Financial Post: Alberta to bleed 31,800 jobs by end of year in oil price carnage

petros

The Central Scrutinizer
Nov 21, 2008
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Low Earth Orbit
Come drive a truck on the prairie right now and see how far logic gets you.

Better yet try walking.

Spring break up is on in full force.

Mar 30 20,000 go back to work doing shut downs alone. Come work one. You'll make more money in two months they you would all year being the IT girl.
 

mentalfloss

Prickly Curmudgeon Smiter
Jun 28, 2010
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Since you like anecdotes so much:


‘The party is over’ says laid-off energy worker amid Alberta job losses

CALGARY – A cratering of global oil prices is finally catching up with Alberta’s labour market: Employment in the province fell by 14,000 jobs in February, Statistics Canada announced Friday. And it was news that Calgarian Lori Forte had been expecting.

“I spent the last 30 years thinking I was going to get laid off,” said Forte, who works as a petroleum land administrator.

“My boss was great with me, and he came and got me, and he said: ‘Are you ready to take that big walk upstairs?’”


Global News
The jobless rate in Alberta shot eight tenths of point higher to 5.3 per cent—its highest level since September 2011. Last month, 7,000 energy sector workers lost their jobs.

READ MORE: Job seekers looking for an edge over the competition in Alberta

“We are going to see our unemployment rate rise I do think probably to six, six and a half per cent by the middle of the year,” said Todd Hirsch, chief economist at ATB Financial. “But I think the second half of 2015 will see an improvement.”

Since oil prices began tanking last summer, there have been thousands of layoffs in Alberta but no hard and fast numbers. Layoffs at small and medium-sized businesses often fly under the radar, but employers must report layoffs of 50 or more people to the province.

In the past two and a half months, Alberta’s labour department has received 36 notices of group layoffs –affecting 6,630 employees.

That’s compared to 7,900 employees in all of last year. And the province stresses not all group layoffs are reported.

While the oil industry has been hardest hit—20,000 jobs lost since last September—manufacturing, retail and wholesale have also suffered across Alberta.

“We are definitely seeing in the horizon a 2016 slowdown,” said Julie Pithers, who works for DIRTT Environmental Solutions, an exporting company that develops architectural interiors.

Some analysts suggest there will only be more cuts in the near future.

“With limited storage capacity in the States and spring break up in the northern Alberta areas, I think in April we’ll get a better sense of whether we have hit bottom or whether we’re going to see some more challenges,” said Adam Legge, CEO and president of the Calgary Chamber of Commerce.

For her part, Forte thinks the challenges will continue.

“We’ve expected this grand party with lots of money rolling in for a long time and…I don’t know…I think the party is over.”

READ MORE: Stampede tightens belt buckle in response to economic downturn

With files from Global News reporters Jamie Sturgeon, Erika Tucker and Lisa Geddes

© Shaw Media, 2015

Report an error

‘The party is over’ says laid-off energy worker amid Alberta job losses | Globalnews.ca
 

petros

The Central Scrutinizer
Nov 21, 2008
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Low Earth Orbit
SPRING BREAK UP
What is Spring Break up and how does it affect me?

Work in the oil and gas industry is seasonal. Due to the weight of the rigs and other equipment, as well as the remote location of many wells, the job sites are often only accessible when the ground is able to support heavy loads.

For this reason, governments implement road bans when the ground is soft. During a road ban, rigs are shut down and crews are laid off. Spring break up can start as early as the end of February and last anywhere from 6 weeks to three months, depending on weather and activity levels
 

petros

The Central Scrutinizer
Nov 21, 2008
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re·al·i·ty
rēˈalədē/
noun
1.
the world or the state of things as they actually exist, as opposed to an idealistic or notional idea of them.
"he refuses to face reality"
synonyms: the real world, real life, actuality; More
antonyms: fantasy
a thing that is actually experienced or seen, especially when this is grim or problematic.
plural noun: realities
"the harsh realities of life in a farming community"
synonyms: fact, actuality, truth
"the harsh realities of life"
a thing that exists in fact, having previously only existed in one's mind.
"the paperless office may yet become a reality"
the quality of being lifelike or resembling an original.
"the reality of Marryat's detail"
synonyms: verisimilitude, authenticity, realism, fidelity, faithfulness
"the reality of Steinbeck's detail"
relating to reality TV.
modifier noun: reality
"a reality show"
2.
 

mentalfloss

Prickly Curmudgeon Smiter
Jun 28, 2010
39,817
471
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Now that you know both, maybe you can exercise reality instead of making excuses for propping up a failing segment of the economy.
 

petros

The Central Scrutinizer
Nov 21, 2008
120,169
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113
Low Earth Orbit
The segment that is still in the black or the one running $13 Billion in deficits and getting it's credit rating downgraded twice in six month?

