Royalty rates will stay the same until the end of 2016
Posted Aug 28, 2015 1:42 pm.
This article is more than 5 years old.
The Alberta Government has finally released more details about it’s upcoming energy royalty review.
In an effort to quell some uncertainty among investors and oil and gas operators, the province also announced current rates won’t be touched until the end of 2016 at the earliest.
The mandate of the royalty review panel is to identify ways to optimize resource returns, industry investment and diversification while enhancing responsible development of the province’s resources.
Energy Minister Marg McCuaig-Boyd said the current commodity low price environment is the big reason why they decided to hold off on tweaking rates for 16 months.
“Low prices are concerning not just in Alberta, but worldwide,” said McCuaig.
“In talking to industry, we did listen and aim to provide stability while we’re doing this imporant work.”
Among those named to the panel, highly respected energy economist Peter Terztakian.
Also on the panel are former Alberta deputy finance minister Annette Trimbee and Leona Hanson, mayor of Beaverlodge, Alberta.
The province hopes the review will generate what it’s calling an open and frank discussion producing a royalty system that better serves all Albertans, including industry.
