MEDIA RELEASE
FOR IMMEDIATE RELEASE
September 19, 2007

Council of Canadians calls on Alberta Government to Implement Royalty Report

The Council of Canadians is encouraged by the Report of the Alberta Royalty Review Panel which reminds the government that Alberta’s oil “resources do not belong to developers, they belong to the people.”  The citizen’s organization is calling on the Alberta Government to implement the report’s recommendation immediately.

The Council of Canadians presented before the panel in May this year to demand changes to the outdated royalty regime.

“Oil companies have shortchanged the Alberta public for too long,” says Jean-Yves Lefort, energy campaigner for the Council of Canadians. “Not only do royalties need to be raised, we expect that the increased revenues will be invested in social programs and environmental protection.”

The report also calls for more effective oversight of revenue reporting on the part of oil corporations – something the Council of Canadians has been pushing for.

“We are pleased to see some of our demands reflected in the final report,” says Lefort. “But we do have reservations about maintaining the base royalty rate at one percent in the tar sands royalty system. This creates a loophole for corporations who could delay paying the full 25 to 30 percent that the report calls for as long as they keep reinvesting their capital.”

The organization also raises concerns about the recommendation to encourage the construction of additional upgraders in Alberta. “This would have disastrous effects on the health of individuals and on the environment in an area that is already over stressed by industrial development,” says Lyn Gorman Prairies regional organizer for the Council of Canadians.

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For more information, contact:
Meera Karunananthan, Media Officer: Tel.: (613) 233-4487, ext. 234; Cell: (613) 795-8685; .

Read more:

• On May 14, 2007, the Council of Canadians’ Lyn Gorman made a presentation to the Alberta Royalty Review Panel, arguing that the current royalty regime is “outdated,” and “does not serve the long-term interests of Albertans.” The impartial panel was appointed by the Alberta government in February 2007 to complete a thorough review of the province’s royalties and taxes on energy. Click here to read the presentation.