Quote:
Originally Posted by Bring_Back_Shantz
How exactly is it revisionist history?
I've heard so many people complain about the royalty review and all anyone can say is that the timing was bad. I have yet to hear any complains about the actual structure of the revised royalty program from anyone who understands the differences between the old vs new programs.
Do you know what was/is in the programs?
If so, please elaborate on what issues you think the new system has, and why it's worse than the old system.
If your only knowledge and objection is the timing then I'll repeat something I've said on here many times,
There is never a good time to do a royalty review.
If you do it when prices are low, people will shout "Why are you doing this now, you'll just scare off buisness"
If you do it when prices are high people will shout "WHy are you doing this now, with prices so high, companies will just go elsewhere"
So sure, the timing was bad. It's always bad, but timing aside, they came up with a system that was, generally speaking, better for everyone.
It incentivizes development in all plays.
It incentivizes efficiencies from operators.
It provides breaks when prices are low, and it gives the province a lot of upside when prices are high.
How is any of that bad?
Do you not think the revised program is better?
If you think it is better then is not the right time to have implemented it as soon as possible?
What would you change about the program or the timing?
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I do think that the outcome was fine, but the timing was entirely ideological. Frankly, I'm not convinced that if they were to get into power next election that we wouldn't see a "windfall tax" or something of that ilk from them as well. They showed no propensity to "read the room" last time around, so I can only assume that this time would be no different.
And yeah, it could be argued that there is never a good time, but there are bad times and that was obviously one of them. I think that it was pretty obvious that the oil markets were in upheaval by the time they were elected, yet they did it anyway.