Category: Economic

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Economic Ft Mac

MacMurray Metis Promise CNRL Will Have Difficult Development Without Further Discussion

MacMurray Metis, CNRL

The MacMurray Metis have promised that CNRL energy company will have a difficult time developing local areas unless the energy company is willing to discuss the development with the group. According to Kyle Harrietha, the McMurray Métis general manager, “To both industry and government, I’ll say the following: it is crystal clear that there is a duty to consult and accommodate with Métis communities. I can only speak for McMurray Métis when I say that those in industry and government who refuse to acknowledge and honour those facts that the relationship with us will always be difficult,. I can assure you that you will eventually be forced to do so through litigation.” Harrietha spoke at the Métis Rights & Economic Development Symposium, a two day event held at the Sawridge Inn & Conference Centre in Fort MacMurray.

CNRL has received approval to start test drilling and energy exploration in a number of spots close to Gregoire Lake Provincial Park. The MacMurray Metis were never given an opportunity to discuss the new test drilling and exploration or to challenge the project. According to Kyle Harrietha stated “In all recent interactions, they’ve been addressing the Métis and First Nations through lawyers. That’s always a bad sign. Our organization has almost always been able to work out settlements from industry. This is what it looks like and sounds like when a relationship goes the other way.”Harrietha also discussed the freshwater aquifer benzine leak that CNRL was responsible for in 2014, slamming the company on safety and environmental protection.

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Economic Ft Mac Politics

Future Budget Considerations Has Regional Municipality of Wood Buffalo Council Cracking the Books

Regional Municipality of Wood Buffalo council, budget considerations

The Regional Municipality of Wood Buffalo council will be using a microscope to go over the budget in order to try and identify further areas where savings can be achieved in the near future. The council vote was 5-4 when the motion to examine all of the capital projects in the budget which were more than $10 million, and the vote was unanimous when it came to directing the administration to find further savings in the short term operations budget. According to Coun. Tyran Ault the council needs to prepare for potential revenue if there are deferments or cancellations with currently scheduled oilsands projects. Ault stated “I strongly believe we need to take a deeper look … to make sure we’re building the right things at the right time. This region is a much different place than it was when we approved the budget in December and it’s unlikely to change or go back to the way it was.”

Fort MacMurray Mayor Melissa Blake discussed the short term budget considerations before and after the Regional Municipality of Wood Buffalo council voted. “We can always review and revisit any of the operating expenses or expenditures that we have, but we already have the funds … to cover off the capital that council had committed to. The extra money that would come from saving it, I don’t know where they want to have that directed. It was just more of not understanding … the expected outcomes from the process.” Ault responded with “I don’t have the magic answer in what we do with the money. But I firmly believe that there is some money there that we can save, whether that then gets spread out or deal with debt … or keep it in the bank to be prepared for when we’re not going to have money that we’re projecting due to some of these deferred oil projects.”

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Alberta Economic Ft Mac

Husky Energy Issues Contractor Layoffs as Sunrise Project Begins Production Phase

contractor layoffs, Husky Energy

Husky Energy recently issued 1,000 contractor layoffs as the Sunrise project started the production phase, and many contractors were caught by surprise when they received a layoff notice. All of the contractors involved were througj Saipem, an Italian contracting company. Many expected to continue on the project until summer, and felt they were blindsided by the company. Husky Energy spokesperson Mel Duvall sent an email that read in part “Construction at the Sunrise Energy Project is now largely complete and today we started production. Husky and its contractors will continue to oversee and manage the remaining commissioning work. Saipem’s scope has been wrapped up.The drop in oil had no impact. This is a function of construction. We announced first steam in December and said we expected first oil by end of March, so we’re tracking to that schedule.”

When Husky Energy was contacted about the contractor layoffs there was no response to a few questions that the media had about the layoffs. Husky Energy was asked whether the contractors were warned that the layoffs were coming, either by Saipem or by Husky, and which entity was responsible to provide the layoff warnings and notices. No response was provided for either question before the story hit the news. What is known is that Saipem did have some foreign workers on the Sunrise project who were among the contractors who were laid off. In 2013 there was also controversy over the Sunrise project, and almost 300 Canadian workers were let go while temporary foreign workers were brought in to take over.