Seems to me you aren't too concerned by that. Why not?

TORONTO*-**The Province of Ontario’s credit rating has been downgraded over rising deficits and doubts the government can balance the books as promised by 2017/18.

Fitch Ratings has lowered the province’s credit rating to ‘AA-’ from ‘AA,’ citing the rising red ink under Premier Kathleen Wynne.

“Fitch is concerned that the province has planned for a second consecutive increase in the annual deficit this year to $12.5 billion,” the agency says in a statement. “Fitch believes expenditure targets will continue to be challenging to achieve.

“Even if the province achieves its budget balance goal by fiscal 2018, it will be left with a sizable accumulated deficit and large debt burden that will have grown from current levels and is more consistent with a rating level of ‘AA-’.”

Ontario Auditor General Bonnie Lysyk reported earlier this month that the province will be about $325 billion in debt by 2017/18.
 

mentalfloss

Prickly Curmudgeon Smiter
Jun 28, 2010
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10 more years and you will begin to see a consistent shift toward renewables.
 

captain morgan

Hall of Fame Member
Mar 28, 2009
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A Mouse Once Bit My Sister
Now that you know both, maybe you can exercise reality instead of making excuses for propping up a failing segment of the economy.

Sector is cyclical Einstein. There have been approx 10 resets like this since '86 and the sector always comes back stronger.

On a more positive note; I do love guys like you that flee the 'failing sector' and transact your investment capital at a loss... Guys like me with cash in hand buy the assets you leave behind at bargain-basement prices (sometimes as low as $0.10 on the dollar)... Wait inside of a year and my money sees a multiple immediately.

Even more tantalizing is the follow-up pissing and moaning from guys like you that cry that the O&G companies make too much money.

I laugh my a s s off all the way to the bank.

How about the segment that will replace both?

There is none
 

petros

The Central Scrutinizer
Nov 21, 2008
120,169
14,853
113
Low Earth Orbit
Like what? Unicorns on treadmills?

Is that with or without tarrifs on Chinese solar?

600% mark up wasn't good enough so tack on a 165% tariff?

Will that launch consumers into "gotta have" mode?
 

mentalfloss

Prickly Curmudgeon Smiter
Jun 28, 2010
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U.S. Government Plans To Bail Out Oil Industry, Consumers To Pay

Oil industry lobbyists must have been working the government over for months. The price of oil has plunged nearly 60% since June. Smaller oil companies are going bankrupt. Larger ones are bleeding. Energy junk-bondholders are getting massacred. Wall Street investment banks are fretting about losing the fees. Lenders are worried about their energy loans. PE firms that have funded the fracking boom are taking big losses. Venezuela is falling apart and is going to default. Russia is careening in the wrong direction. Kern County, the oil capital of California, declared a "fiscal emergency."

They all need the price of oil to jump, and they need it to jump NOW.

And besides, American consumers, who've benefited from the lower price of gasoline, don't seem to appreciate it, at least not in the true American way, as the last retail-sales reports have shown. They aren't spending the money they've saved on gas. They're supposed to spend all of it, and more than all of it in the true American spirit of living beyond your means. But instead, they're squirreling it away to pay for surgery or college or whatever. Retail spending has been dropping. And that can't be allowed to happen.

So on Friday evening, when consumers were busy with other things and weren't supposed to pay attention, the government proposed to yank that little monthly bonus away from them and hand it to the fracking and off-shore drilling industry, the big oil companies, the little oil companies, their suppliers, to the PE firms that invested so heavily in fracking, to the Saudis, Russia, to the despised government of Venezuela….


