At the currrent rate that Canada gets per barrel for its oil, we will earn 26 Billion less than than World prices for our oil this year because of the rail bottleneck.
At the currrent rate that Canada gets per barrel for its oil, we will earn 26 Billion less than than World prices for our oil this year because of the rail bottleneck.
It doesn’t cost protesters anything.
The Laurentian elites, no doubt, welcome this news. They see this as a sign that those renegade Albertans will eventually surrender to Ottawa.
I remember during the 1970s, when Lougheed and PET butted heads over the price of oil, how Quebec practically demanded that Alberta hand over its oil to that province for next to nothing. Alberta, of course, would get zippo in return as it would have been an obedient vassal, doing what was expected of it.
Nice country, eh?
Energy minister Marc Lalonde said the motive of the NEP was what Albertans had suspected all along: “to transfer wealth from Alberta to Central Canada. The major factor behind the NEP wasn’t Canadianization or getting more from the industry or even self-sufficiency. The determinant factor was the fiscal imbalance between the provinces and the federal government.” Same with this group of Laurentian mafia.
The determinant factor was the fiscal imbalance between the provinces and the federal government.
Quebec, conveniently, perpetually claims to be “poor”.
… offset, of-course, by your exploding Hydro bills. Pay-up Canadians!! The eco-EXTREMISTS have WON!! They’ve stopped the Tundra from thawing!! They’ve increased the Polar Bear populations!! Wouldn’t you all WANT to PAY for such a won–der–fall CLEAN environment ?! David Suzuki SAYS you SHOULD, er … MUST!!!
The funny thing is, with a western pipeline (Alberta to Vancouver) the Federal Government would take in even more money. The transfers to Quebec could be even higher, for the same amount of oil produced.
People often wonder why Canada doesn’t build more refineries to process its own crude. Then we could sell finished products, right? No. Who is buying our heavy crude? Refineries in the US. They don’t buy gas and diesel. We need to build pipelines to the coast to ship our crude oil overseas where the prices are higher. Otherwise we are locked into the USA which is offering to pay less and less for our oil. Yet we are selling them more and more.
One of the reasons we have a 77 cent dollar
Grossomotto numbers, but let’s be clear about who is being screwed by our governments and the assorted other busy bodies who have created this. The long story is that parts of this is oil and gas that was not produced; which means jobs that were lost, local economies that were gutted and small businesses, be they oil companies, service sector, small town stores or Sears, that went broke.
But lets take this huge sum in simple terms and spell out why it really is a loss to every Canadian. If it were all discount from world prices of oil actually sold (and a large fraction of it is) then it comes right off the top of gross receipts.
But it is not just a hit on what big oil makes. Roughly 40% would have been taxes and royalties paid to governments (Gee whiz, there is the federal deficit right there!).
About half of what is left over would have been investment in replacement of new production (Funny, about what Mr Trudeau promised, but failed, to fund from the money he borrows in the name of all the taxpayers).
The residue would have been profits paid out to shareholders; the “passive income” that Mr Moraeau and his master want to tax at 54%; the good/bad news being that none of this will be paid out so no one will have to pay this larcenous rate…
And before anyone gets too smug about making the rich pay, keep in mind that these same dividends are what flows to pension funds (even the CPP and the monster public sector pensions are deep in the market) and mutual funds and the like, and there is no one in this country who does not have a stake in the outcome. And we will not even start to explore that because of this huge hit on income and profits the underlying value of these investments has been at cut at least in half.
Progressives don’t care about prosperity. A prosperous independent middle class is their nemesis. Progressives, like their green theocracy fellow travelers consist of the idle rich and the idle poor. Obama sought to grow the state-dependent under-class rather than the middle-class with their Joe the Plumbers and his ilk. The Green theocracy will gladly sacrifice your wealth, health and life for their sacred narratives which just happen to coincidentally give them total control over all aspects of your life. No fireplaces in Lotus Land is just the beginning. The reality is that Canada is now such an insignificant second-hand backwater of a nation that all the sacrifice inflicted on its bovine masses by its rulers will change nothing in terms of what foreign producers and consumers of oil will do. The whole sad joke is an exercise in progressive virtue signaling as a tax on stupid people who elect them but since the underclass are takers as are the fat cats of the public sector, the burden falls on the middle class tax payers, those same people that the Spawn pretends to pander to.
One thing that everybody conveniently forgets is that as part of NEP, Pierre Trudeau offered to subsidize the construction of a pipeline by Inter-Provincial Pipelines (now Enbridge) from Alberta to Montreal. We could have had our vital cross-country link 40 years ago, but Lougheed wanted to ship his oil to his buddies in the States. What are we getting for oil sands crude today? Maybe $31? Of course PET is the source of all our problems, right?
On a positive note, federal workers pension funds are going down the drain.
Follow the money.
