Reboot Alberta

Friday, November 02, 2007

What Does Responsible and Sustainable Oil Sands Development Mean to You?

So it has been an interesting and intense few weeks since the “Our Fair Share” Royalty Review came out. The ferociousness of the energy industry response and the anger and tactics of many of them was as lively as good theatre. However, the Alberta audience did not suspend their disbelief and we were not transformed by the industry messages or their performances.


The Expert Panel engaged in clarifying, explaining and defending their process, findings and recommendations - and at times even defending themselves. Some were enlightened by the Panel's engagement, others were offended.

Then the Stelmach government came up with its decision and we have seen some interesting post announcement poll results. there have been some supportive endorsements, some serious reservations and others who say Stelmach did not get the job done that should have been done.

This week is considerably quieter. I expect people in the energy industry are trying to digest the economic and political implications of the Stelmach royalty decision and the consequences of their lobbying campaign. Those not directly involved seem to have “moved on” into other issues or back into their so-called “normal” Alberta lives. Others have a lingering sense that there is a new normal emerging in Alberta around citizens relations with government and our governments role with the energy industry coming out of all of this.

After a bit of a breather from the blather, Albertans will once again have to re-engage and this time it should be about the future of the oil sands. We at Cambridge Strategies Inc. and The Policy Channel are already into that re-engagement process. We want to encourage other Albertans back into “active duty” through a survey we are doing on the future of the oil sands.

We are doing this web-based Discrete Choice Modelling survey ourselves and not for any client. It is looking into the values Albertans attribute to the responsible and sustainable development of the oil sands. What we are looking into is what does responsible and sustainable oil sands development mean to Albertans? What is really important about that concept and just how important is the future development of the oil sands to us?

We invite all Albertans to participate. We are actively reaching out to Albertans in all walks of life to have some input. The more the merrier and so far some 2000 Albertans have done the survey. We will use the results to hopefully influence government and industry on future policy directions for our oil sands in ways that align with our values and aspirations.

In the survey you will be given optional scenarios to choose from. Be advised they are not likely to be practical choices but also understand that is not the purpose of the survey. What we want to know is what aspects of the choices offered are the most important and the least important to you. Your choices of the various scenarios sets in the survey will tell us that. Be forewarned, it is not easy. It will take about 8 minutes to do and you will be asked to make some very difficult choices. You will have to make trade-off decisions attributes around oil sands development. Just like real life.

It is an anonymous survey but you can leave an email address at the end of the survey if you want us to send you a report on the results – expected that in mind January.




Thanks for participating.

Mr. Harper - Call An Inquiry Into the Mulroney-Schreiber Affair.

The response of the Conservative House Leader Peter Van Loan underscores what is essentially wrong with the Harper Conservative’s fitness for governing. Harper gets good marks for message management but not for managing the right message.

Claiming that a pursuit of facts not previously disclosed surrounding a lawsuit settlement as a vendetta against Mulroney is bad governance. For the Harper Cons this stance and characterization of the initiative as a vendetta is proof of bad judgement in government – and it is very bad politics too.

Mulroney got a $2.1 million dollars of taxpayer’s money but it now appears not all the known facts were disclosed when the settlement was negotiated. The bungling of the RCMP and the political overtones instigated by Prime Minister Chrétien on the events were clouding and confusing the issues. Now we are seeing some further allegations that never came to light in 1997 that should have before the matter was "settled."

Transparent accountable and open government demands full and frank disclosure – especially under the circumstances and emerging story as to the nature of the Mulroney-Schreiber dealings, the timing of them and some previously undisclosed information and allegations.

Mr. Harper touts his Accountability Act and a new standard of ethics and governance, even though a big swack of the provisions are not in force. Is that because he fails, refuses or neglects to proclaim them because he is not really serious about accountability issues or the provisions of the law he passed?

This issue is going to be a major character test for Mr. Harper and his minority government. Is he going to follow the old-school approach of obfuscation, bluff and blustering your way through the issue like Jean Chrétien would have? Or will he take the high road like Paul Martin did in Adscam and call an inquiry because it is the right thing to do regardless of the political consequences.

Canadians want good government that is trustworthy and competent and focused on serving the best interests of citizens. Leadership on this issue is much more important than the usual Harper tactics of media manipulation and message management. Leadership is especially critical given the serious circumstances and allegations that are just now coming to light.

