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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.

Before Post

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

The beauty of economic corridors: Inside Alberta’s work to link products with new markets

Published on

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.

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2025 Federal Election

Next federal government should recognize Alberta’s important role in the federation

Published on

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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