Alberta
Canada’s advantage as the world’s demand for plastic continues to grow
From the Canadian Energy Centre
By Will Gibson
‘The demand for plastics reflects how essential they are in our lives’
From the clothes on your back to the containers for household products to the pipes and insulation in your home, plastics are interwoven into the fabric of day-to-day life for most Canadians.
And that reliance is projected to grow both in Canada and around the world in the next three decades
The Global Plastics Outlook, published by the Paris-based Organization for Economic Co-operation and Development (OECD), forecasts the use of plastics globally will nearly triple by 2060, driven by economic and population growth.
The use of plastics is projected to double in OECD countries like Canada, the United States and European nations, but the largest increases will take place in Asia and Africa.
“The demand for plastics reflects how essential they are in our lives, whether it is packaging, textiles, building materials or medical equipment,” says Christa Seaman, vice-president, plastics with the Chemical Industry Association of Canada (CIAC), which represents Canada’s plastics producers.
She says as countries look to meet climate and sustainability goals, demand for plastic will grow.
“Plastics in the market today demonstrate their value to our society. Plastics are used to make critical components for solar panels and wind turbines. But they also can play a role in reducing weight in transportation or in ensuring goods that are transported have less weight in their packaging or in their products.”
Canada produces about $35 billion worth of plastic resin and plastic products per year, or over five per cent of Canadian manufacturing sales, according to a 2019 report published by the federal government.
Seaman says Canadian plastic producers have competitive advantages that position them to grow as demand rises at home and abroad. In Alberta, a key opportunity is the abundant supply of natural gas used to make plastic resin.
“As industry and consumer expectations shift for production to reduce emissions, Canada, and particularly Alberta, are extremely well placed to meet increased demand thanks to its supply of low-carbon feedstock. Going forward, production with less emissions is going to be important for companies,” Seaman says.
“You can see that with Dow Chemical’s decision to spend $8.8 billion on a net zero facility in Alberta.”
While modern life would not be possible without plastics, the CIAC says there needs to be better post-use management of plastic products including advanced recycling, or a so-called “circular economy” where plastics are seen as a resource or feedstock for new products, not a waste.
Some companies have already started making significant investments to generate recyclable plastics.
For example, Inter Pipeline Ltd.’s $4.3 billion Heartland Petrochemical Complex near Edmonton started operating in 2023. It produces a recyclable plastic called polypropylene from propane, with 65 per cent lower emissions than the global average thanks to the facility’s integrated design.
Achieving a circular economy – where 90 per cent of post-consumer plastic waste is diverted or recycled – would benefit Canada’s economy, according to the CIAC.
A Deloitte study, commissioned by Environment & Climate Change Canada, estimated diverting or reusing 90 per cent of post-consumer plastic waste by 2030 will save $500 million annually while creating 42,000 direct and indirect jobs. It would also cut Canada’s annual CO2 emissions by 1.8 megatonnes.
Right now, about 85 per cent of plastics end up in Canada’s landfills. To reach the 90 per cent diversion rate, Seaman says Canada must improve its infrastructure to collect and process the plastic waste currently being landfilled.
But she also says the industry rather than municipalities need to take responsibility for recycling plastic waste.
“This concept is referred to as extended producer responsibility. Municipalities have the responsibility for managing recycling within a waste management system. Given the competing costs and priorities, they don’t have the incentive to invest into recycling infrastructure when landfill space was the most cost-effective solution for them,” she says.
“Putting that responsibility on the producers who put the products on the market makes the most sense…The industry is adapting, and we hope government policy will recognize this opportunity for Canada to meet our climate goals while growing our economy.”
Premier Danielle Smith, Minister of Finance Nate Horner, and Minister of Education Demetrios Nicolaides issued the following statement.
“Yesterday, the Provincial Bargaining and Compensation Office wrote to the Alberta Teachers’ Association (ATA) and formally requested an agreement to enter an enhanced mediation process.
“This process would have ensured that students returned to the classrooms on Monday, and that teachers returned to work.
“Negotiating would have continued with the ATA, Teachers’ Employer Bargaining Association (TEBA) and a third-party mediator to propose a recommended agreement.
“We are very disappointed that the Alberta Teachers’ Association refused this offer. Teachers and students should also be disappointed.
“PBCO made this offer to the ATA because the union has not made a reasonable offer and this strike is impacting students. Alberta’s government is trying to put kids first and bring an end to this strike.
