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Alberta Politics

Jim Prentice appoints another Pipeline Obsessed Cabinet

Jim Prentice Pipeline Cabinet Oil Sands
Members of the PC cabinet, elected and non-elected, stand preparing to be sworn-in to their new jobs at Government House today.

As he prepared to be sworn-in as the 16th Premier of Alberta at Government House today, Jim Prentice aimed to project the image of a leader who is in command and in control of the situation. And today’s tightly controlled cabinet shuffle achieved that goal. Unlike previous cabinet shuffles, the news around today’s appointments was tightly sealed, with no leaks to the media to spoil Mr. Prentice’s opening day as Premier.

Jim Prentice Alberta PC Party Premier Leader
Jim Prentice

But did Mr. Prentice really give Albertans the change he promised with this cabinet shuffle? There are a few new faces in top positions and two unelected cabinet ministers from outside the Legislative Assembly, but at least fifteen of the twenty cabinet ministers previously served in the cabinets of Premier Alison Redford or Dave Hancock.

Without appointing a larger group of unelected cabinet ministers, he had little choice but to draw on the current pool of PC MLAs. If Albertans really want to see change in their government, they will have to do what people in every other province do from time to time: elect a new party to form government.

Viewed as having the endorsement of Corporate Calgary’s Oil Executives, Mr. Prentice’s choices for cabinet sends a message that the construction and expansion of oil sands pipelines will remain a priority for the Progressive Conservatives.

Frank Oberle MLA Peace River
Frank Oberle

As well as being Premier, Mr. Prentice takes on the role of Aboriginal Affairs and Intergovernmental Affairs, both important roles when dealing with the construction of Enbridge’s proposed Northern Gateway Pipeline through northern British Columbia and the TransCanada Energy East Pipeline to New Brunswick.

The Northern Gateway Pipeline, which would pump raw bitumen from Alberta’s oil sands to the port city of Kitimat, is facing stiff opposition in Alberta’s neighbouring province, especially from First Nations and environmental groups. Before entering the PC Party leadership race, Mr. Prentice worked for Enbridge as an envoy to B.C.’s First Nations communities.

Teresa Woo-Paw, the two-term MLA from north Calgary, is now the Associate Minister for Asia-Pacific Relations, an important position as the proposed pipeline would send Alberta’s raw bitumen to be refined and processed in Asia (likely in the People’s Republic of China).

Teresa Woo Paw MLA
Teresa Woo-Paw

How Mr. Prentice and Ms. Woo-Paw approach Alberta’s trade relations with Asian countries will also seal the fate of former cabinet minister Gary Mar, who was appointed as Alberta’s representative in Hong Kong after he was defeated in the 2011 Progressive Conservative leadership contest.

Expenses related to Mr. Mar’s patronage appointment have been harshly criticized by the opposition parties.

During Ms. Redford’s time as Premier, the Government of Alberta expanded trade operations in Asia, operating offices in China, Taiwan, Japan and South Korea. A new trade office was opened last year in Singapore and another will soon open in Mumbai, India.

Third-term Peace River MLA Frank Oberle is now Alberta’s Energy minister. It is unclear how Mr. Oberle will approach the role differently than his predecessors, but his connections to northern British Columbia may play a role in the government’s focus on Enbridge’s Northern Gateway Pipeline. Mr. Oberle’s father, Frank Oberle Sr. was the Member of Parliament for Prince George-Peace River from 1972 to 1993, serving as Minister of Forestry under Prime Minister Brian Mulroney.

Kyle Fawcett MLA Calgary-Klein
Kyle Fawcett

His past relations with northern Albertans opposed to nuclear development may be an indication to how the new energy minister plans to approach opposition to pipeline expansion.

Serving as the defacto junior energy minister, Calgary MLA Kyle Fawcett was appointed as Environment & Sustainable Resource Development. Prone to embarrassing outbursts, Mr. “Leaky” Fawcett’s appointment suggests that Mr. Prentice might not be serious about tackling climate change and environmental issues linked to natural resource development.

The Auditor General reported in July that the Alberta Government has not been monitored its climate change targets and that its expensive carbon capture program is nowhere near meeting its targets for emission reductions. I sincerely hope that Mr. Fawcett sees his role as environment minister as more than a public relations activity for the government’s oil sands and pipeline expansion agenda.

On the environment and energy file, actions will speak louder than cabinet appointments.

Unelected Cabinet Ministers

Stephen Mandel Edmonton
Stephen Mandel

Mr. Prentice handed the helm of two very important ministries to individuals who have never been elected to the Alberta Legislature. Former Edmonton Mayor Stephen Mandel, 69, and former Saskatchewan cabinet minister Gordon Dirks, 67, were appointed to cabinet as Minister of Health and Minister of Education.

Mr. Mandel remains popular among many Edmontonians, and is expected to run in a by-election in Edmonton-Whitemud, the southwest Edmonton constituency made vacant following Mr. Hancock’s resignation last week. His tendency to show thin-skin when he does not get his way may prove challenging when having to compromise with his new cabinet and caucus colleagues, or his political opponents.

