Critics Slam Alberta's New Royalty Review as Policy Disaster

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Critics Slam Alberta's New Royalty Review as Policy Disaster

Oct 28, 2017 | 09:16 1 https://thetyee.ca/News/2016/02/02/Alberta-Royalty-Review-Disaster/
Critics Slam Alberta's New Royalty Review as Policy Disaster
Panel finds current share of value Albertans receive from resources 'generally appropriate.' Reply With Quote
Oct 28, 2017 | 09:19 2 https://www.theguardian.com/environment/true-north/2017/oct/26/revealed-oil-giants-pay-billions-less-tax-in-canada-than-abroad

While royalty rates in Newfoundland are the highest in Canada, in Alberta they have fallen from a 40 per cent high during the 1970s to less than four per cent, and a complex system of exemptions ensures companies often pay even less. The NDP government in Alberta backed away from a pledge to hike them.

Le Billon said the tax gap between Canada and developing countries has also been influenced by lower prices for Canadian crude and higher production costs.

“[Production in Africa] generated positive segmented earnings, therefore generating higher associated payments to the local Governments. In contrast, last year our Canadian conventional operations were generating operating losses, hence lower payment levels to Canadian governments,” a spokesperson for CNRL said. They reported losses of $204 million last year but have made $1.07 billion in profits in their latest quarter in 2017.

Chevron Canada did not directly address the discrepancy in tax rates, but a spokesperson said its reporting to the extractive sector database “are one of many important roles that Chevron Canada and our industry peers play as we produce safe and reliable energy and partner with communities and first nations [sic].” They reported losses of $497 million in 2016 after making $4.6 billion in 2015.

Suncor, which reported profits of $1.9 billion in 2016, did not return a request for comment. All three companies pay massive dividends to shareholders every year.

Natural Resources Canada referred questions to the Finance Ministry, which did not respond to questions.

Justin Trudeau’s Liberal government and the provinces also continue to give $3.3 billion in yearly subsidies to fossil fuel producers in the country, despite having pledged to phase them out. Reply With Quote
GDR
Oct 28, 2017 | 21:58 3 Is your point here that the NDP are bunch of hypocrites? Agreed, they suck but it's kinda old news now. That review is almost 2 years old. Reply With Quote
Oct 30, 2017 | 20:38 4
Quote Originally Posted by GDR View Post
Is your point here that the NDP are bunch of hypocrites? Agreed, they suck but it's kinda old news now. That review is almost 2 years old.
Yes old news nothing has changed and we have some of the lowest royalties in the world. In effect we give away our resources and then wonder where all the money went from the recent boom. Hell of a way to run a country! Reply With Quote
Oct 30, 2017 | 20:43 5 Could somebody please find the number of oil wells drilled each year in Alberta and the number of wells drilled each year in Norway?
Thanx Reply With Quote