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ENERGY: Defying ExxonMobil, NDP calls for increased oilsands royalties
            (AlbertaIndex, September 12, Wednesday) --- Within days of ExxonMobil boss Rex Tillerson warning Alberta not to push for higher oilsands royalties, NDP Leader Brian Mason has done precisely that. The NDP’s position follows growing public outrage in Alberta over Mr Tillerson’s warning last Friday that the province risks losing billions of dollars in investment if it tinkered with the royalty formula.

Mr Tillerson issued his warning --- some Albertans called it a ‘threat’ --- at a public forum in Calgary.

Mr Mason told the Calgary Herald that Alberta should use the proposed increased royalties to create a $20-billion green energy fund to help develop solar, wind and geothermal power in the province.

Pressure is growing on Premier Ed Stelmach to defy ExxonMobil as Newfoundland and Labrador won concessions from Big Oil last month with Premier Danny Williams promising there will be more gains to follow.

Last month, Alberta’s NDP accused the ruling Conservative government of having signed “bad” deals yielding low royalties and exports of low-grade bitumen that would lead to “fiscal instability.”

Mr Mason said a recently released report commissioned by the government shows that Alberta’s royalty take from the tar sands is too low and refining bitumen here is vital for our economic prosperity.

“Alberta’s NDP has been pushing for higher royalty rates from Alberta’s tar sands and an end to unprocessed bitumen exports. Our positions have been confirmed by this report.”

The report, Preliminary Fiscal Evaluation of Alberta Oil Sands Terms, written by energy economist Pedro van Meurs and provided to the government on April 12, 2007, gives an economic evaluation of the current fiscal terms applicable to Alberta’s tar sands.

Mr Mason said: “Not only does this report show that we’re not getting our fair share of royalties from the tar sands, it also documents how the Conservative government’s incompetence in handling the tar sands has put the future economic health of this province in jeopardy.”

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