With the new Jason Kenney United Conservative Party (UCP) government now in place in Alberta, the long-expected fight between Alberta and B.C. over the movement, or non-movement, of oil exports has started in a big way.
Whether the fight will result in more Alberta resources reaching international markets through B.C. ports or create a situation where B.C. and this province become bitter enemies remains to be seen.
What is known is that when Jason Kenney and his fellow UCP candidates promised during the election campaign to fight hard for Alberta’s energy industry he was setting the stage for a major battle with other jurisdictions, including the federal Justin Trudeau Liberals and the John Horgan NDP.
Premier Kenney fired the first shot in the battle only hours after being sworn in when his cabinet proclaimed Preserving Canada's Economic Prosperity Act (PCEPA), allowing the province to halt oil exports to B.C.
“By proclaiming this law, we are showing that we are serious about protecting Canada’s vital economic interests,” said Kenney. “This does not mean energy shipments will immediately be reduced but that our government will now have the ability to actually use the law should circumstances require.
“We did not proclaim this law to reduce energy shipments to B.C. but to have the power to protect Alberta’s ability to get full value for our resources should circumstances require.”
Cutting off energy exports to B.C would very likely cause a major energy shortage in B.C., driving up already record high gasoline prices, and causing widespread negative impacts to that province’s economy.
B.C. has been quick to say it will be launching a constitutional challenge of PCEPA, calling it unlawful.
“There is a provision in the constitution that says you can’t restrict the flow of refined products between provinces. And that is what Alberta is attempting to do,” said B.C. Attorney General David Eby.
And of course the Trudeau government may yet make its own response to PCEPA.
Jason Kenney promised to fight hard for Alberta’s oil and gas industry. And now the gloves are coming off.
- Singleton is the Mountain View Gazette editor
