Alberta
MB/SK/AB NeeStaNan Utilities Corridor: First Nations-led utility corridor is a 21st-century nation-building initiative
Port Nelson is 300 kilometres south of Churchill and has a longer ice-free season. In fact, a concrete jetty constructed (and never used) at Port Nelson nearly a hundred years ago remains in place.
From the Frontier Centre for Public Policy
By Terry Etam
“The trading of goods has been in our DNA as Indigenous People for centuries, but somewhere along the way this was lost. It’s time to regain our prosperity, for the betterment of our communities and for our country.” – NeeStaNan website
Ever feel like you’re being neglected by either governments or the various power centers that dominate life? The big places get all the attention, have all the votes, have all the buzz. In Canada, fewer than ten such centers dominate the country. If you’re not in one of those, you won’t know much political power, there won’t be much clout, there won’t be much of anything.
And if you want to know how far you can get from a circle of influence, consider Census Division No. 23, a great big administrative district in northern Manitoba. The size and ruggedness are mindboggling; No. 23 encompasses an area of 233,578 square km/90,185 square miles, six times the area of Switzerland, yet the region’s total population is 4,690. The population density, rounded to the nearest person-per-square km, is zero. If you round it to the nearest tenth of a square km, it is still zero.
It is extremely hard for people of regions like this to register on the national radar for any number of reasons, some of which are just logistical (remote location) and some of which are just rude realities (not much political capital up for grabs in No. 23).29dk2902l
The people of regions like this tend to be absent from all sorts of things, including resource development, even if it happens in these regions. Yes, there will be some local employment, and positive economic spinoffs, but nothing in the way of meaningful ownership or control.
But that may be about to change, for a significant swath of Manitoba, Saskatchewan, and the northeastern part of Alberta. Underway is the NeeStaNan utility corridor, stretching from northern Alberta through north-central Saskatchewan and on to the shores of Hudson Bay in Manitoba.
The significance of this corridor could be profound. It will provide tidewater access for landlocked western Canadian resources that otherwise need to travel to the west coast, or other less efficient routes. As one of the best examples, Saskatchewan must move potash to market via Vancouver, meaning a trip through the Rocky Mountains and on to the coast.
By utilizing the NeeStaNan utility corridor, potash will be able to move to large markets like Brazil far more efficiently. The distance to seawater via Hudson Bay is 630 km/390 miles less than by going through BC ports, and here’s the real economic kicker: the sea route to Brazil’s market is actually 3,800 km less than current routes. That’s almost 2,400 miles, for American friends and for old times’ sake.
The corridor is planned to enter Hudson Bay not at Churchill, but at a much more direct and accessible point called Port Nelson. Port Nelson is some 300 kilometres/180 miles south of Churchill (Hudson Bay is really freaking big) and has a longer ice-free season. In fact, a concrete jetty constructed (and never used) at Port Nelson nearly a hundred years ago remains in place. Port Nelson isn’t a new idea.
The utility corridor isn’t simply a project to enhance the wellbeing of the FN bands along the way, although it will most certainly do that. It is also far more grand in scope: the utility corridor will help Canada’s heartland deliver industrial products to global markets in a more efficient way, and provide the sort of efficiencies that can help multiple Canadian industries enhance global competitiveness, all the while providing an economic boost that is infinitely better than what locals and First Nations along the way have ever known.
Many industries could benefit, including the oil and gas sector, and I’m going to say that now before any legislation passes that makes it illegal. There is potential to utilize the corridor to move rail cargoes, pipelines, lumber, agricultural products, raw materials, manufactured goods… an endless array of the stuff that makes Canada wealthy.
The project is enormously captivating right from its very name. “NeeStaNan” translates as “all of us”. How cool is that; inclusiveness not under the guise some overwrought mandate, but in the sense that the project is being structured to benefit a great number of parties. The home page of the NeeStaNan website describes the project as a utility corridor “uniting Canadians”. Now, doesn’t that phrase sound far more powerful coming from the heartland, from people with skin in the game, as opposed to insincere platitudes thrown about like confetti on the campaign trail?
The utility corridor really could unite Canadians; it is a slingshot of vitality into Canada’s industrial base. It could benefit many critical industries, and open up new trade possibilities. It is a project designed to bring in many First Nations along the route that have very little to show for Canada’s development. It’s not a handout, it’s the opposite – a benefit to Canada and a great many Canadians.
Isn’t this what First Nations Self Determination should be about? Isn’t this a perfect dovetail with the interests of the people who live in these remote areas, who are the only ones there, and who deserve a say in how it is developed? Isn’t it amazing that it is a collaborative effort that by design will benefit industries that these First Nations have no direct stake in?
Isn’t it the best possible goal and achievement of all the efforts to bring First Nations fully into the Canadian matrix on a way that works for everyone, and that benefits everyone?
And who would be better than First Nations along the corridor’s path as the stewards of the corridor itself? Who knows the terrain better? I’ve been there, I grew up not in the path of the corridor but I could see it from a north facing window, and I’ll tell you it’s not territory for the faint of heart. Winters are brutal and long, summers are hot and buggy, and nature is relentless. Local expertise and wisdom would be invaluable.
