Can we quit cherry picking quotes. His presentation is that the current system is flawed and doesn't incentivize the right behaviours.
Quote:
During his speech, Tertzakian said retaining the existing royalty regime — designed to resolve “unintended consequences” from the system brought in under premier Ed Stelmach eight years ago — isn’t an option.
“It’s way too complicated. It’s got what I call distortions. It doesn’t give the right incentives to go after the highest value products,” he listed.
“It’s not transparent. It’s ephemeral, the programs expire. How is that supposed to be something that breeds any sort of certainty in what we’re supposed to be doing going forward?”
He said the royalty rate on a well in Alberta can vary between 10 and 40 per cent depending upon what mix of oil, gas and natural gas liquids it produces, something that isn’t known before drilling begins.
“There are people out there who are scared to drill a well because they don’t know what their rate is going to be.”
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The article overall is quite positive