Mr. Dirks’ affiliations with a socially conservative evangelical church have raised the ire of his critics, who worry these views may impact his support of secular public education in Alberta. The appointment of the former Calgary Board of Education trustee and 1980s Saskatchewan politician was unexpected, to say the least.

It is suspected that Mr. Dirks will run for the PC Party nomination in the impending Calgary-Elbow by-election, triggered by Ms. Redford’s departure from political life. The nomination is also being contested by long-time PC Party activist Pat Walsh.

Who’s not welcome in Prentice’s cabinet?

Thomas Lukaszuk Alberta Edmonton MLA PC Leadership
Thomas Lukaszuk

Thomas Lukaszuk, Fred Horne, Doug Griffiths, Ken Hughes, Sandra Jansen are all names that many Albertans have become familiar with over the past few years. These former senior cabinet ministers will now occupy seats in the backbenches (and have their offices relocated from prime real estate in the Legislature Building to the aging and stuffy Legislature Annex).

Also demoted were former Finance minister Doug Horner, who will take on the role of “trade advisor” for the Premier and former International Affairs minister Cal Dallas, who will now serve as a “Legislative Secretary” for intergovernmental relations.

The resignation of Mr. Hancock last week took many political watchers by surprise. I am told by sources in the PC Party that Premier Hancock was informed by his party’s new leader that he would not be appointed to cabinet if he chose to remain as an MLA.

Categories
Alberta Politics

Alberta’s billion dollar failed Carbon Capture “science experiment”

Carbon Capture and Storage Alberta Oil Sands
Alberta’s Progressive Conservative Government has committed to spend billions of dollars on unproven Carbon Capture and Storage technology.

A report from Auditor General Merwan Saher released this week found no evidence that the Department of Environment and Sustainable Resource Development has properly monitored the performance of the PC Government’s climate change strategy which was first implemented in 2008. The report also uncovered serious problems with the province’s expensive Carbon Capture and Storage strategy.

Since it was first announced in 2008, the PC government has committed to hand over more than a billion public dollars to the world’s largest energy companies, including Shell, to develop ways to bottle carbon dioxide deep in the ground.

Progressive Conservative leader-presumptive Jim Prentice dismissed the provincial government’s expensive Carbon Capture and Storage strategy, saying he would move away from the unproven technology. This echoes what the former federal minister told the Globe & Mail editorial board in 2009: “CCS is not the silver bullet in the oil sands.”

Mr. Prentice characterized the project a “science experiment,” which is a generous description (I refer to it as unicorn science).

“It was apparent to the department that the expected reductions from carbon capture and storage will not be achieved. Carbon capture and storage in the 2008 strategy represents the majority of forecasted emission reductions. However, with only two carbon capture and storage projects planned, the total emissions reductions are expected to be less than 10% of what was originally anticipated.” – Auditor General’s report on Alberta’s Climate Change strategy, July 2014 (Page 39)

Not surprisingly, the Auditor General also reports that Alberta is unlikely to meet its 2020 targets to reduce carbon emissions.

I am not sure what is worse: being a climate change denier or believing in climate change but not seriously doing anything to stop it?

Under Premiers Ed Stelmach, Alison Redford and now Dave Hancock, the PC government used funding unproven Carbon Capture and Storage technology to convince the international community and investors that Alberta can ‘green’ the oil sands. While the oil sands represents the fastest-growing source of carbon emissions in Canada, some of Alberta’s largest emissions result from of our large coal burning industry.

But it was not as if no one saw this coming. In 2008, a leaked government memo from a University of Calgary researcher suggested that Carbon Capture and Storage would do little to reduce carbon emissions emanating from Alberta’s oil sands. The report by researcher Dr. David Keith wrote that not enough of the oil sands carbon dioxide could be captured because most emissions are not concentrated enough.

A report by the Munk School of Global Affairs released in 2009 described the Carbon Capture and Storage plan as “sheer folly.” At the same time, Calgary-Buffalo Liberal MLA Kent Hehr characterized Carbon Capture and Storage as an expensive “experiment” and the Wildrose opposition has said many times that it would cancel the project outright (although any government would likely be contractually obligated to complete some of the project funding already committed – or spend funds on legal bills resulting from broken contracts).

PC leadership candidate Thomas Lukaszuk, who served as a senior cabinet minister from 2010 to 2014, told the media that he continues to support the project.

As a public relations exercise, Carbon Capture and Storage has come with a high price. Allocated more intelligently, the hundreds of millions of public dollars spent on Carbon Capture and Storage could have helped Alberta become a world leader in smart innovation and research and development of renewable energy or sustainable transportation.

These billions of dollars are emblematic of the problem with the current government – while aged hospitals flood, public schools overcrowd and the legal-aid system buckles, the PCs spend mountains of Albertans resource revenues on a flimsy “science experiment.”