deputy Premier would present a new Market Access Plan to create political and economic incentives for federal and provincial governments to negotiate with Alberta in good faith for improved trade and market access.
This will include:
- Identifying strategic actions to deter other provinces or levels of government from limiting Alberta’s market access and trade
- Developing criteria for when Alberta will Turn off the Taps through the Preserving Canada’s Economic Prosperity Act.
“You don’t need to spend weeks on the campaign trail to understand how frustrated Albertans are of being pushed around. The emissions and fertilizer caps are just two of the most recent examples of governments interfering with our provincial trade and prosperity. It’s about time Albertans were presented with a real plan to take action.” – Rebecca Schulz
From the Canadian Energy Centre
Q&A with Devin Dreeshen, Minister of Transport and Economic Corridors
Devin Dreeshen, Alberta’s Minister of Transportation
and Economic Corridors.
CEC: How have recent developments impacted Alberta’s ability to expand trade routes and access new markets for energy and natural resources?
Dreeshen: With the U.S. trade dispute going on right now, it’s great to see that other provinces and the federal government are taking an interest in our east, west and northern trade routes, something that we in Alberta have been advocating for a long time.
We signed agreements with Saskatchewan and Manitoba to have an economic corridor to stretch across the prairies, as well as a recent agreement with the Northwest Territories to go north. With the leadership of Premier Danielle Smith, she’s been working on a BC, prairie and three northern territories economic corridor agreement with pretty much the entire western and northern block of Canada.
There has been a tremendous amount of work trying to get Alberta products to market and to make sure we can build big projects in Canada again.
CEC: Which infrastructure projects, whether pipeline, rail or port expansions, do you see as the most viable for improving Alberta’s global market access?
Dreeshen: We look at everything. Obviously, pipelines are the safest way to transport oil and gas, but also rail is part of the mix of getting over four million barrels per day to markets around the world.
The beauty of economic corridors is that it’s a swath of land that can have any type of utility in it, whether it be a roadway, railway, pipeline or a utility line. When you have all the environmental permits that are approved in a timely manner, and you have that designated swath of land, it politically de-risks any type of project.
CEC: A key focus of your ministry has been expanding trade corridors, including an agreement with Saskatchewan and Manitoba to explore access to Hudson’s Bay. Is there any interest from industry in developing this corridor further?
Dreeshen: There’s been lots of talk [about] Hudson Bay, a trade corridor with rail and port access. We’ve seen some improvements to go to Churchill, but also an interest in the Nelson River.
We’re starting to see more confidence in the private sector and industry wanting to build these projects. It’s great that governments can get together and work on a common goal to build things here in Canada.
CEC: What is your vision for Alberta’s future as a leader in global trade, and how do economic corridors fit into that strategy?
Dreeshen: Premier Smith has talked about C-69 being repealed by the federal government [and] the reversal of the West Coast tanker ban, which targets Alberta energy going west out of the Pacific.
There’s a lot of work that needs to be done on the federal side. Alberta has been doing a lot of the heavy lifting when it comes to economic corridors.
We’ve asked the federal government if they could develop an economic corridor agency. We want to make sure that the federal government can come to the table, work with provinces [and] work with First Nations across this country to make sure that we can see these projects being built again here in Canada.
2025 Federal Election
Next federal government should recognize Alberta’s important role in the federation
From the Fraser Institute
By Tegan Hill
With the tariff war continuing and the federal election underway, Canadians should understand what the last federal government seemingly did not—a strong Alberta makes for a stronger Canada.
And yet, current federal policies disproportionately and negatively impact the province. The list includes Bill C-69 (which imposes complex, uncertain and onerous review requirements on major energy projects), Bill C-48 (which bans large oil tankers off British Columbia’s northern coast and limits access to Asian markets), an arbitrary cap on oil and gas emissions, numerous other “net-zero” targets, and so on.
Meanwhile, Albertans contribute significantly more to federal revenues and national programs than they receive back in spending on transfers and programs including the Canada Pension Plan (CPP) because Alberta has relatively high rates of employment, higher average incomes and a younger population.
For instance, since 1976 Alberta’s employment rate (the number of employed people as a share of the population 15 years of age and over) has averaged 67.4 per cent compared to 59.7 per cent in the rest of Canada, and annual market income (including employment and investment income) has exceeded that in the other provinces by $10,918 (on average).
As a result, Alberta’s total net contribution to federal finances (total federal taxes and payments paid by Albertans minus federal money spent or transferred to Albertans) was $244.6 billion from 2007 to 2022—more than five times as much as the net contribution from British Columbians or Ontarians. That’s a massive outsized contribution given Alberta’s population, which is smaller than B.C. and much smaller than Ontario.
Albertans’ net contribution to the CPP is particularly significant. From 1981 to 2022, Alberta workers contributed 14.4 per cent (on average) of total CPP payments paid to retirees in Canada while retirees in the province received only 10.0 per cent of the payments. Albertans made a cumulative net contribution to the CPP (the difference between total CPP contributions made by Albertans and CPP benefits paid to retirees in Alberta) of $53.6 billion over the period—approximately six times greater than the net contribution of B.C., the only other net contributing province to the CPP. Indeed, only two of the nine provinces that participate in the CPP contribute more in payroll taxes to the program than their residents receive back in benefits.
So what would happen if Alberta withdrew from the CPP?
For starters, the basic CPP contribution rate of 9.9 per cent (typically deducted from our paycheques) for Canadians outside Alberta (excluding Quebec) would have to increase for the program to remain sustainable. For a new standalone plan in Alberta, the rate would likely be lower, with estimates ranging from 5.85 per cent to 8.2 per cent. In other words, based on these estimates, if Alberta withdrew from the CPP, Alberta workers could receive the same retirement benefits but at a lower cost (i.e. lower payroll tax) than other Canadians while the payroll tax would have to increase for the rest of the country while the benefits remained the same.
Finally, despite any claims to the contrary, according to Statistics Canada, Alberta’s demographic advantage, which fuels its outsized contribution to the CPP, will only widen in the years ahead. Alberta will likely maintain relatively high employment rates and continue to welcome workers from across Canada and around the world. And considering Alberta recorded the highest average inflation-adjusted economic growth in Canada since 1981, with Albertans’ inflation-adjusted market income exceeding the average of the other provinces every year since 1971, Albertans will likely continue to pay an outsized portion for the CPP. Of course, the idea for Alberta to withdraw from the CPP and create its own provincial plan isn’t new. In 2001, several notable public figures, including Stephen Harper, wrote the famous Alberta “firewall” letter suggesting the province should take control of its future after being marginalized by the federal government.
The next federal government—whoever that may be—should understand Alberta’s crucial role in the federation. For a stronger Canada, especially during uncertain times, Ottawa should support a strong Alberta including its energy industry.
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