Alberta, reeling economically from opposition to oil pipelines, is internationalizing its problem.
The provincial government on July 4 appointed a forensic and restructuring accountant to conduct a year-long study of foreign sources of funding for campaigns against Alberta energy.
For “foreign,” read “US.”
Much money for antipipeline activism in Canada comes from US advocacy groups. It’s a festering political sore in Alberta, where pipeline congestion suppresses the value of crude oil and bitumen (OGJ, Apr. 29, 2019, p. 25).
Because the tactic has served hydrocarbon resistance so well in Canada, pipelines elsewhere, notably in the US East, have become subject to knee-jerk opposition.
But Alberta understandably sees a foreign-relations dimension to the issue.
“For over a decade, a well-funded foreign campaign has defamed Alberta’s energy industry and sought to landlock our oil,” the government said in a backgrounder with its July 4 announcement. “The reputational harm to the province's energy sector has limited provincial and industry revenue and cost thousands of jobs.”
Appointed to conduct the study is Steve Allan of Calgary, who will conduct an information review, interview witnesses, and complete additional research, then hold a public hearing if necessary.
The final report is due by July 2, 2020. With a budget of $2.5 million, Allan will, in the words of his mandate:
● Inquire into anti-Alberta energy campaigns that are supported by foreign organizations and determine 1) if they provide financial assistance to a Canadian organization which has disseminated incomplete, misleading, or false information about the Alberta oil and gas industry, [and] 2) if the Canadian organization(s) has/have charitable status and/or receive grants or other funding from municipal, provincial, or federal governments.
● Examine investigations completed in other jurisdictions into similar activities.
● Make recommendations to assist the government of Alberta 1) respond effectively to any anti-Alberta energy campaigns, [and] 2) consider additional eligibility criteria for government grants or charitable status.
Whatever its policy consequences, Allan’s work will be interesting, starting with an interim report due Jan. 31.
(From the subscription area of www.ogj.com, posted July 5, 2019. To comment, join the Commentary channel at www.ogj.com/oilandgascommunity.