Calgary - Sept 19, 2007 - The Pembina Institute calls on Premier Stelmach's government to accept and implement the full package of reforms proposed by the Royalty Review Panel in its final report, released yesterday.
"The Panel's report confirms that Albertans have not been receiving their fair share of oil, gas, and oilsands revenues as resource owners," said Chris Severson-Baker, Director of the Pembina Institute's Energy Watch program. "It will take real courage for Premier Stelmach to face down industry opposition and implement the Panel's full set of recommendations. However, it's critical to the public interest that he do just that."
The Panel's report sets out a comprehensive roadmap for reforming oil, gas and oilsands taxes and royalties in order to achieve a fairer share for resource owners. With these reforms in place, Albertans' total share of oilsands revenues would increase by almost 40 percent, allowing investments in schools, much needed infrastructure and savings for the future. When compared with other jurisdictions like Alaska and Norway, this would also lift Alberta from worst performer status to average performer status in terms of maximizing revenue for citizens.
In a submission to the Royalty Review Panel in May, the Pembina Institute showed that Albertans could retain an even greater share of revenues from oilsands and become a world leader in maximizing revenue. However, the Institute accepts the Panel's full package of reforms as an appropriate and compelling compromise.
"Premier Stelmach now has complete expert confirmation that Albertans can receive more from energy development while encouraging investment," added Severson-Baker. "When you manage valuable resources like the oilsands, you can afford to get a fair deal for the resource owners. We've already seen Newfoundland premier Danny Williams demonstrate this kind of leadership; now it's Premier Stelmach's turn."
"The Royalty Review Panel has done Albertans an immense service - by reminding Albertans they own the province's resources; by explaining how the government has done a poor job as resource manager; and by providing practical solutions to address the problem," said Marlo Raynolds, Executive Director of the Pembina Institute. "Adopting the Panel's full package of recommendations is a slam-dunk opportunity for Premier Stelmach to show leadership and do the right thing for Albertans."
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For more information, contact:
Chris Severson-Baker
Director, Energy Watch Program
Phone: 403-269-3344 Ext. 101
Cell: 403-899-7423
Marlo Raynolds
Executive Director
Cell: 403-607-9427
Jaisel Vadgama (English or French)
Policy Analyst
Cell: 403-807-6566
Publications and archived media releases on the Alberta royalty system can be found at www.pembina.org