Mr. Harper, this issue is a real confidence vote in you and your government because you will have to face judgment of the citizens of Canada and the consequences of that judgment. We will be asking ourselves if we ought to continue to have any confidence in you and your party to be open, honest, transparent and sustaining any semblance of integrity. Passing a law about accountability is one thing, acting accountably is another.

In reality, it is all mostly about you Prime Minister Harper. You going to be judged by voters by the way you handle this. Will it be ethical an governance issue for you - or purely a political one? We will be watching how you handle this and then asking ourselves if you are still fit for service in the highest office in the land and if you continue to be worthy of our consent to be governed.
Don’t let us down sir. Call the inquiry.

Thursday, November 01, 2007

Stelmach Accepts New Governance Recommendations for Agencies, Boards and Commissions

There is another significant step towards better governance in Alberta with the release today of the Premier’s Task Force on Agencies Boards and Commissions. These groups, largely appointed, spend about half of the annual operational budget of the province so they are not insignificant.

There is a full report on line- suffice to say the Premier has accepted 14 of the 15 recommendations and the other one was modified. That recommendation modification was that no elected or senior government officials should be appointed to governing bodies of agencies. The modification was to acknowledge that sometimes. Given the mandate of an agency it is helpful to have elected or senior government officials input.

I see the quibble but such political or administrative input can be obtained very easily without elected or senior government officials being officially appointed to the agency, board or commission. These various groups are formed mostly to get independent and sometimes expert advice (like the Hunter Expert Panel on the Royalty Review) and to take politics and bureaucratic culture out of the deliberations and decision or recommendation making. Having bureaucrats and MLAs appointed and directly in the decision making process tends to undermine that larger and important goal.

The other recommendation that will be the media focus on is going to be on “a competency-based appointment process.” That will be interpreted as code to not just appointing the party faithful. Competency is paramount but it does not eliminate partisanship in appointments. Nor should it. Everything being equal, any government is going to appoint like-minded people to agencies board and commissions because they want alignment with government policy directions and goals. Competency is the first test; pedigree will still be the second test – regardless of which party is forming government.

“Diversity of Appointments” recommendation to reflect the diverse nature of the Alberta population is a great step forward.

Good governance and transparency are in desperate need of policy and political attention in ALberta. This positive response by Stelmach to the recommendations of the Agencies, Boards and Commissions Governance Task Force is one more way Stelmach is getting it done.

Wednesday, October 31, 2007

New Poll Asks If Stelmach Has Met Public Expectations on Royalties.

I love polls. The latest offering from Leger for CanWest was done from Oct 26-29, immediately after Stelmach’s Royalty Review Response was made public is interesting. The earlier Leger poll found 88 percent of Albertans did not think we were getting our fair share of royalty revenues and two-thirds of us wanted the Hunter Review Panels recommendations fully adopted. That didn't happen and apparently slightly less than half of us are on side with the government's response to the Our Fair Share recommendations.

Since the Hunter Panel report was made public, time passed, positions were taken, threats were made, we had explanations and clarifications. And there was a barage of accusations and predictions about dire consequences if the "Our Fair Share" recommendations were accepted. Through it all the Stelmach government did it own number crunching and made up its own mind.

The Leger results show more about how Albertans were “feeling” last weekend about the Stelmach royalty response. After all it is a complex set of issues and an opinion poll taken immediately after the Stelmach response and done over a weekend is most likely to engender an emotional and reactive response instead of a reflective and considered opinion.

So here is what Leger found about how Alberta "feels." First off we don’t yet have a breakdown between Edmonton, Calgary and rural replies and that is needed to get some better context on the answers. That breakdown will provide more “heft” to the results in terms of the political usefulness of the poll results too.

Secondly I am struck that about 1 in 5 Albertans didn’t yet know how they felt about the questions being asked. That could be because they need time to consider and understand the Stelmach response. It would be interesting to do the same poll this week and that would get a better sense of were Albertans are really at now that they have had time to digest the response and talk to people and read some of the commentary about it.

Thirdly, it is pretty obvious based on my Blog hits, that only 150 people showed up at the CBC Forum on the issue last night and recent conversations with my group of contacts tells me that Albertans have moved on. It seems that royalties are being regarded as a done deal - or - maybe they are merely catching their breath before further engagement. Time will tell.

The Lougheed Test of good policy decision of if all vested interests in the decision are still upset, you probably “got it right.” Seems to be the case here based on these poll results. The key question of did Stelmach get it right we have 47% agreeing, 33% disagreeing and 20% who don’t know. that seems to prove the Lougheed Test of "getting it right."

