As Premier Stelmach get out the shop tools and builds his first Cabinet with his own team and mandate there is one key department that needs to be elevated and have a much stronger Minister to head it. That department is International, Intergovernmental and Aboriginal Affairs.
In the constitutional wars of the 70’s this department was the intellectual powerhouse of the Lougheed government…and it had to be, given the constitutional and other challenges Alberta was facing then with Ottawa. It was an impressive group of minds and focused motivations in those days and the depth of ability is still there notwithstanding the budget cuts of the mid 90s.
The challenges Alberta is facing now on the intergovernmental front are even more complex and critical. That is why this Ministry needs the political leadership from the best and brightest talent available to Stelmach. It has the right stuff in the staffing and administrative leadership. It needs the political leadership to be beefed up significantly. It is not an entry level Cabinet position or a holding tank for under performing Ministers. Nor can it be merely a transition appointment pending retirement anymore.
Alberta has lots of complex issues do deal with on many fronts and with many different influences and influencers. The Alberta-Ottawa dynamics will be heating up significantly over the environment, climate change, transfer payment fairness, immigration and US trade relations, to name a few. There will be uncertainty caused over what appears to be an inevitable NAFTA review by President Obama or Clinton. Alberta will be one of the victims of the enormous desire for much tighter border control and homeland security measures that will undoubtedly be pursued under President McCain, if that is the Presidential election result this November. There is a raft of legislative initiatives in the US Congress that all impact the future of our so-called “dirty oil” from the oil sands development that need to be handled properly.
Then there will be the growing American demand on our oil sands sector to provide secure, reliable and relatively less expensive continental energy supply that will put even more growth pressures on Alberta socially and environmentally. Local upgrading versus shipping raw bitumen into new pipelines that have just been approved into the US refiners will be a friction point. The impact of more foreign direct investment in the oil sands, particularly from China will be a hot international and intergovernmental issues too.
The reconciliation of these different interests the between the integrated energy sector players, American political and economic interests and Ottawa policy approaches will impact Alberta’s control over its own future. These are powerful geopolitical forces and they put Alberta right in the cross hairs and a target in so many ways and at so many levels.
And then there will be the domestic intergovernmental pressures resulting from the growing central Canada angst over the power and influence shift to Alberta and BC from Ontario and Quebec. Alberta has half the population of Quebec and a much larger rate of growth and investment, that along with BC is rivaling Ontario. That power shift to the Canadian west will have to be handled adeptly as well.
The TILMA agreement with BC will be a dynamic intergovernmental situation for Alberta as BC’s Premier Campbell takes over the national leadership stage on the environment on carbon tax and other green alternative initiatives. That effort by BC will put pressure Alberta to match them under TILMA provisions sooner than later. There will intergovernmental issues with BC and Ottawa on how to deal with the Mountain Pine Beetle as it threatens to devour the boreal forest.
I have not even touched on the aboriginal aspect of the department which has its own challenges and urgency's. I could go on but I am sure you get my drift. Premier Stelmach held this portfolio and enjoyed it. Ron Hicks, the Deputy Minister of Executive Council served as Deputy Minister in this department too. They know it and no doubt see its emerging importance in the future of Alberta. I look forward to the Cabinet appointments this week – and the IIA Ministerial appointment with particular interest.
Kindof a specific question...
ReplyDeleteAs I mentioned before, I've got a strong interest in China and the China-Canada relationship.
Just curious to know if you've got anything on China and the oil sands. We know that Petro China has pulled out of the oil sands to invest in heavy oil in Venezuela.
In the meantime, BP - a long time partner of Sinopec in China is rumoured looking to buy in the oil sands. Some say Suncor might be a target, but I wouldn't be surprised if Sinopec's flagging Synenco partnership would be a more natural relationship for BP.
CNOOC isn't particularly active at the moment - seems they only have 16.x% share in MEG.
My impression is that Canada is too regulated and oil sands too complex for these relatively companies -- but maybe I'm missing something?
As for a general comment -- I agree that this position will need someone with skill and someone with the trust of his/her government. I personally believe that for the benefit not just of Alberta nor Canada...but for the benefit of humanity, these environmental issues need to be resolved through cooperation and coordination rather than through narrow-minded protectionism.
