The Canadian Association of Petroleum Producers president is urging the provincial government to finish the current royalty review as soon as this is possible so that market stability can be achieved again. In the last year oil prices have been volatile, causing some instability in Alberta and the rest of the country. CAPP president Tim McMillan blames the royalty review for adding uncertainty, and said “We have been very public that a royalty review does put instability into the market. Investors want to know with some certainty what the rules are and what the royalties will be. There is a balance here. If it can be done sooner rather than later, it shouldn’t be rushed. If we get this wrong, it can have long-term impacts on our province that will not be positive.”

The Canadian Association of Petroleum Producers has been very vocal about the royalty review, pointing out that the association did not call for it but that their members are more than willing to work with government officials. The panel in charge of the royalty review is expected to finish their work on the review by the end of the year. No matter what the panel decides the current royalty structure will be in place until at least 2017 according to Energy Minister Marg McCuaig-Boyd. This can provide at least a little certainty for investors in the current market volatility. McMillan also stated “We can’t control the price of oil but we can control our destiny in many ways. This is a difficult time for our employees and companies, but I think it will serve us well to do the heavy lifting now to prepare us for the future.”