Oil prices up.
Good times in the patch these days
Yep enthusiasm is really starting to build.
Oil prices up.
Good times in the patch these days
Yep enthusiasm is really starting to build.
Yes sir.
More black gold traveling through Kinder Morgan to Burnaby and Vancouver
Damned good thing that WE don't get our oil from Alberta. The unending blackmail would be too much.
Do you refuse the cash?
Will you blackmail us, too? You know, "let the Eastern Bastards Freeze in the dark"? The Russians do that to the Europeans too and either Europe will eventually have to say "no" or cave in to Russia's demands.
By the way, which way is the cash flowing this year? Has it reversed it's course again and returned to the East-to-West trajectory that it had prior to the mid-1980's? If the price of crude hits the skids because of all of the new supply coming on line in the US, will you accept our cash?
The Russians weren't paying equalization payments to Europe
Sask and possibly BC (maybe even AB) will be paying in more than they receive. It's not accurate, let alone possible, that Eastern provinces will be paying in more cash in order to support the West
... But the question remains, was the cash refused?
I would say that over the longer term, no, we should not be taking transfer payments from the West as it encourages economic inefficiencies in Ontario and Quebec. If we "import" Western crude oil, we should use it only as a secondary source as it will be inherently more expensive for us than Gulf of Mexico sources and that also creates economic inefficiency in the East. The question of oil blackmail needs to be looked at seriously as the incident with BC is the second time that cutting off supplies to another region has been threatened by a populist Alberta politician. Is Alberta a reliable source? Maybe. Is Venezuela a reliable source? They've never threatened us.
I would say that over the longer term, no, we should not be taking transfer payments from the West as it encourages economic inefficiencies in Ontario and Quebec.
If we "import" Western crude oil, we should use it only as a secondary source as it will be inherently more expensive for us than Gulf of Mexico sources and that also creates economic inefficiency in the East.
The question of oil blackmail needs to be looked at seriously as the incident with BC is the second time that cutting off supplies to another region has been threatened by a populist Alberta politician. Is Alberta a reliable source? Maybe. Is Venezuela a reliable source? They've never threatened us.
In principle, Equalization was not unreasonable, however, it morphed into a system of provincial welfare to the point that there was less incentive for a recipient jurisdiction to take more aggressive measures in growing their economies.
On a related note, it was supposed to provide funds such that goods, services, etc were of equal accessibility and cost across the nation.
One can simply look at the tuition fee differential(s) at various Universities or $7/day daycare in Que vs $20 or more elsewhere to see that the philosophy of Equalization has not lived up it's intended goals
That is a inaccurate statement. Transportation of oil or refined product is far less expensive in the medium and long terms.
Add in the notion that you are also purchasing that oil in market priced USD and the feedstock (from Western Canada) is purchased at a discount, it is actually costing you more than if you purchased from Western sources.
In any event, the belief that it would be too expensive makes no sense based solely on the reality that the US can pipeline it down to the Gulf and later put in on a boat and sell it internationally or refine it and distribute (by pipeline) through the US for domestic use
In each case, the blackmail was initiated by either the Feds and most recently, BC.
This also begs a deeper question... Can AB have concerns over the ecological consequences of BCs forestry practices and therefore ban any wood products from traveling through AB?
How about the many worries associated with auto manufacturing in Ontario relative to GHGs from manufacturing and therefore place hard restrictions on the number of Ontario built cars/trucks... However, all of the additional vehicles can be bought direct from US or Japanese/Asian sources without restriction as they were manufactured offshore?
... Doesn't make a lot of sense, does it?
In principle, Equalization was not unreasonable, however, it morphed into a system of provincial welfare to the point that there was less incentive for a recipient jurisdiction to take more aggressive measures in growing their economies.
On a related note, it was supposed to provide funds such that goods, services, etc were of equal accessibility and cost across the nation.
One can simply look at the tuition fee differential(s) at various Universities or $7/day daycare in Que vs $20 or more elsewhere to see that the philosophy of Equalization has not lived up it's intended goals
That is a inaccurate statement. Transportation of oil or refined product is far less expensive in the medium and long terms.
Add in the notion that you are also purchasing that oil in market priced USD and the feedstock (from Western Canada) is purchased at a discount, it is actually costing you more than if you purchased from Western sources.
In any event, the belief that it would be too expensive makes no sense based solely on the reality that the US can pipeline it down to the Gulf and later put in on a boat and sell it internationally or refine it and distribute (by pipeline) through the US for domestic use
In each case, the blackmail was initiated by either the Feds and most recently, BC.
This also begs a deeper question... Can AB have concerns over the ecological consequences of BCs forestry practices and therefore ban any wood products from traveling through AB?
How about the many worries associated with auto manufacturing in Ontario relative to GHGs from manufacturing and therefore place hard restrictions on the number of Ontario built cars/trucks... However, all of the additional vehicles can be bought direct from US or Japanese/Asian sources without restriction as they were manufactured offshore?
... Doesn't make a lot of sense, does it?
A Province shouldn't have the power to set trade policies
.... free trade within Canada, the Feds negotiate with the World.
Interprovincial barriers clearly do not make Canada a better place.
That is exactly what BC, and more specifically, the MD of Burnaby is effectively doing.
For purely personal and political reasons, they are manipulating federal jurisdiction in the hope of preventing the transportation of heavy crude oil.
I mention heavy crude (ie bitumen) as apparently they are OK with lighter crude, gasoline, diesel and aviation fuel (they use massive quantities I might add) but a product they don't use daily is magically an environmental concern and therefore verboten
Part of the duties of the Feds is to manage all of the provinces/territories in addition to assuming control and leadership on things like ports, interprovincial railways/highways, pipelines, airports, etc.
They have dropped the ball on this file in a big way and are deserving of their share of the blame
Agreed, however, where we are today is being in a position where inter-Canadian trade wars will be the weapon du jour whenever an individual in power decides what's best for the globe.
My understanding was that Irving was already or in the process of adapting their refinery over to accept the heavy crude partially because of the Venezuelan tar sands that it was already accepting. Also Energy East was approved before it hit the Montreal cartel and Whale road block.