“The offer of enhanced mediation provided a clear path to ending it.
“We want the same things as the ATA: More teachers. More pay for teachers. More educational assistants. And more classrooms.
“This strike has gone on too long and we are extremely concerned about the impact it is having on students.
“We are willing to consider further options to ensure that our next generation gets the world-class education they deserve. After about three weeks, a strike of this nature would reach the threshold of causing irreparable harm to our students’ education.
“The ATA needs to do what is right for its members, and for all Alberta students.
“If it refuses to do so, we will consider further options to bring this strike to an end.”
Diploma exam update
November diploma exams will be optional for students.
With instructional time in schools disrupted due to the teacher strike, the November 2025 diploma exams will now be optional for students. Students who wish to write a diploma exam may request to do so, and their school boards will accommodate the request.
The optional diploma exams apply to all schools provincewide. These exams will still take place on the currently scheduled dates.
Students who choose not to write the November diploma exams can still complete their courses and graduate on time. Their final grade will be based entirely on the school-awarded mark provided by their teacher.
Choosing not to write the November diploma exams will not affect a student’s ability to apply to, be accepted by, or attend post-secondary institutions after graduation.
No changes have been made to the January and June diplomas and provincial achievement tests.
Quick facts
- Students are automatically exempted from writing the November diploma exams but can request to write them.
- School boards must allow the student to write the diploma exam if requested.
From the Fraser Institute
By Tegan Hill and Austin Thompson
Next week, voters across Alberta will go to the polls to elect their local governments. Of course, while the issues vary depending on the city, town or district, all municipal governments spend taxpayer money.
And according to a recent study, Grande Prairie County and Red Deer County were among Alberta’s highest-spending municipalities (on a per-person basis) in 2023 (the latest year of comparable data). Kara Westerlund, president of the Rural Municipalities of Alberta, said that’s no surprise—arguing that it’s expensive to serve a small number of residents spread over large areas.
That challenge is real. In rural areas, fewer people share the cost of roads, parks and emergency services. But high spending isn’t inevitable. Some rural municipalities managed to spend far less, demonstrating that local choices about what services to provide, and how to deliver them, matter.
Consider the contrast in spending levels among rural counties. In 2023, Grande Prairie County and Red Deer County spent $5,413 and $4,619 per person, respectively. Foothills County, by comparison, spent just $2,570 per person. All three counties have relatively low population densities (fewer than seven residents per square kilometre) yet their per-person spending varies widely. (In case you’re wondering, Calgary spent $3,144 and Edmonton spent $3,241.)
Some of that variation reflects differences in the cost of similar services. For example, all three counties provide fire protection but in 2023 this service cost $56.95 per person in Grande Prairie County, $38.51 in Red Deer County and $10.32 in Foothills County. Other spending differences reflect not just how much is spent, but whether a service is offered at all. For instance, in 2023 Grande Prairie County recorded $46,283 in daycare spending, while Red Deer County and Foothills County had none.
Put simply, population density alone simply doesn’t explain why some municipalities spend more than others. Much depends on the choices municipal governments make and how efficiently they deliver services.
Westerlund also dismissed comparisons showing that some counties spend more per person than nearby towns and cities, calling them “apples to oranges.” It’s true that rural municipalities and cities differ—but that doesn’t make comparisons meaningless. After all, whether apples are a good deal depends on the price of other fruit, and a savvy shopper might switch to oranges if they offer better value. In the same way, comparing municipal spending—across all types of communities—helps Albertans judge whether they get good value for their tax dollars.
Every municipality offers a different mix of services and those choices come with different price tags. Consider three nearby municipalities: in 2023, Rockyview County spent $3,419 per person, Calgary spent $3,144 and Airdrie spent $2,187. These differences reflect real trade-offs in the scope, quality and cost of local services. Albertans should decide for themselves which mix of local services best suits their needs—but they can’t do that without clear data on what those services actually cost.
A big municipal tax bill isn’t an inevitable consequence of rural living. How much gets spent in each Alberta municipality depends greatly on the choices made by the mayors, reeves and councillors Albertans will elect next week. And for Albertans to determine whether or not they get good value for their local tax dollars, they must know how much their municipality is spending.
Tegan Hill
Director, Alberta Policy, Fraser Institute
Austin Thompson
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