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 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:
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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