The most conclusive opinion in the poll was that 61% said the “…industry over-inflated the negative consequences of higher royalties….” 21% sided with industry’s positioning and 18% didn’t know. This is a serious issue for the energy sector now. Albertans don’t believe the industry and the industry can’t rely on the old contacts within government to protect or insulate them from the public (any more). This is especially true after the Auditor General’s Report and his scathing assessment of some aspects of the Department of Energy.

Our own polling has preliminary results showing a full 44% o fus do not trust any of the political party leaders to manage growth in Alberta. So as we go deeper into the election "red zone," our politicians are going to be much more mindful of meeting the public’s expectations as to their trustee role around resource development. Deals on royalties done behind closed doors will see politicians punished in the polls and at the ballot box – no matter who is in office.

Of course if Albertans go back to being passive and impotent- nothing will change. It is up to the citizens of Alberta to continue to become better informed and more engaged.

We need to start acting like an owner and behaving like a voter. An election is coming.

Tuesday, October 30, 2007

Lougheed Endorses Stelmach's Royalty Review Response.

The personal endorsement by Peter Lougheed of the Stelmach Royalty Review Response is a big step forward for our new Premier. Lougheed stepping up in support of the recent royalty announcement is significant. Lougheed is an influential voice all over the province and he comes from the small group of Alberta political leaders who have made such difficult decisions in the past. He knows how tough it is and his approval of Stelmach’s decision speaks volumes.

Lougheed has been openly advocating for a slow down of energy project approvals because of the damage they are inflicting due to the overheated pace of growth in Alberta. His big concerns have been damage socially and environmentally but also on fiscal pressures on the province and municipalities to meet the public infrastructure demands in this current pace of growth.

Lougheed’s advice and response is in sharp contrast to the warnings of former Premier Klein last month. Klein was commenting that the energy sector was not happy and therefore royalties were best left well enough alone. Stelmach wisely left that bit of advice alone.

So Lougheed has clarified one thing. Stelmach’s government is definitely not an extension of the Klein regime. There are some who think Stelmach's kindness, politeness and graciousness are shortcomings for the bloodsport of political leadership. They see him as still having the potential to be a Harry Strom, especially if he were to trip up in the pending election.

So what does this tell us about the governing philosophy of a Stelmach governed Alberta? To me it is more evidence of a Stelmach government embracing a progressive social political philosophy. He is about to engage in a more conservationist approach too as we shall see the roll out of some new environmental initiatives and the start up of an integrated land use management strategy.

The fact that a commitment to deal with homelessness as the follow up policy initiative right after the royalty decision is further proof of this shift away from the former neo-con fiscal and social policy agenda. Today in Alberta we have a spending problem due to a premium cost for public infrastructure in this over heated economy. We also now have a revenue problem too – as pointed out by the Auditor General.


Alberta's Auditor General Fred Dunn said some past Ministers of Energy were not collecting all of the energy royalties that were due - even in the old model. In fact those same Ministers of Energy seemed to be even uninterested in doing their duty of ensuring the appropriate royalty revenues due to Albertans were actually being realized.

I think that is about to change - big time - and we will see Premier Ed Stelmach as his own man and with his own style of leadership. Yes, he is not be the slick and polished veneer pre-packaged politician. He is not the product of the professional media trainers the mainstream media is so used to. Yes - he is no orator either...and while he can't "lift the words off the page," he has shown that he can bring clarity to complex issues like royalty regimes.

But no one can doubt Ed Stelmach’s capacity for caring, nor his compassion nor his sincere commitment to Alberta and her people. He is also different because his focus is not just the Alberta of today…or basking in the glory of an Alberta of yesterday. He has a much broader and longer vision of the province and how it should be governed.

Now the lingering question is – is Stelmach capable of doing the job of Premier to the satisfaction of Albertans? He has been on the job for 11 months already and that question is still being asked. Well my guess is we are about 100 days or so away from an election. Those 100 days is more than enough time for Albertans to come to know Ed Stelmach for who he is – as his own man and with his own style of leadership.

Once the election is called it will be up to Albertans to decide if Ed Stelmach can do the job of Premier – and if they want him to do that job. Remember campaigns matter and it is not how they start, but how they finish that really counts.

Besides, Peter Lougheed obviously likes him and that goes a long way in my books.