U.S. Government Plans To Bail Out Oil Industry, Consumers To Pay
 

mentalfloss

Prickly Curmudgeon Smiter
Jun 28, 2010
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Here’s how much faster wind and solar are growing than fossil fuels

A wind turbine farm owned by PacifiCorp stands near Glenrock, Wyo., Monday, May 6, 2013. (AP Photo/Matt Young)
There’s been a lot of positive news about clean energy lately. For instance, we’ve reported that from 2008 to the present, wind and solar energy capacity in the United States has tripled.

Now, a new report from the U.S. Energy Information Administration makes a similar point. It finds that the electricity generated from wind and solar grew a lot faster than electricity generated by fossil fuels last year. In fact, solar more than doubled, and wind outgrew all other sources.

“I think the story that renewable generation is up from wind and solar and other sources is certainly the story to tell,” said Emily Williams, deputy director of industry data and analysis at the American Wind Energy Association, which heralded the report.

Here’s the bad news, though: Wind and solar are still only contributing a small fraction of the total electricity that we use, and far, far less than coal. They may be growing faster, but they’re very far behind.

The new data come from the EIA’s latest installment of Electric Power Monthly, which provides stats on net electricity generation, across different energy sources, on a monthly and also annual basis. “Net generation” is defined by EIA as the gross electricity generated from a particular power source, minus the “electrical energy consumed at the generating station(s).” It should not be confused with electricity generating “capacity,” which is how much a source can potentially generate, vs. how much it actually produced.

Based on EIA’s data, there was considerably more growth in non-fossil electricity than in fossil based generation in 2014. In particular, wind and solar grew much more than coal or natural gas:

As you can see, wind increased net generation by 13,951 thousand megawatt hours — a bigger increase than for any other electricity source — and solar by 9,285 thousand (summing together both solar photovoltaic and solar thermal). In solar’s case, net generation more than doubled from 2013 to 2014 — in 2013, it was only 9,036 thousand megawatt hours in total. In 2014, by contrast, it was 18,321 thousand megawatt hours.

Expressed as a percentage, solar grew by a stunning 103 percent, and wind by over 8 percent.

It’s not shown above, but nuclear power also showed considerable growth in net generation — 8,051 thousand more megawatt hours in 2014 than in 2013. Some environmentalists may have their reservations about it, but they can’t argue that it’s driving the global warming problem.

So what does the future portend? For wind, the gains in 2014 should continue in 2015, said Williams. “We have a very high number of megawatts under construction, and once those are allowed to generate electricity, we’re hoping to see this number go up significantly,” she said. That’s even though the wind production tax credit was only extended through the end of 2014 and is currently expired.

Solar, meanwhile, could pick up its pace even more, in light of evidence that the price of solar panels keeps falling.

In the grand scheme of things, one year — 2014 — only represents a slight nudging of the gigantic ship of U.S. energy in a renewable direction. Even if it grew less, coal is still the No. 1 source of net generation each year in the United States, followed by natural gas. And the numbers for these two sources still dwarf the totals for all renewable sources combined:

Still, there can be no denying that the U.S. energy system is changing, and that renewables — wind and solar — are booming.

Whether they’re doing so fast enough to decarbonize our world before we pass the threshold that would bring on dangerous climate change, however, is another matter.

UPDATE: On Tuesday, the EIA released a look at the sources of new electricity generating capacity scheduled to come online in 2015. And it suggests that this year will look a lot like 2014 — more additions of wind capacity, more additions of solar capacity, and more natural gas, but a decline of coal. Read here.

Here’s how much faster wind and solar are growing than fossil fuels - The Washington Post
 

taxslave

Hall of Fame Member
Nov 25, 2008
36,362
4,342
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Vancouver Island
re·al·i·ty
rēˈalədē/
noun
1.
the world or the state of things as they actually exist, as opposed to an idealistic or notional idea of them.
"he refuses to face reality"
synonyms: the real world, real life, actuality; More
antonyms: fantasy
a thing that is actually experienced or seen, especially when this is grim or problematic.
plural noun: realities
"the harsh realities of life in a farming community"
synonyms: fact, actuality, truth
"the harsh realities of life"
a thing that exists in fact, having previously only existed in one's mind.
"the paperless office may yet become a reality"
the quality of being lifelike or resembling an original.
"the reality of Marryat's detail"
synonyms: verisimilitude, authenticity, realism, fidelity, faithfulness
"the reality of Steinbeck's detail"
relating to reality TV.
modifier noun: reality
"a reality show"
2.

If the left understood reality they would not be leftys.