Reboot Alberta

Wednesday, March 05, 2008

Stelmach Still a Target of the Energy Sector

Here is another piece out of the Calgary Herald that shows some folks are still thinking Stelmach isn’t up to snuff and that the energy business elites are still calling the shots in Alberta. Actually I am expecting Stelmach to evolve into a triple bottom line Premier who deals with the tax and resource revenues prudently. I expect his farming background will have him proving that he respects the environment even more prudently.

His election victory and new mandate with his experience as the Minister of both Infrastructure and Transportation will serve him well in addressing the growth and social pressures in Alberta. His experience as Minister of International and Intergovernmental Affairs will hale him be much more effective is dealing with determining Alberta' place in relation to the nation and the world too.

That means the business community has its place and creating jobs and wealth is a good thing so long as it serves the larger cause of a healthy society and a health environment. The need to design, develop and deploy an integrated effective public policy approach required of modern governments that must be individually accountable and still interdependent and interrelated on a global scale like Alberta will be much more difficult than the typical marketplace competition challenges of business.

With all the investment approved and in place in Alberta already we now need out government to start ensuring for citizens there are no are unintended secondary consequences of such accelerated growth. These unintended consequences don’t just emerge out of the Royalty Review for the energy sector but also for the rest of us. Look at the unintended consequences of unleashed growth in housing costs, inflation, family breakdown, gang crime, misuse of the environment including water, land and air plus an appalling lack of reclamation efforts, poor habitat protection - just to name a few.

Not all of the energy industry has this intimidation couples with an insouciant attitude…there are some absolutely wonderful exceptions and we all know them and are thankful they are here. But they don’t happen to be in the majority nor on the radar screen of this writer who implies the more condescending view that government is stupid and doesn’t knows its place. This is a very unwise stance for anyone who needs to acquire a lease, meet regulatory and statutory requirements to do their business.

Is it time for a change in attitude so some mutual respect can be developed between the Alberta government and the energy sector in this province. The coziness and favoritism and cronyism of the past relationship has to disappear and be replaced by a more open, transparent and professional relationship. If that were to happen I am willing to bet there would be more respect from the citizens of Alberta shown to both their government and the energy sector too. Voters have the real power after all. Anyone doubting that truth should have had it dissipate on election day.

Stelmach is Right the Environment Does Trump the Economy

There is a very interesting Calgary Herald story today “Tory Landslide Worries Oilpatch” noting the continued “uneasiness in the oilpatch and unhappiness with the Tory government” and what is being called “the big disconnect.” The oil patch need not worry - but is has some adapting to do with Stelmach acknowledging that the "environment trumps the economy."

There is indeed a BIG disconnected but it is not only between the energy elites in Calgary and the Stelmach government. It is also between the energy sector and the citizenry and their expectations of their government performing its responsibility as stewards of our natural resources and environment. The oilpatch is in the centre of all of these BIG disconnects. It has to look in the mirror and realize it does not own the oil and gas. They are only licensees from the Alberta public, the real owners of the assets. The energy sector’s access license to operate is one thing but it also carries a duty of a social license to operate too. The former does not transfer ownership and the latter duty is a delegated responsibility to serve the common good – as well as shareholder interests. Jobs are only part of the social license duty. Using the best available environmental practices and technologies, and timely and effective reclamation, protection of wildlife habitat and being a good neighbor in the communities where they operate are other elements of a social license obligation on private enterprise.

There is a philosophical reluctance in conservative governments towards interfering in the marketplace. It is a philosophy I share. We know it does not work, and hence the “not touching the brakes” comments of Premier Stelmach.

We have lost billions of taxpayer’s dollars in the Getty era through government intervention in private enterprise, trying to pick winners and losers. The need for private enterprise to have as much certainty as possible is a responsibility of good government too.

However, uncertainty takes many forms, from interest rates, commodity prices, exchange rates, economic cycles, geo-political events, competition for materials and manpower, inflation, skills shortages are just some of the uncertainty influences at play in the Alberta economy. Royalty rates are a minor influence overall and they are being overplayed in the larger scheme of things.

Not touching the brakes does not mean retreating from setting and collecting a fair economic rent for non-renewable royalties. It does not mean being lax on updating environmental and enforcing regulations on industry. I think successive Alberta governments have lapsed into a resting on our laurels attitude about the environment. We were the first jurisdiction in Canada to originate a Department of the Environment…fine but are we still at the leading edge in terms of policy and practices for conservation of our water, land and air as well as biodiversity and habitat?

