Thank you.
Good morning, honourable members. Thank you for inviting me to address your committee on natural resources regarding development in the north.
Alberta has the third largest reserve of oil in the world, and the vast majority of that is found within my municipality. My region is large. It's larger than the entire province of Nova Scotia and it is spread over some 66,000 square kilometres of northeastern Alberta. Within my municipality, there are nine rural hamlets and one larger urban area known as Fort McMurray.
According to our 2010 municipal census, our total population is 104,000, and growing rapidly. This number is much higher than what the federal census indicates, which is a cause for concern because services and funding are provided on the basis of population. While our census concerns warrant discussion, I am omitting them now in the interest of time.
Because the oil sands are really in my backyard, so to speak, there is an immense amount of growth that's here. Our population has doubled in the last 10 years and is expected to double again in the next 20 years.
One of my main concerns is creating a high quality, liveable community for all residents, regardless of whether or not they are working in the oil sands. My experience has shown that the government and industry are very eager to capitalize on the energy resource, but the systems needed to support the people who carry out that work and the region in which it is carried out is often overlooked. It is a constant struggle for us to keep pace with oil sands development. We face a shortage of land for residential, commercial, industrial, and really all growth. Our infrastructure is aging and inadequate and our residents are lacking in amenities and services.
As more and more people come to Wood Buffalo, more schools will be needed, more health centres and more recreational opportunities. A civic centre, proper transportation networks, especially including the twinning of Highway 63 to prevent a tragedy like we experienced at the end of April, as well as infrastructure upgrades and expanded government services are needed too.
One government service of particular concern relates to immigration and temporary workers. While we appreciate the recent budget announcements for expedited processing for temporary workers, it would be an immense asset if we not only had customs at our airport but also if there were immigration officials directly in Fort McMurray for visa processing and other related issues. This is not only of benefit to our labour force, but it helps with our goal to create a welcoming and inclusive community.
We are not a nine-to-five community. Many of our people work long hours over a variety of shifts, and taking time off to travel to Edmonton or Calgary for such services can be very difficult. This concern is of particular importance as labour demands increase in Wood Buffalo. If we are to progress to the point that is expected in oil sands production, upwards of several million barrels per day, then the community that supports that work cannot be neglected.
We are not a temporary makeshift town. We are a community with hard-working and ambitious people from across Canada and around the world who deserve a higher quality of life. We have a long history as a key transit point to the north, and people have made their livelihoods here for many generations. To properly invest in the oil sands means our community must also be invested in.
To that end, the Province of Alberta has committed some $2.4 billion in infrastructure building and upgrades in my community, and I'm hopeful we will see something similar from the federal level.
But while other major cities have had decades of significant funding to help build their communities, we are building ours now and paying almost 100% ourselves, without any kind of assistance. For example, our airport is being rebuilt to meet the demands of our community. Last year we led the nation in airport growth, at just under 7%. In the first four months of this year we continue to lead that growth with 9%.
Opened in 1986 and designed to carry some 250,000 passengers a year, we estimate that this year we'll have over 820,000 people using our little terminal. While the municipality is contributing to the project, the airport authority is still looking for a funding commitment from both the provincial and federal governments. And I should point out that given the federal government's longstanding involvement and commitment to airport construction, this is a project that is ripe for assistance. Our airport is an essential project, connecting us not only to the rest of Canada and the crucial labour supply, but to the rest of the world.
It's also an illustration of the important fact that for the energy sector to advance and grow in the manner that is predicted, the infrastructure has to be in place to support it. This means oil sands development may actually be constrained by a lack of development or investment in my community.
While on the topic of airports, I would also like to mention the recent letter that we received from Transport Canada indicating that federal funding for the operations of Fort Chipewyan Airport is now being discontinued. Fort Chipewyan is the oldest settlement in Alberta, located about 250 to 300 kilometres north of Fort McMurray, and the only way to access it from December to March is a winter road. That airport is the exclusive transportation hub for the community of nearly 1,300 residents. I am very disappointed by this decision, as it will strain residents and businesses. I ask the federal government to reconsider their decision.
I am hopeful that as more money is invested in the oil sands a similar investment can be made in my municipality. Given my previous points of the link between project and community development, it's not so much a wish as a necessity.
The final issue of concern that I'd like to address is the perception of my reality. It's an ongoing challenge for us to deal with the many misrepresentations we experience as a community. I recently read a letter to the editor in a Florida newspaper in which the author, a self-identified Canadian, wrote that the air quality in For McMurray was so bad that most parents didn't let their children play outside. I'm the mother of two boys, eight- and three-years-old, and I can assure you that this is a preposterous statement. Our environment is monitored continually by the Wood Buffalo Environmental Association, an organization independent of government and industry. On average, the air quality in our communities is found to be better than that of most major cities.
However, I anticipate as oil sands growth increases, environmental criticisms and false exaggerations like the preceding example will only increase. I'm hopeful that this can be offset by an increased commitment by government and industry to independent, open, and transparent monitoring and enforcement.
As we did for many green initiatives, we supported the January 2012 announcement of the joint federal-provincial oil sands monitoring program, and we go further in proposing that an institute be established right here in Fort McMurray to fulfill this commitment. An independent monitoring institute or facility would further show the federal and provincial governments' commitment to the environment and offer us a unique opportunity to diversify our economic base into a knowledge base.
In conclusion, the issues of the livability, labour, funding, and perception of our area are just a few of the concerns that we have about energy development in our part of northern Alberta. While I'm speaking on behalf of my region, energy development here has a widespread effect on our entire country. Depending on which expert group you talk to, the oil sands are currently estimated to provide 6% to 10% of Canada's gross domestic product. That is only going to grow.
The Canadian Energy Research Institute reports that in the next 20 years, investments, operations, and expenses in the oil sands will contribute some $2.1 trillion to Canadian GDP. Over the next 25 years the oil sands will provide some 905,000 jobs, including full- and part-time jobs, direct, indirect, and induced. It is estimated that for every $1 million in capital invested or spent in operations, 5.6 jobs are created across Canada.
Energy in northern Alberta is a benefit not just for Alberta but for the whole of Canada, through jobs, materials, services, and construction. For businesses and entrepreneurs, this is a real Canadian opportunity from coast to coast.
This Canadian opportunity has the chance to be a part of a new vision for our country, a new national dream reminiscent of Sir John. A. Macdonald's railway that brought our nation together geographically and politically. So as you consider the concerns of energy development in Canada's north, I ask what is our new vision? Who will be the new Sir John A.?
Thank you.