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Alberta

Red Deer – Lacombe MP Blaine Calkins sets the record straight on Pipelines

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From a Facebook submission by Red Deer – Lacombe MP Blaine Calkins

I don’t know about you, Alberta, but I’ve had it “up to here” with Liberals attacking our energy sector. Since 2015 they have gone out of their way to cancel already approved pipelines, put a tanker ban on the West coast (while conveniently ignoring the importation of foreign oil on east coast) and creating a regulatory quagmire that makes building a pipeline in this country next to impossible. This means billions of dollars in investment have been chased out of Canada and hundreds of thousands of jobs have been lost.
“But the Conservatives under Harper never built a pipeline” is the cry offered by Liberals and those trying hard to defend them! Baloney!
The Libs have tried to sell this false bill of goods since 2016, and it didn’t stand up then, but since so many people like to continue to repeat this nonsense, I think it’s time to set the record straight on pipelines once again.
Fact: 4 major Pipelines Were Built in Canada between 2006 and 2015.
1. Enbridge Alberta Clipper – 1607km. Applied 2007, approved 2008, built in 2010 and transports 450,000 barrels per day. (https://www.reuters.com/…/update-1-enbridge-begins…)
2. Trans Canada Keystone. 1247km (in Canada). Applied 2006, approved 2007, built 2010, and transports 435,000 barrels per day. (https://www.tcenergy.com/…/2010-06-30keystone-pipeline…/)
3. Enbridge Line 9B Reversal. 639km (affected) Applied 2012, approved 2014, operational in 2015, and transports 300,000 barrels per day. (https://www.enbridge.com/ECRAI.aspx)
4. Kinder Morgan Anchor Loop. 160km. Approved in 2006, Built 2008, and transports 40,000 barrels per day. (https://www.jwnenergy.com/…/kinder-morgan-marks-tenth…/)
It is noteworthy that between the years of 2006-2011 Prime Minister Harper had two minority governments, which hampered the ability of the government of the day to change the laws and regulations that would streamline the large project application process.
After forming a majority government in 2011, former Finance Minister, the late Jim Flaherty, tabled Bill C-38, the Jobs, Growth and Prosperity Act, which among other things, created a predictable, thorough and streamlined approach to issuing certificates for major pipelines. It did not remove environmental regulations but instead, established time limits for regulatory reviews and created a predictable timeline for energy companies who wanted to invest in Canada. I was honoured to chair the sub-committee of Finance tasked to review Bill C-38, which was passed in 2012.
For the next three years of the Conservative majority mandate, and based on signals of support for the industry, Alberta jobs flourished, and we had near full-employment numbers through most of Prime Minister Harper’s tenure as Prime Minister.
In 2015 the Trudeau Liberals inherited billions of dollars in energy projects that were either fully approved or progressing well towards approval. Unfortunately, many of these projects were either killed by the Prime Minister directly or made unviable by the Liberal’s disastrous anti-energy policies and Bills like C-48 (Tanker Ban) and C-69 (No More Pipelines) that created economic uncertainty that caused investments to flee our country, along with good paying jobs:
Energy East – applied in August 2013, cancelled by then TransCanada in 2017, citing “existing and likely future delays resulting from the regulatory process, (more like heaping on red tape and environmental requirements that even imported oil doesn’t have to comply with) the associated cost implications and the increasingly challenging issues and obstacles.” Project Value – $15.7B https://www.cbc.ca/…/transcanada-energy-east-1.4338227
Northern Gateway – applied in May 2010, approved by the Conservative Government in June 2014. Despite support from industry and indigenous communities, Justin Trudeau made good on an election promise and cancels this pipeline in November 2016. Project value – $7B
Keystone XL – applied in June 2005, Canadian portion approved by the Conservative Government in 2007. The US portion of the project was rejected by President Obama in 2015, re-approved by President Trump in 2017 (which was reaffirmed in 2019) and most recently cancelled by President Biden in January 2021. Despite billions of dollars invested by the province of Alberta on this project, Trudeau only indicated his disappointment in the decision. Project Value – $8B https://pm.gc.ca/…/statement-prime-minister-canada…
Trans Mountain Pipeline – applied in 2013, this project was a privately funded venture with the support of no less than 12 energy companies. By 2018, after changing the rules for this project almost daily, the Liberal government was forced to purchase the old pipeline from Kinder Morgan at a cost of $4.5B, and is now on the hook for new construction with a Project Value – $12.5B (a $5.2B increase since 2013) https://www.reuters.com/…/us-canada-pipeline…
Today, the Liberal Government is facing new pipeline issues as Enbridge Line 5 could be shutdown by the Governor of Michigan – Enbridge’s Line 5 pipeline carries Canadian oil east, running through Wisconsin and Michigan, supplying about half of the oil needs of Ontario and Quebec. In addition, the Enbridge Line 3 Replacement project is at risk as there are rising calls in the US to pull a water permit necessary for the project. To date, the Liberals remain silent on their plans to deal with these pressing matters.
It is worth mentioning that unemployment rates in Alberta from 2005 – 2015 averaged 2% lower than the rest of Canada. Since December 2015, the first full month the Liberals formed government, unemployment rates in Alberta rose to and have remained higher than the national average. (https://economicdashboard.alberta.ca/Unemployment…)
So, let’s set the record straight. Conservatives build pipelines, cut red tape, create jobs and the entire nation prospers. Liberals cancel lucrative energy projects, create unemployment, foment uncertainty and only create a toxic investment climate. The only thing more damaging to the economy of Alberta than a Liberal government is a Trudeau Liberal government.
Thankfully Erin O’Toole has a plan to get the Liberals out of office and get Albertans and all Canadians back to work.
We will highlight the excellent environmental record of our energy sector, which is improving every day. I expect the NDP and Greens to twist the facts against Alberta energy, but Liberals ought to have learned long ago the risk of messing with the Alberta energy sector, not furthering the misinformation of the Greens and NDP.

