05/14/2026
We’re in the midst of the last oil boom. Alberta is already pi***ng it away
Max Fawcett, May 12/ National Observer (Excerpts)
Canada’s oil and gas industry has dropped the veil. Any attempt to regulate or restrict their carbon emissions, no matter how small they might be or how much money they happen to be making, are apparently intolerable. Just ask Murray Edwards, the chairman of Canadian Natural Resources and one of the longest-standing and most influential leaders in the oilpatch. “We’re saying, if we invest in Pathways, we think that should be sufficient investment in decarbonization of the sector. And then putting an additional carbon tax on it will make the sector uncompetitive and burdened with costs that are going to reduce the ability to make further investment.” In other words, they’d like to have their cake and eat it too.
It’s worth remembering that Canadian taxpayers would be footing most of the bill for that project in the form of tax credits worth an estimated $19 billion. That is, of course, on top of the more than $30 billion Canadians have already spent on the Trans Mountain pipeline expansion. You can be sure that industry will also be demanding some amount of federal taxpayer participation in any new pipeline to the West Coast..
Rather than being on the verge of a “massive energy and economic boom not seen since the early 2000s,” as Alberta Premier Danielle Smith’s chief of staff wrote on social media, the industry is in the midst of the last oil boom any of us will ever see. The Trump administration’s decision to disrupt global oil markets with its trademark combination of hubris and incompetence is raising prices in the near term, and they may yet reach levels we have never seen before (the prices, that is). But while that might be good news for the near-term income statements of oil and gas companies, it’s also an existential threat to their long-term prospects — one that makes their endless complaining about a 50-cent-per-barrel carbon price look downright comical.
A competent provincial government would be spending its time trying to save as much resource revenue as possible for this leaner future, along with ensuring that oil and gas companies can’t leave an environmental mess behind for not-so-distant future Albertans to clean up. That would mean strengthening the regulatory system around unreclaimed oil and gas wells and forcing oilsands companies to make much, much larger down payments against the cost of cleaning up their ever-expanding tailings ponds. Instead, the Alberta government is apparently more focused on preventing environmental waste from (long sigh) solar panels