Quote:
Originally Posted by Wolven
At a high level:
1) No more public money for pipelines. If the new Major Project Office is going to do the job of clearing red tape then a private proponent that sees the value in a pipeline can step up and work with the MPO to make it happen
2) Orphaned wells are going to cost Alberta over $1B - the O&G industry should be paying for that
3) No more royalty reductions, tax breaks, grants, or special loans for O&G - https://fossilfuelsubsidytracker.org/methodology/
4) Do not let them off the hook on tailings water. They need to invest into how to clean that water up to the point where they can reuse it within their process. Or better yet, make their CEOs drink it once they say it is "clean". |
If you support 3) that is an anti oil opposition particularly around royalties.
Non-produced oil generates no royalty so a royalty reduction for pre-payout projects is not a subsidy. It’s a misunderstanding of how the royalty structure works. The NDP under Notley prepared an excellent report determining on how to ensure investment and maximizing Alberta’s stake from oil Royalties. I’d suggest reading that report and then revisiting the idea that Royalty discounts are subsidies.
I tend to agree with you around 1 but I think the government needs to underwrite the risks of regulatory approval not being granted. This would be a direct subsidy otherwise there will be no proponent because the regulatory risk is too high.
2) Orphan wells are paid for through the Orphan well Levy. The AER should be much more restrictive around sales of liabilities and speed of abandonments by solvent companies. I agree that this should be expanded.
The drinking water thing is kinda ridiculous as there is a tonne of surface water you would not drink for a wide variety of reasons. But I concur that more investment is required.