After 15 years as a TV reporter with Global and CBC and as news director of RDTV in Red Deer, Duane set out on his own 2008 as a visual storyteller. During this period, he became fascinated with a burgeoning online world and how it could better serve local communities. This fascination led to Todayville, launched in 2016.

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Alberta

Low oil prices could have big consequences for Alberta’s finances

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From the Fraser Institute

By Tegan Hill

Amid the tariff war, the price of West Texas Intermediate oil—a common benchmark—recently dropped below US$60 per barrel. Given every $1 drop in oil prices is an estimated $750 million hit to provincial revenues, if oil prices remain low for long, there could be big implications for Alberta’s budget.

The Smith government already projects a $5.2 billion budget deficit in 2025/26 with continued deficits over the following two years. This year’s deficit is based on oil prices averaging US$68.00 per barrel. While the budget does include a $4 billion “contingency” for unforeseen events, given the economic and fiscal impact of Trump’s tariffs, it could quickly be eaten up.

Budget deficits come with costs for Albertans, who will already pay a projected $600 each in provincial government debt interest in 2025/26. That’s money that could have gone towards health care and education, or even tax relief.

Unfortunately, this is all part of the resource revenue rollercoaster that’s are all too familiar to Albertans.

Resource revenue (including oil and gas royalties) is inherently volatile. In the last 10 years alone, it has been as high as $25.2 billion in 2022/23 and as low as $2.8 billion in 2015/16. The provincial government typically enjoys budget surpluses—and increases government spending—when oil prices and resource revenue is relatively high, but is thrown into deficits when resource revenues inevitably fall.

Fortunately, the Smith government can mitigate this volatility.

The key is limiting the level of resource revenue included in the budget to a set stable amount. Any resource revenue above that stable amount is automatically saved in a rainy-day fund to be withdrawn to maintain that stable amount in the budget during years of relatively low resource revenue. The logic is simple: save during the good times so you can weather the storm during bad times.

Indeed, if the Smith government had created a rainy-day account in 2023, for example, it could have already built up a sizeable fund to help stabilize the budget when resource revenue declines. While the Smith government has deposited some money in the Heritage Fund in recent years, it has not created a dedicated rainy-day account or introduced a similar mechanism to help stabilize provincial finances.

Limiting the amount of resource revenue in the budget, particularly during times of relatively high resource revenue, also tempers demand for higher spending, which is only fiscally sustainable with permanently high resource revenues. In other words, if the government creates a rainy-day account, spending would become more closely align with stable ongoing levels of revenue.

And it’s not too late. To end the boom-bust cycle and finally help stabilize provincial finances, the Smith government should create a rainy-day account.

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Alberta

Governments in Alberta should spur homebuilding amid population explosion

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From the Fraser Institute

By Tegan Hill and Austin Thompson

In 2024, construction started on 47,827 housing units—the most since 48,336 units in 2007 when population growth was less than half of what it was in 2024.

Alberta has long been viewed as an oasis in Canada’s overheated housing market—a refuge for Canadians priced out of high-cost centres such as Vancouver and Toronto. But the oasis is starting to dry up. House prices and rents in the province have spiked by about one-third since the start of the pandemic. According to a recent Maru poll, more than 70 per cent of Calgarians and Edmontonians doubt they will ever be able to afford a home in their city. Which raises the question: how much longer can this go on?

Alberta’s housing affordability problem reflects a simple reality—not enough homes have been built to accommodate the province’s growing population. The result? More Albertans competing for the same homes and rental units, pushing prices higher.

Population growth has always been volatile in Alberta, but the recent surge, fuelled by record levels of immigration, is unprecedented. Alberta has set new population growth records every year since 2022, culminating in the largest-ever increase of 186,704 new residents in 2024—nearly 70 per cent more than the largest pre-pandemic increase in 2013.

Homebuilding has increased, but not enough to keep pace with the rise in population. In 2024, construction started on 47,827 housing units—the most since 48,336 units in 2007 when population growth was less than half of what it was in 2024.

Moreover, from 1972 to 2019, Alberta added 2.1 new residents (on average) for every housing unit started compared to 3.9 new residents for every housing unit started in 2024. Put differently, today nearly twice as many new residents are potentially competing for each new home compared to historical norms.

While Alberta attracts more Canadians from other provinces than any other province, federal immigration and residency policies drive Alberta’s population growth. So while the provincial government has little control over its population growth, provincial and municipal governments can affect the pace of homebuilding.

For example, recent provincial amendments to the city charters in Calgary and Edmonton have helped standardize building codes, which should minimize cost and complexity for builders who operate across different jurisdictions. Municipal zoning reforms in CalgaryEdmonton and Red Deer have made it easier to build higher-density housing, and Lethbridge and Medicine Hat may soon follow suit. These changes should make it easier and faster to build homes, helping Alberta maintain some of the least restrictive building rules and quickest approval timelines in Canada.

There is, however, room for improvement. Policymakers at both the provincial and municipal level should streamline rules for building, reduce regulatory uncertainty and development costs, and shorten timelines for permit approvals. Calgary, for instance, imposes fees on developers to fund a wide array of public infrastructure—including roads, sewers, libraries, even buses—while Edmonton currently only imposes fees to fund the construction of new firehalls.

It’s difficult to say how long Alberta’s housing affordability woes will endure, but the situation is unlikely to improve unless homebuilding increases, spurred by government policies that facilitate more development.

Tegan Hill

Director, Alberta Policy, Fraser Institute

Austin Thompson

Senior Policy Analyst, Fraser Institute
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