ReplyDeleteHonestly, I was born in Alberta and practically have oil running through my veins, but I'm Canadian before I'm Albertan. I'd sure be interested in knowing how other young residents of Alberta feel on this issue compared to those of an older generation.
Went for a drive today between Calgary and Okotoks. Coming back, I noticed on one side of the road an old semi-trailer with a big sign that says "Less Ottawa, More Alberta!"; on the other side of the road, a farm house flying a lone American flag. Maybe it was just a coincidence, but it sure made me feel sad for my country.
I know we have provinces for a reason, and it is important to maintain distance to a degree with other members of Confederation. But in trying times, I hope intergovernmental relations will be viewed with an open mind, and that those who "have" will be cooperative with those who "have not" (and vice versa!) for the benefit of our country for whom so many of us are so proud - and in the case of environment, for the benefit of us all who rely completely, 100% on natural ecosystems to survive at all.
I think China is very interested in oil sands investment and that is a challenge becasue the Americans will not be amused.
ReplyDeleteThe right project has to be found and the right deal done. Question is do they want to invest for passive purposes, their own supply purposes or to influence American supply purposes.
The Chinese players I know of are very sophisticted international players. The regulated Canadian industry situation will not be a deterrant for them any more than it was for France, Norway, Korea etc.
Polls show that most Albertans see themselves as Canadian first and the recent Strategic Counsel poll done for the Globe and Mail noted we are prepared to share oil sands wealth with the rest of Canada too as I recall.
ReplyDeleteI will look into that and verify and maybe to a blog post on the openness of Albertans on sharing the benefits and burdens this resource.
There are a handful of cabinet prospects who might be able to handle this portfolio from the traditional combative, defensive Alberta stance. The question is, is there anyone in this government who is willing to work co-operatively with other Canadians and other nations, particularly on the critical issues of the environment?
ReplyDeleteKen - who would you recommend for this portfolio?
ReplyDeleteI agree. We need a strong Minister in this position in the very remote case that Mr. Dion wins an election. He has already stated that he will "regulate" the oil industry and impose a carbon tax - in other words, he supports an NEP II because Alberta does not and never will vote liberal.
ReplyDeleteAnon @ 9:41 - did you read what CPC's Minister of the Environment John Baird released today? It is a regulated oil industry and carbon capture...and penalties??? A carbon tax just like Alberta has already.
ReplyDeleteI have only had the news reports on it so far but will be studying it in the morning...you too I expect.
Alex @ 8:08 - I have thoughts but when you go public with them - it is gamesmanship and the kiss of death for a candidate usually.
ReplyDeleteI would not be disappointed if the Aboriginal area was transferred out and the Premier took over this portfolio himself.
This Minister really works directly for the Premier and his office on issues that relate directly to the Premier's needs and concerns in governing Alberta's place in Confederation and internationally.
Ken,
ReplyDeleteWhile I agree that a strong person is need in IIAR, i think a strong person is needed in every department.
In the areas you touched on though, I believe it is even more crucial to have strong Ministers in the departments of Energy and Environment, and if the rumours are true, having a strong Minister in Economic Development is even more important because Ec Dev can do alot more than IIAR in terms of promotion and business recruitment, especially with our 9 international offices.
I'd be willing to bet anything the Premier knows this already though.
Morning Jeff - I am sure the Premier already knows this too - it is important that citizens also know it anmd express it. Do you agree?
ReplyDeleteVery much so.
ReplyDeleteI guess my point is that traditionally the Intergovernmental Affairs Minister is the behind the scenes player, doing the prep work, the bridge-building and the analysis, I see the Energy Minister, the Environment Minister and the Ec Development Minister in the public role, speaking to Albertans and Canadians, and probably even to Americans about what Alberta is doing in terms of stewardship of its resources.
And I think the issue is important enough that 3 Minister, perhaps even 4 will be focused on it.
I would like to see the Premiers mandate letter to the Environment/Energy/IIAR Minister basically say that one of them should be in Ottawa once a month, and Washington once every 3months. It's time for Alberta to get out there and show that we are leaders on these issues, and not reactionaries.
Well said Jeff - you should get a job in the department. They could use that kind of thinking.
ReplyDelete