A new report confirms Alberta’s energy sector cannot withstand the toll of a heavy-handed hike to royalties, the Wildrose Official Opposition said today.
The Bank of Montreal (BMO) Capital Markets report concluded Alberta’s energy sector “is not positioned to bear the burden of higher royalties and/or environmental charges at current commodity price levels.”
Wildrose Leader Brian Jean said the NDP must take a measured approach to any decisions it makes on Alberta’s royalty structure.
“The only economic ideas the NDP have had so far are to tax job creators and grow the size of government, and there is a real concern they’ve already made up their minds to raise royalties on industry,” Jean said. “Now is the time for calm, stable leadership, not more economic experiments from this government.”
Wildrose Shadow Energy Minister Leela Aheer said the NDP government should heed the advice of the BMO report, and approach any changes to Alberta’s royalty structure with a “hand, not a hammer.”
“Wildrose has said from the beginning that if the NDP is intent on bulldozing ahead with this ill-advised royalty review, it must do it swiftly and transparently,” Aheer said. “This new report makes it clear that Alberta’s energy sector – the economic engine of Canada – cannot bear the consequences of a royalty increase in this economic climate. The NDP needs to hear that.”