See how rewarding it is for our competition to finance our government.
All that “Gang Green” money that poured into Canada.
To “save” our environment and replace our planet hating leadership.
So we get screwed by almost $Billion per citizen..per year.
Got to love our politicians and presstitutes.
$26billion sounds familiar…was that not the deficit last time we had an honest budget?
Western Canada is so FUBAR.
Do we suffer any loss by becoming the 51st State?
The one joining Alaska to the rest of the USA.
Strikes me we have better chances of controlling our destiny and natural resources as American Citizens.
At least their constitution recognizes property rights.
And we may as well negotiate directly with our actual owners instead of their pale puppets.
And what price was dear Pierre going to pay those oil companies for all that western oil, back then? NOT world price, but a discounted, “made in Canada price”. Probably about the differential we’re getting raped over now….& to subsidize central Canadian gas guzzlers, who would not be paying the Saudis & Venezuelan’s their “world price” at the time. Isn’t Confederation just grand?
Then the asswhole went out & used taxpayer’s money to subsidize oil companies drilling on FEDERAL LAND (ie: Northwest Territories) bordering the Beufort Sea off Tuk, NWT. Free money for Shell & Smilin’ Jack. The rest of us paid double-digit interest rates & still paid world price for oil.
Like the CWB, just more federal economic warfare against anyone not resident in the Tranna, Montreal, Ottawa triangle.
….and remember Petro-Canada formed in 1975, a policy demanded by the NDP for continued support of the minority Liberal government with first president Maurice Strong. Petro-Canada spent billions of tax dollars buying up properties such as Atlantic Richfield, Pacific Petroleum, Petrofina, and BP’s refineries.
Mulroney returned the company to the private sector in 1990 and the remaining shares in government hands were sold by Chretien. Billions of tax dollars poured down the toilet simply to punish the Canadian oil & gas industry based mostly in Alberta.
What is that which I always say about my fellow Canadians? oh yes, they are stupid.
as I recall, the formation of petro Canada put about 56 million dollars, 1975 dollars, in the Trudeau family coffers. captcha…………….fino borne. close.
I believe the windfall came about because of the Trudeaux’ large stake in Petrofina.
I think 40 years of this “I hate eastern Canada” war is long enough. What have you got to show for it? A depleted heritage fund, no pipeline, no economic diversification and $29 oil. I lay all that at the feet of the previous conservative governments.
Where do you read “I hate eastern Canada” in the comments?
What did the billions of government money wasted to ‘gain a window on the oil & gas industry’ produce?
I guess the Trudeau family did ok I but what lasting good did all that seventies and eighties government activity in that sector accomplish?
Gee, if only the previous Alberta governments had ceded their constitutionally protected sovereignty regarding natural resources to the Spawn’s Marxist father’s government, then all would be well within the deranged dominion. It’s too bad PET didn’t live long enough to witness his dream come true in Venezuela. I don’t hate Easterners but I don’t have any use for Liberals, Dippers, Greens and I can barely tolerate most Conservatives. Have a nice day!
Showing us some of that eastern love there in that comment, eh sport?
No eastern love here buddy, I’ve lived and worked in all 4 western provinces and the NWT over my working life. Alberta has always been arrogant and “My way or the highway”. The Saskatchewan party got elected and fell into a pot of money when the Bakken oil field came in. They spent in as fast as it came in until it stopped coming in and they were left with nothing. Oh well, I shouldn’t complain too much because we got good roads out of it. Despite that, Brad Wall decided that he would also adopt an attitude of “My way or the Highway”. BC governments, on the other hand, like to curl up in a comfortable ball behind the Rockies and ignore everything that happens on the other side of the mountains. The NWT have high rents, high wages, low taxes, low unemployment and lots of federal subsidies. A good place to live.
Where am I going with this? Alberta, and probably Saskatchewan, is in the situation it is in because it couldn’t be bothered to make any compromises, or even sit down and talk about differences with the federal government over the years. It’s always been “My way or the highway”, and that highway has turned out to be full of potholes.
“Where am I going with this? Alberta, and probably Saskatchewan, is in the situation it is in because it couldn’t be bothered to make any compromises, or even sit down and talk about differences with the federal government over the years. It’s always been “My way or the highway”, and that highway has turned out to be full of potholes”
Here’s how compromise works in Canada. Alberta and Sask. like all provinces, have constitutionally enshrined jurisdiction over the development of the natural resources within their borders.
Trudeau with the NEP essentially gutted that arrangement and when the NEP was at its height Ottawa was taking over 12000 more per capita from Albertans than Albertans were receiving from Ottawa. Over the years that the NEP was in force and before Mulroney ended it, it is estimated that Albertans gave up between 50 and 100 billion.
The province was decimated by the NEP but we’re supposed to forget that and take your useless advice that more compromise is required.
note my captcha reference, close but no a.