WhatFinger

Alberta's Carbon capture and sequestration, Oilsands

Dion’s carbon tax proposal won’t wash in Alberta


By Guest Column Doug Firby——--August 2, 2008

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CALGARY -- It may come as a surprise to the Rest of Canada that Albertans are actually deeply concerned about the state of the environment, with all the posturing and chest-thumping that grabs the headlines. In fact, Albertans are ready to walk the talk.

Just this past month, Alberta’s Conservative government, which has leaned left since Ed Stelmach eased the reins out of flamboyant ex-premier Ralph Klein, rolled out a $4-billion environmental plan that includes $2 billion for carbon capture and sequestration – currently the most promising way to curb greenhouse gas emissions from the oilsands projects that are almost single-handedly fuelling Canada’s economic engine, and another $2 billion to jump-start public transportation in the province. Some pundits have dismissed Alberta’s move as a largely tactical measure to head off potentially draconian federal measures, but such cynicism sells the initiative short. It also ignores the position of several oilpatch giants, who for years now have openly acknowledged that CO2-caused global warming is an issue that cannot be ignored. As recently as March, the presidents of Alberta-based energy giants Nexen and Enbridge, for example, said a carbon tax -- possibly at the pumps or on energy bills -- is an appropriate way to change consumer behaviour. In the context of such an awakening, it is difficult to comprehend how Liberal leader Stephane Dion’s carbon tax proposal could be more of a flop in Alberta. Dion bravely marched into the heart of the West this past month, making appearances in Edmonton and Calgary, which was staging its annual paean to cowboy culture – the randy and raucous Stampede. If his goal was to trigger a debate, he roundly failed. Speaking to a Liberal crowd at the Calgary Zoo, Dion had to rely on the converted for applause when he condemned the Alberta government for inaction. Emboldened by his loyal subjects, he went on to say the province’s position was hurting Albertans’ reputation across the rest of the country. If the message did indeed appeal to Liberals (or were they clapping on cue?), just about everybody else in the city was too busy Stampedin’ to pay any attention. The province refused to take Dion’s bait, issuing the standard statement through Stelmach’s spokesman: "Mr. Dion cannot come to Alberta and tell us how to run our province." Wisely, Prime Minister Stephen Harper also declined Dion’s challenge to debate the issue in Alberta. What Dion has failed to grasp is this: Few would disagree on the merits of bold environmental initiatives. The real worry for Albertans is who you trust to do the job. As one poster on a chat board put it: “I speak for a large group of Albertans fed up with our province being used as a whipping boy by federal Liberal politicians every time they want more tax revenue or to pick up some votes down east.” The roots of such distrust extend all the way back to Pierre Trudeau’s ill-conceived National Energy Program, which was rolled out in the early 1980s, just as the world was heading into an economic recession. The double-barrel hit devastated Alberta’s economy, and left an embittered suspicion of Eastern-based parties that is undiminished nearly three decades later. “If push comes to shove and votes are at issue, the West will lose every time,” wrote our chat board poster. “The carbon tax proposal by Dion is proof of that.” Part of Dion’s problem is timing, just as it was for Trudeau and the wildly unpopular NEP. Dion wants to slap new taxes on the pump just as the price of oil – and consequently gasoline -- hit levels many would not have believed possible just a year ago. Even some Liberals know it. Ken Boshcoff, Liberal MP for Thunder Bay-Rainy River is no doubt in trouble with the boss for his recent blog post, in which he acknowledges the Green Shift carbon tax plan will transfer wealth “from rich to poor, from the oilpatch to the rest of the country.” His reference is to the portion of Dion’s plan that will channel $15 billion in tax revenues to social policies, including $2.9 billion for a universal child tax benefit. Other advocates of a carbon tax prefer revenue-neutral plans, which direct all new money back into tax cuts and incentives designed to foster energy efficiency and conservation. One can only imagine the deal-making Dion had to make to sell his Green Shift plan within the party – that’s likely where the social spending notion came from. But, if he doesn’t already, he’ll soon regret that concession. It has turned a tough sell in Alberta into an impossibility. And, as Alberta grows in population, power and influence, it is no longer a province that will tolerate being shut out of any future federal government. Doug Firby, former Editorial Pages Editor with the Calgary Herald, is Alberta commentator for Troy Media Corporation.

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