OIl sand in Alberta and what it means

[Suebu]

I was talking with a native Albertain about an opinion I had regarding the oil fields here. I stated that if the Canadian government had any brains they would negotiate a deal with the oil companies and only pay $50 for each barrel of oil and after every decade, lower the price by $10 until the amount of $30 per barrel was reached and that is where it would stay. At to date, the province of Alberta receives 2% royalties on each OUNCE sold,(hell of a lot of money there) which they could keep. The oil companies would only supply Canada with enough gas that was needed and the rest would be sold on the global market. I truly believe that if the government did this, all of Canada could reap the profit and raise the quality of living for all.

Well this Albertian became very irate about this. She stated that, "as an Albertain she would never forgive the Federal government for how they did not help Alberta in the 80's and 90's when the reccession hit, so any profit made from the oil fields would stay in Albera.

She moaned that in the 80's how many of her friends had to walk away from their home and how much Albertian lost during this time. She even went as far as to say that she would inform her children as to how the Federal government let down Alberta and to fight to keep oil profits in their province. (I did ask her why she would teach her children to fight/hate a past government for their lack of funds and if she like the idea of teaching her children to hate....she made no comment on this). I did informed her that it was not only Alberta that suffered during that time and it was not only Albertian who had to walk away from their homes.

I mention the fact that the Federal funding was stretched beyone its capacity during those times and when the bottom fell out in Alberta....the federal kitty was empty. I also stated to her that she should have been happy living here due to the fact she didn't have to pay PST on top of everything else.

She stayed firm with the fact that the oil reserves were Albertain birth right and that they were not going to share with anyone in Canada.  My question would be....is the provincial government going to share that profit with its citizens.....or line their pocket more or just waste the funding on useless projects/research/etc ?

I think it is bad enough that the Federal government allowed the province of Quebec to keep all the hydro profits so that one stupid call has set a precedent.

When you think of it...we have a lot of natural resource, BC -Lumber, Alberta - ranching/oil, Saskatchewan - farming/oil, Manitoba - Metals, Ontario - Business Capital, Quebec - hydro, Maritime - fishery....currently the fishery industry has been depleted, metals are not as abundant as in past so what is going to happen to BC when lumber become in short supply? (you have to fly over BC to see how much lumber is being harvest....scary)

If the Canadian government would use it brains and took our natural resources, using the profits to lower our taxes, product cost and gas prices I think all Canadian's would reap the benefits as well as unify a stronger Canada. We could be just like Kuwait with their citizens enjoy a very high standard of living.....ummmmm....Nice!

that is my 2 cents......what is your opinion on this???

Sue

 

[Synthos]

I question why you bolded the "ounce" at the beginning... Since 2% royalty on an ounce equals 2% royalty per barrel. There's no mathematical extra significance on percentages of lower measurements

 

[Colin Parkinson]

One of the devil in the details about the oil sands, is the amount of water they are using to access the oil. They are going to have to reduce the amount of water consumed as the area will likely not sustain the draw.

 

[Suebu]

I question why you bolded the "ounce" at the beginning... Since 2% royalty on an ounce equals 2% royalty per barrel. There's no mathematical extra significance on percentages of lower measurements

So my math is not the greatest...that is not the point of the posting  :-*

 

[241]

At to date, the province of Alberta receives 2% royalties on each OUNCE sold,(hell of a lot of money there) which they could keep.

So what are you trying to say...That the profits from oil that has been recovered from Alberta and sold else where should be equally distributed across Canada, if so that sounds like a bunch of whining, we don't ask PEI for a cut of there Potato profits or Quebec for a cut of there maple syrup profits you why is the rest of Canada asking for a cut of our oil profits???  (And no offence intended to any residents of PEI or Quebec these where just the first two examples of and Province and a resource produced in it)

 

[Prophet]

So what are you trying to say...That the profits from oil that has been recovered from Alberta and sold else where should be equally distributed across Canada, if so that sounds like a bunch of whining, we don't ask PEI for a cut of there Potato profits or Quebec for a cut of there maple syrup profits you why is the rest of Canada asking for a cut of our oil profits???  (And no offence intended to any residents of PEI or Quebec these where just the first two examples of and Province and a resource produced in it)

I agree,

 

[Kat Stevens]

We've already kicked this topic to death, twice, I believe.

 

[Cardstonkid]

I am all for "sharing" the oil profits. As soon as Ontario shares its manufacturing windfall and Quebec shares its Hydro winfall. Fairs fair.

How long would the profits last in a system like this? Why bother have Provinces at all? Why not just let the Feds run everything? Why bother having a Constitution if it is going to be changed at a whim to suit the needs of the provinces or the Feds if they feel disadvantaged at the expense of those that are doing well?

The oil will not last forever. Within the next 25-50 years there will be a serious decline in the volume of oil coming from Alberta. Is it not a better idea for Alberta to save 30% or more of the energy windfalls now to make sure that Alberta remains a contributing province to the overall Canadian economy?

Don't worry about Quebec separating. Alberta will lead the way if this becomes the common ideas of the various governments throughout Confederation. If raping Alberta is the national sport then Alberta will find its own way.  Alberta will never tolerate another National Energy Program.

Could you imagine the outrage in Ontario if the other provinces got together and passed legislation that 20% of the profits on all manufactured goods would be distributed to provinces that did not have the same level of industry as Ontario? Or if all goods from Ontario had to be sold at cost or with a regulated profit margin within Canada?

If its crazy anywhere else in Canada why is it fair for Alberta? Oh I know, if you vote conservative, or have conservative values you are not "real Canadians" as the Liberals and the NDP like to say. Makes sense, if you live in N. Korea.

 

[Colin Parkinson]

Well Quebec can leave after we take 20% of their woman and we get to pick them.... ;D

 

[George Wallace]

Well Quebec can leave after we take 20% of their woman and we get to pick them.... ;D

Are you sure you want to?  I hear many of them are 'High Maintenance'.  Then again so are some of the guys.........spending their money on clothes, when there are all those other distractions to spend money on.

 

[TN2IC]

I am all for "sharing" the oil profits. As soon as Ontario shares its manufacturing windfall and Quebec shares its Hydro winfall. Fairs fair.

We will share the fish... with love from Nova Scotia.