Wednesday, January 30, 2008

'We have a plan" Stelmach

Golly not very inspiring. Shouldn't he be plagiarizing Martin Luther King and claim that he has a dream--Alberta Dreaming? A plan has echoes of the Soviet Five Year Plan not very sexy for an Alberta Conservative leader.
Nevertheless the plan seems to involve the usual goodies before an election and there is the usual bleating of the opposition sheep about the horrible expensiveness of it all.


Wednesday » January 30 » 2008

'We have a plan': Stelmach
Premier answers critics with capital strategy, Suncor royalty deal

Tony Seskus, with files from Dina O'Meara, Calgary Herald and Canwest News Service
Calgary Herald
Wednesday, January 30, 2008
With a provincial election campaign expected to kick off next week, Premier Ed Stelmach took aim Tuesday at two major criticisms levelled at his government: a lack of long-term planning and contentious energy royalties.
Accused of having "no plan" and of "tearing up" agreements with the oilpatch, the rookie premier rolled out a 20-year strategy, valued at $6 billion annually, for Alberta's growing infrastructure demands, although it contained few new specifics.
As part of the announcement, he pledged $300 million for more long-term care beds.
Later, the province revealed a much-anticipated royalties agreement with Suncor Energy, one of two oilsands players it needs to strike deals with before implementing a new royalty structure next year.
At a news conference in Edmonton, Stelmach maintained the Tory government is planning for the future.
"There's somebody out there that says we don't have a plan -- but we have a plan," Stelmach said in a loud whisper, mocking union attack ads.
But analysts and opposition politicians say both announcements, as well as a flurry of big-ticket promises in the past two weeks, are geared to re-electing the Tory dynasty.
"This is definitely done with an eye towards the polls," said Bruce Foster, chair of policy studies at Mount Royal College.
"The timing of it basically means this is election driven," Foster said.
Stelmach is in Calgary today to present a cheque to Mayor Dave Bronconnier, while a long-awaited announcement for new schools is also expected.
In recent weeks, the premier has also committed $12 million more in cultural funding, $97 million for capital projects at the University of Calgary, and $168 million for repairs and new labs at the University of Alberta.
The spending drew fire from Paul Hinman, leader of the Wildrose Alliance Party, who accused the Tories of making pricey promises with taxpayer dollars.
"This is an incredible tax-and-spend government and I don't know how we're going to be able to afford it," Hinman said.
The spending plan released Tuesday estimates it would cost about $6 billion annually in today's dollars to support capital projects for the next two decades -- or slightly less than the province spends now.
It forecasts a steady-as-it-goes approach toward 2028, but avoids any commitments to a Calgary-to-Edmonton high-speed train, or even a mention of how many schools will be needed in two decades.
"It is a blueprint for action -- and that action begins today," said Gene Zwozdesky, the government's associate minister of capital planning.
But Liberal deputy leader Dave Taylor said the announcement smacks of pre-election politics.
"We're going to throw billions and billions of dollars (at the issue) -- it sounds like Dr. Evil," he quipped.
"If you were that concerned and you were working on it that hard, why couldn't you come up with this several months ago?"
The government also announced Suncor had agreed to a deal that could see it paying up to 20 per cent more by 2010. The agreement is part of a new oil and gas royalty framework announced by Stelmach in October aimed at raising an additional $1.4 billion from the sector.
One of the key changes was a renegotiation of Crown agreements with industry pioneers Suncor and Syncrude Canada, which expire in 2016.
The government is still negotiating with the Syncrude consortium.
Suncor chief executive Rick George said the deal achieves a "happy" medium between it and the province.
"What you're looking for is what is the right balance between the owner of the resource and the developer, and I think we've struck that balance," George told a press conference.
NDP House Leader Ray Martin criticized the announcement for lacking the kind of detail Albertans want, or spelling out how much more money it will generate.
"This is to get them through an election," he said. "We'll begin to see the dotted i's and the crossed t's -- what it really means -- if they're re-elected."
tseskus@theherald.canwest.com
© The Calgary Herald 2008

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