I can’t really think of an infrastructure project of the past fifty years that could have such multi-dimensional benefits to so many Canadians. It is uplifting to see collaboration across many First Nations and the governments of three provinces. Ottawa may not like it, because the corridor is sure to empower an area of the country that has few votes to harvest, but that is all the more reason to get behind and support the project’s owners, organizers, and operators.
The NeeStaNan utility corridor might do more for a forgotten region of Canada, and its First Nations, than 150 years of federal government “help”. Let’s hope all three prairie provinces and the First Nations along the way bring the corridor into life and to its full potential.
Terry Etam is a columnist with the BOE Report, a leading energy industry newsletter based in Calgary. He is the author of The End of Fossil Fuel Insanity. You can watch his Policy on the Frontier session from May 5, 2022 here.
Alberta
Premier Smith says Auto Insurance reforms mean lower premiums and better services for Alberta drivers
Premier Smith says Auto Insurance reforms may still result in a publicly owned system
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
Alberta maintains a balanced budget while ensuring pressures from population growth are being addressed.
Alberta faces rising risks, including ongoing resource volatility, geopolitical instability and rising pressures at home. With more than 450,000 people moving to Alberta in the last three years, the province has allocated hundreds of millions of dollars to address these pressures and ensure Albertans continue to be supported. Alberta’s government is determined to make every dollar go further with targeted and responsible spending on the priorities of Albertans.
The province is forecasting a $4.6 billion surplus at the end of 2024-25, up from the $2.9 billion first quarter forecast and $355 million from budget, due mainly to higher revenue from personal income taxes and non-renewable resources.
Given the current significant uncertainty in global geopolitics and energy markets, Alberta’s government must continue to make prudent choices to meet its responsibilities, including ongoing bargaining for thousands of public sector workers, fast-tracking school construction, cutting personal income taxes and ensuring Alberta’s surging population has access to high-quality health care, education and other public services.
“These are challenging times, but I believe Alberta is up to the challenge. By being intentional with every dollar, we can boost our prosperity and quality of life now and in the future.”
Midway through 2024-25, the province has stepped up to boost support to Albertans this fiscal year through key investments, including:
- $716 million to Health for physician compensation incentives and to help Alberta Health Services provide services to a growing and aging population.
- $125 million to address enrollment growth pressures in Alberta schools.
- $847 million for disaster and emergency assistance, including:
- $647 million to fight the Jasper wildfires
- $163 million for the Wildfire Disaster Recovery Program
- $5 million to support the municipality of Jasper (half to help with tourism recovery)
- $12 million to match donations to the Canadian Red Cross
- $20 million for emergency evacuation payments to evacuees in communities impacted by wildfires
- $240 million more for Seniors, Community and Social Services to support social support programs.
Looking forward, the province has adjusted its forecast for the price of oil to US$74 per barrel of West Texas Intermediate. It expects to earn more for its crude oil, with a narrowing of the light-heavy differential around US$14 per barrel, higher demand for heavier crude grades and a growing export capacity through the Trans Mountain pipeline. Despite these changes, Alberta still risks running a deficit in the coming fiscal year should oil prices continue to drop below $70 per barrel.
After a 4.4 per cent surge in the 2024 census year, Alberta’s population growth is expected to slow to 2.5 per cent in 2025, lower than the first quarter forecast of 3.2 per cent growth because of reduced immigration and non-permanent residents targets by the federal government.
Revenue
Revenue for 2024-25 is forecast at $77.9 billion, an increase of $4.4 billion from Budget 2024, including:
- $16.6 billion forecast from personal income taxes, up from $15.6 billion at budget.
- $20.3 billion forecast from non-renewable resource revenue, up from $17.3 billion at budget.
Expense
Expense for 2024-25 is forecast at $73.3 billion, an increase of $143 million from Budget 2024.
Surplus cash
After calculations and adjustments, $2.9 billion in surplus cash is forecast.
- $1.4 billion or half will pay debt coming due.
- The other half, or $1.4 billion, will be put into the Alberta Fund, which can be spent on further debt repayment, deposited into the Alberta Heritage Savings Trust Fund and/or spent on one-time initiatives.
Contingency
Of the $2 billion contingency included in Budget 2024, a preliminary allocation of $1.7 billion is forecast.
Alberta Heritage Savings Trust Fund
The Alberta Heritage Savings Trust Fund grew in the second quarter to a market value of $24.3 billion as of Sept. 30, 2024, up from $23.4 billion at the end of the first quarter.
- The fund earned a 3.7 per cent return from July to September with a net investment income of $616 million, up from the 2.1 per cent return during the first quarter.
Debt
Taxpayer-supported debt is forecast at $84 billion as of March 31, 2025, $3.8 billion less than estimated in the budget because the higher surplus has lowered borrowing requirements.
- Debt servicing costs are forecast at $3.2 billion, down $216 million from budget.
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