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Economic Ft Mac

It is Municipal Census Time for the Regional Municipality of Wood Buffalo

Regional Municipality of Wood Buffalo, municipal census

The municipal census for the Regional Municipality of Wood Buffalo will take place this year, and municipal authorities are already starting to prepare for this important project. Census recruiters need to hire roughly 100 census takers, and since the municipality funding is calculated on a per capita basis the census results must be accurate. RMWB municipal census 2015 coordinator Gary Gordon explained “We want to enumerate 100% of the dwelling units, that’s our goal. We’re looking forward to having a successful census. We’re not sure what the numbers are going to be in terms of, there’s a bit of a downturn, but we’re confident that we’re going to reach every door.” The census will take place between April 1 and June 30 of 2015. On January 27 the council voted to get approval for a census and to count the local shadow population.

The municipal census for the Regional Municipality of Wood Buffalo is a very important project. Mayor Melissa Blake commented that “It’s important for the municipality to count as many people as we can, because we get per-capita grants that actually can amount to something significant. It will be a fascinating exercise to go through the count of our shadow population, but I’m as keenly interested to learn more about our urban population.” Gary Gordon explained “We look at the census as three projects in one; we have the urban services area, which is the largest population, and it’s very challenging, we also have the rural communities … and then again working with the people in the project accommodations. The make-up of the community, a community where people work long hours, a lot of people that fly in and fly out or drive in and drive out … it’s very difficult to get a hold of people and that certainly makes it a challenge.”

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Alberta Economic Health

Safety Upgrades for Senior Homes in Alberta Underway

safety upgrades, senior homes in Alberta

Safety upgrades to 75 senior homes in Alberta are overdue, but thee upgrades are being taken care of now according to the provincial government. Some other facilities that offer continuing care spaces will also receive upgrades to sprinkler systems and other safety features as well. According to Minister of Seniors Jeff Johnson “Our government remains committed to protecting our most vulnerable citizens, including seniors. Thanks to the vision and direction set by Premier Jim Prentice, we’re taking action today to ensure Alberta’s seniors feel more secure in their home.” Johnson has directed $80 million in order to start immediate safety upgrades, and over 6,500 units are expected to be improved as a result of this effort. The projects which were selected were based on assessments that were previously performed, and the facilities which had the biggest safety risk factors were given priority by the provincial government.

Many senior homes in Alberta lack some of the most standard safety features, such as effective sprinkler systems. The new safety upgrades are intended to lower the safety risks of seniors, and help the elderly stay where they are currently living. Alberta has more than 24,000 senior apartments and lodges which are owned or supported by the government, and many of these facilities were built before 1990. Some do not meet the existing fire and building codes due to ineffective sprinkler systems and a lack of safety upgrades performed since they were constructed. With this latest government effort Alberta is showing that seniors matter, and these at risk individuals should be kept as safe as possible in their later years.

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Economic Ft Mac

Economic Consequences of Low Oil Prices Discussed by Labour and Energy Groups

low oil prices, economic consequences

On Tuesday a 3 day meeting that included some of the biggest labour and energy groups started to discuss the low oil prices and the economic consequences. The groups warned lawmakers in Ottawa that falling crude prices could have devastating economic consequences, especially in areas where energy operations are crucial to local economies. According to executive vice-president of strategy and corporate development Steve Reynish “There situation highlights the very real effects on the Canadian economy. The current environment has allowed us to source closer to home and we are reducing, or eliminating, higher cost fly-in, fly-out labour to our operations. Significantly lower prices have rationalized the most expensive labour option for us, which is temporary foreign workers. For us at Suncor, a lower dollar is a double-edged sword. Our earnings are in Canadian currency, but debt is largely in U.S. Dollars.”

When discussing low oil prices and the economic consequences Tim McMillan, the CEO of Canadian Association of Petroleum Producers, said “The effect of the low price will be felt across Canada through our supplier network, through the employment that is sourced from across the country and through the taxes and royalties.” Alberta Federation of Labour president Gil McGowan commented “Any company assuming the price of oil would stay at $100 per barrel was being simply unrealistic, Winston Churchill famously said you should never waste a good crisis and I think that’s what’s happening right now with some people speaking out about a lot of doom and gloom in the oilsands.”