Are we the stewardship leaders we ought to be in areas like responsible and sustainable growth that not only protect the environment but actually enhances it as we grow and create wealth? No we are not…and there is no reason why we should not be other than where we put our attention and focus. As the home of the oil sands and the primary beneficiaries of that enormous and complex resource, I think there is an obligation upon Albertans to be environmental and ecological leaders.

Premier Stelmach also said “the environment trumps the economy” and he was right then too. When our government exercises its stewardship responsibility in serving that greater ecological responsibility with goals that stretch us and engage us, it will in fact impact our economy. Proper ecological stewardship by our government on our behalf may even “slow down” the growth or at least stretch out the development cycles so we can actually adjust and achieve the environmental advancements we need. These economic consequences will not be unintended and they can be planned. They will not be the result governments inappropriately interfering the in the marketplace. Rather it will be putting business and the marketplace in its proper perspective as in service of the needs of our society, and not the other way as seems to be the way it works presently.

These are some of the BIG disconnect challenges the Stelmach government faces but can address with its powerful mandate. I hope Premier Stelmach elevates the role and scope of the Department of the Environment and Sustainable Resource Development. It also must increase the accountability and effectiveness of the Department of Energy in meetings its responsibility as the regulator of the energy sector in Alberta. The overarching duty of the Department of Energy is to serve the benefit of Albertans now and future generations…not just be the advocate for the oil patch, as has been its wont.

Tuesday, March 04, 2008

Ed Stelmach's Astonishing Election Results

So what did the Alberta election results tell us? The results astonished just about everyone I spoke to except one of my staffers who yesterday about noon predicted 71 PC seats . All the people I know and who are “in the know” about these things were mostly thinking 55-60 seats and some were at the 65 level but we all admitted we did not know for sure. We were all surprised.


I think this result was a vote for change. It was a change away from the "Ralph’s World" but not a desire to change the fundamental governing philosophy of the province from a Progressive and Conservative party. My Stelmach endorsement post the other day asked Albertans to “Give Ed a Chance.” I think that is what many Albertans decided to do as they took the weekend to think about the future of the province and reflect on the choices they had in the election.

The Calgary results show that the “energy industry silk suits” don’t speak for the people of that city. The negative/attack ads against Stelmach done by the Building Trades Council, the Alberta Federation of Labour and later the Alberta Union of Public Employees under the guise of “Albertans for Change” backfired. The belittling branding of Stelmach as just a “Ukrainian Farmer” backfired.


The Liberal campaign tried to tell Albertans that the PC government that they had chosen to govern the province for 37 years had been a mistake...the electorates mistake. Albertans did not believe that nothing had changed in how they were governed in the past 37 years and the strategy backfired. The Liberal campaign ran as much against Ralph Klein’s record and did not focus on the future under them - or Ed Stelmach. I think that strategy misfired.


So 53% of Albertans who showed up, chose a decent man with a big heart who they acknowledged, had spent most of his 15 months as Premier, fixing the screw ups of the past administration. In that 15 months Ed also showed he was prepared to take on big new challenges like the regional governance in the Capital Region, a royalty review that he opened up to all Albertans to read and respond to right along with him and his government. That new openness created an energetic public policy conversation amongst Albertans on big issues - and it was a big change.

I think the Alberta public collected their wisdom together on Election Day and decided Ed was a change, and if nothing else, a change from “Ralph World.” They decided he deserved a real chance to be our Premier but with this own mandate and the opportunity to set his own course. He got his chance in spades in this election and now he has to show us what he will do and how he will do it - without having to pick up after Ralph anymore.

I think there are some serious challenges for the Stelmach PCs. They have some policy blind spots that became apparent in this election but that too can be fixed. The first test of a blind spot that needs fixing from Ed's past will be his Cabinet selection. He can’t repeat the mistakes of an over abundance of loyalty like last time. He should not take the "easy way out" of a larger Cabinet either, because there is no real need to increase the size, at least not significantly.


In fact there is such a dire need for more interdepartmental collaboration in government these days that a key test for any Cabinet appointment should be the person’s ability to collaborate, integrate, design and then execute policy decisions. I am keen that he keeps a small Cabinet and goes forward with his best and brightest people, mixing those of proven experience and ability with some promising newbies - and of course being very very careful to provide the necessary geographical mix.

