Premier designate Smith plans to shuffle billions of dollars in taxpayer–funded royalty breaks to subsidize energy companies to fulfil their legal duty and clean up old wells.

Critics warn proposed Alberta well cleanup plan a royalty giveaway

Source : Canadian Press Oct 31/22

EDMONTON — Critics fear Alberta’s new United Conservative premier is preparing to bring in a program that would use billions of dollars in taxpayer-funded royalty breaks to subsidize energy companies to fulfil their legal duty and clean up old wells.

The so-called RStar proposal, developed by an industry group, has been criticized by legal experts, energy economists and the province’s own internal analysts.

But for more than a year, Danielle Smith and newly appointed members of her cabinet have been outspoken advocates of the RStar plan, which would enable companies to use reclamation spending to gain credits against royalty payments.

A 2018 joint investigation by 3 major news organizations and four university Journalism Schools revealed that the estimated liability for the clean up cost for Alberta “oilsands mining operations facilities” was about $130 billion.

Changing governments through weak or non existent regulations continue to back the business model of  privatization of profit and the socialization of pollution costs.