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Rural Alberta leaders smash future oil and gas subsidies

“It’s just like a fox designing a chicken coop. Is it for Alberta? Or is it for the industry?” said Paul McLachlin, RMA President.

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Alberta’s Energy Minister, Peter Guthrie, heard Thursday from Alberta’s rural leaders about a government program being developed to subsidize oil and gas companies for land reclamation. tilted.

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At the Alberta Regional Municipality (RMA) in Edmonton, Reeve Barb Shepherd of Lacombe County asked about the RStar program.

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“Alberta’s current law is pay polluters. Why should we, as taxpayers, contribute, especially when oil and gas companies are once again in profitable territory? ” Shepard said at the morning ministerial forum.

“This appears to be a complex way to transfer oil and gas wealth from Alberta citizens to oil companies,” Shepard said, urging Guthrie to consult with affected municipalities along with the oil companies. I received a standing ovation.

Guthrie responded that an incentive program is currently in development. This is intended to encourage companies to exceed the mandatory spending on cleaning up abandoned well sites.

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“The only way RStar credits can be used is in future production, not current production, which is to generate activity in small towns,” Guthrie said.

Prime Minister Daniel Smith has held the RStar torch since he was sworn into office, most recently praising it until Oct. 21 after previously lobbiing for the idea as president of the Alberta Enterprise Group. increase.Smith too wrote a letter to the then minister of energy 2021 Sonya Savage has failed to push her program.

It is estimated that if RStar granted a $20 billion industry deduction, Alberta taxpayers could withhold $5 billion in royalty income.

“Exactly how foxes design chicken coops”: RMA President

First developed by industry group Sustaining Alberta’s Energy Network, the RStar program has alerted legal experts and energy economists to the work almost all companies are doing in some way as a legal condition of their drilling licenses. said to help.

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Ken King, Lieutenant Gov. Reeve of Nyhill County, said Thursday morning on the microphone that funding oil and gas shareholders would not benefit local governments.

“We are going to provide $20 billion in benefits to oil and gas companies. I challenge you…you get the same $20 billion to these local governments. will be seen, the infrastructure will be dealt with and we will see Alberta move forward.

Guthrie said the government would proceed with “scrutiny” and a lot of consultation.

“Trust me, we’ll go out and consult. We’d love to hear your feedback.”

Treasurer Travis Touse said any program affecting Avatan’s royalty income would be “scrutinized” by the Treasury Department.

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“That’s Alberta’s income,” he said.

At a press conference on Thursday, RMA Chairman Paul McLachlin pointed to backlash from members over the RStar programme, saying, based on Thursday’s ministerial forum, members did not appear convinced it made sense. rice field.

“That’s exactly how foxes design chicken coops. Is it for Alberta or for the industry?” McLachlin said.

McLoughlin said he appreciated Touse’s care in managing future royalties, but since the pitch deals with future royalties, it will be submitted to all Alberta states on a ballot. should be

“You receive future payments for your great-great-great-grandchildren, grandchildren, and now you are using them to facilitate reclamation. He added that he is an industry supporter.

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They also want the outstanding oil and gas taxes estimated by the RMA in March to total $253.7 million to be addressed.

Encouraging Landfills and Enabling Future Drilling: Smith

In a proxy statement released Thursday, Smith referred to the program without using the RStar title and without providing specific details.

One of her directives to the newly appointed minister is to “develop a pilot program that effectively encourages the reclamation of inactive legacy oil and gas sites and enables future drilling.”

Touching on familiar issues in her speech to members Thursday, from affordability issues to Alberta’s battle with Ottawa, Smith also said her government is working on an outstanding municipal property tax bill. He said he was looking for a long-term solution to clean up the site of the well.

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The Prime Minister will ask the Prime Minister’s Advisory Board, headed by MLA Jackie Armstrong-Homenk, to speak with Ukrainian communities, non-profit and non-governmental organizations, settlement programs and other supporters of the Ukrainian community.

“We are requesting that the Alberta government provide a report by January 15 with specific recommendations on how it can support the Ukrainian community, especially Ukrainian newcomers, in the short and long term. We will ask the task force,” Smith said.

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A government news release on Thursday also mentioned that former prime minister Ed Stelmac would join the task force.

Since the Russian invasion of Ukraine began, the state has already announced more than $23 million in aid to Ukraine and its citizens.

Smith also noted a UCP policy resolution requiring local councilors and staff to register as lobbyists, a problem many RMA members face, and no specific commitments. I have not.

“We understand that[the proposal]arose out of frustration members had about how difficult their relationship with certain councils was. No decisions have been made on that.” said Smith.

The prime minister did not take questions from reporters at Thursday’s event.

McLoughlin characterized Smith’s speech as “calm” and said it touched on many issues that resonated with members.

When the RMA agreement expires, McLoughlin said he was cautiously optimistic that the government would address issues important to rural communities.

“We want to see action…the evidence is always in action,” he said.



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Rural Alberta leaders smash future oil and gas subsidies

Source link Rural Alberta leaders smash future oil and gas subsidies

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