Expect 'ripple effect' from slowdown in Alberta oil patch: economist

mentalfloss

Prickly Curmudgeon Smiter
Jun 28, 2010
39,778
454
83
Trickle down wreckonomics.


Expect 'ripple effect' from slowdown in Alberta oil patch: economist

Declining oil prices are dissolving thousands of jobs in Alberta, and it's certain that cancelled and delayed projects out west will have a significant impact on commuting workers from Newfoundland and Labrador, an economist says.

Although Alberta's industry is expected to rebound after a three-year downturn, Bob Collins, an economist with BuildForce Canada, says the current downturn will be equally tough for the thousands of men and women who travel west for a paycheque.

In an interview with the St. John's Morning Show, Collins said the situation in Alberta is far from settled.

"It's still unfolding in front of our eyes in the sense that we came into the end of last year with the signals of declining oil prices. But [what] we really started hitting in 2015 was the postponement and cancellation of projects, and so that obviously had a very large impact in terms of the job losses," he said.

"We're looking at it to continue all across this year and into next year. So as things unfold, this will be spread throughout the Alberta economy, not just necessarily the oil patch, but as well as all segments in construction in Alberta. The ripple effects are felt in other parts of the country, such as Newfoundland and Labrador."

BuildForce Canada, formerly known as the Construction Sector Council, is an organization that studies labour market needs for the Canadian construction industry.

Collins said the pinch of the current downturn will carry well into 2016, and predicts that perhaps the worst is yet to come.

..more...

http://www.cbc.ca/m/news/canada/new...down-in-alberta-oil-patch-economist-1.3004871
 

Cliffy

Standing Member
Nov 19, 2008
44,850
192
63
Nakusp, BC
We can only hope. The rest of the world is turning toward renewable, sustainable energy and Harpo wants to take up back to the 20th century. Time to get with the times. We still need oil to get us through the transition, but basing our economy on a dying industry is just plain stupid.
 

captain morgan

Hall of Fame Member
Mar 28, 2009
28,429
146
63
A Mouse Once Bit My Sister
Gigawatts schmigagawatts... I'm going to wander on down to the local renewable energy fuel station and fill up with a full tank of rainbows and unicorn kisses.

.. Get fantastic mileage on that, don't ya know
 

Zipperfish

House Member
Apr 12, 2013
3,688
0
36
Vancouver
We call them oilsands in Alberta

The thing with the dams is, unlike the thermal electrical generation faciliteisa, they can be turned on and off. That's why BC Hdyro sells power to Alberta in the day time (when it is more expensive). Then we turn the dams off and buy from Alberta (who can't turn their thermal plants off) at night when it's cheap. Same with the US. That's what keeps our electricity rates so low in BC. Thanks guys!