I know some will be concerned that with 73 seats the Stelmach government may turn arrogant, self-absorbed and self-satisfied. Perhaps that could happen - under a different leader - but not under Ed Stelmach. That is not his nature nor part of his character. He will have to be careful to show that he will not tolerate those attitudes in anyone else in his government either. After all, as the “renewed Premier” says, governing is a privilege that has to be earned. He knows that privilege has to be earned everyday and in every way – not just at election time.


This is part of the point Ed Stelmach made last night at his victory celebration in Edmonton when he said, “It is not about how long you govern but how well you govern.” Let’s get going on some damn good governing!

Congratulations for this victory are also due to the entire Stelmach family – both personal and political. Well done and thank you.

Monday, March 03, 2008

Thanks To All Those Candidates Who Ran and Some Advice to Those Who Won.

There are almost 500 individual Albertans who have offered the rest of us their time and talents and have taken some serious time out of their lives to run for public office in this election. They represent a wide range of skills, experiences and qualities, some of them even applicable to a successful political life and some even applicable for governing. The rest of us can judge them as we wish because that is our right, after all, they are the ones seeking our consent to allow them to govern us. That citizen consent ought not to be granted lightly because we delegate a great deal of power to our elected representatives.

The irony of the paradox between politics and governing is that they are entirely different things. I call it the Catch 23 of our electoral system. The talents it takes to get the job, by using politics, are very different from the talents and skills needed to do the actual job of governing.

The vast majority of candidates will lose today and 83 will “win.” To win means your life will totally change. Privacy will be a thing of the past. You personal life will be public property as will most of your time. While you have governing to do you also have a constituency to represent and those are made up of real people with real problems. You are expected to be their advocate and to cut the red tape and the crap of government for them.

You will have to learn how to deal with the media and now to stay out of trouble and on message as dictated by your leader and his advisors. No political points are given for originality and as for freelancing -forget it - it comes with a cost.


You have to stake out your areas of interest and there better be more than just 3 or 4 key issues. You will have to become knowledgeable and authoritative and stay absolutely current in all of them if you are to be taken seriously. If you are taken seriously you will be pressed by special interests to become a political champion for them on those key issues. That is often a trap but not always. You will have to learn how to tell the difference and deal with it.

You will have to learn how to deal with a creature called a caucus and be a team player but also establish yourself as a thought-leader with a respected opinion if you are going to be effective at getting anything done. The art of persuasion and a facility at biting your tongue will be concurrent skills you will have to learn and hone.


You will have to create and collect something called political capital and learn how to use it to horse trade with you colleagues if you want to get thing done – especially if you are in government.


You will have to learn how to account for your expenses to the penny and round off program budgets like health and education to the nearest few million. You will have to learn to be prudent and cautious, innovative and imaginative, then grounded and transformational - all at the same time and see no conflict in that creative non-fiction approach to life.


You will have to learn to take a bullet for the mistakes of others, including your leaders, who may be prove to be fools from time to time - but they are your fools, get over it. You will have to suffer through too many official dinners, receptions, special events and community gatherings that will constantly take you away from your family and your sanity. You better like people because they are going to be everywhere in your life and many will think they own a part of you. Be especially afraid of those people.


You are going to be constantly judged and scrutinized by everyone you meet everywhere and all the time. They are entitled to be wrong in their opinions about you but they are still entitled tell everyone what they think about you anyway - and they will…mostly behind your back.

You will never again, while in public office, be entitled to presume you are having a private and personal conversation with anyone, anywhere at any time, including with your closest friends. Everything you say can and will become public, in some form or other, and if possible, used against you.

I understand from those who love both politics and governing that it is amongst the most rewarding thing you can do – if you are good at it. So thanks all of those who took the plunge and ran for purposes of the common good of the rest of us Albertans. Special thanks the leaders of the various political parties and for those who won. Very speical thanks in particular those who will get the call to become Cabinet Ministers.

Congratulations. Our prayers are with you…as is our future…no pressure!



Sunday, March 02, 2008

CalgaryGrit: Stelmach's Environment Minister calls for a new NEP - I DON'T THINK SO!

Tip of the Hat to the CalgaryGrit for posting a video clip of Rob Renner, Alberta's Minister of the Environment.

Rob Renner's comments in the CalgaryGrit posted video clip and the reference to CEMA proposal have nothing remotely to do with the NEP, as the "Grit" would have you believe.

However this video clip of Renner is a great example of why I think Renner is a great Minister of the Environment for Alberta. We need him back in that job right after tomorrow nights election results.