Today, the Pembina Institute filed a request under Alberta's Freedom of Information and Protection of Privacy (FOIP) Act to obtain the Department of Energy's analysis of the "unintended consequences" of the New Royalty Framework. Last week, Minister of Energy Mel Knight announced royalty breaks for producers of deep oil and gas. The adjustments are to address the unintended consequences, but the Department of Energy did not show its work to Albertans.
"Were the so-called 'unintended consequences' simply discussed behind closed doors with industry or were they arrived at through a careful and detailed analysis? Albertans don't know," said Amy Taylor, Director of Alberta Energy Solutions with the Pembina Institute. "As owners of the province's natural resources, Albertans have the right to know the basis for government decisions about resource royalties."
Three reports have now concluded that the Department of Energy lacks transparency regarding the province's oil and gas royalty regime, yet again the government failed to make critical information related to last week's royalty announcements available to the public. The government-appointed Royalty Review Panel highlighted a persistent lack of transparency in September 2007. Provincial Auditor General Fred Dunn delivered a similar message to Government in his October 2007 report. Just 10 days ago the Valentine Report put forward thirteen recommendations geared towards improving the transparency of the province's oil and gas royalty system. Yet the lack of transparency continued last week when the government withheld the analysis to support its decision to relax royalty changes.
Once the requested documents are received from the Department of Energy, the Pembina Institute will make them accessible to the public online and in print at the Environmental Law Centre (ELC) in Edmonton. The ELC's library also contains documents regarding Alberta's royalty regime obtained through a FOIP request by environmental activist Martha Kostuch in December 2007.
"This information should be readily accessible to the public. If the government won't offer transparency, we will, by making the results of our FOIP request available to Albertans," noted Taylor.
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For more information, contact:
Amy Taylor, Director of Alberta Energy Solutions
Tel: 403-705-4954
Cell: 403-996-0510