Policy
Canada is an energy surplus county which is aligned with OPEC countries for its Crude oil export. Canada has good quantity of gas and petroleum reserve in western Canada. Alberta alone produces about 80% of the total crude oil production (International energy agency). Although Alberta's oil and gas don't have any significant role world market but it has very important role in trade with other provinces and continental America. Alberta supplies around 10% of the American oil imports. Alberta's economy is thus heavily dependent upon non renewable gas and oil. Energy policy of Canada thus plays a vital role in Alberta's Oil industry. The energy policy of Canada was never steady which helps other oil importing provinces and by joining Kyoto Protocol production of oil in Alberta faces certain uncertainty.
Most of the Alberta's oil discovery took place in 1950s and 1960s. At that time control over natural resource was under provincial government and this gave provincial government of Alberta to control oil fields.
Alberta Excursions and Curiosities
A petroleum drilling rig capable of drilling thous...
ALBERTA JUN30-84 LATE ISSUE STICKER ---MOTORCYCLE ...The government at that time took "had off" policy. The goal of the policy was to encourage multinational big companies will produce oil of their own and provincial government be benefited with royalties and this money will be used to develop the province. But the first oil shock changed federal government to change its policy. In 1973 for Arab-Israel war OPEC increased the price 70% and refused to sell oil to west. Alberta wanted to exploit the situation and gain as much profit as it can make. But the price increase of Alberta's oil hampered the oil importing provinces, and this made federal government freeze oil price. Although world market price was high importing provinces got Alberta's oil in cheap with federal involvement.
Again, when Trudeau's government was in serious trade deficit federal government wanted...