Mr. Speaker, there are now more than 6 billion co-trustees of planet Earth. Those of us fortunate enough to live in Canada want to do our best to help keep it in good repair. Accordingly, I will be voting yes to the ratification of the Kyoto protocol.
I am sure that I surprise no one when I say I have great concerns, especially in terms of the effects it will have on Alberta.
It is clear that Kyoto is not self-implementing; we need to pass legislation. A constitutional cloud, however, is lurking just over the horizon. The provinces are claiming jurisdiction over elements of the accord. Alberta has already introduced legislation to occupy the field in certain respects. I think it would be fair to say that constitutional experts across the country are divided. We must accept that there will be issues and continue to work together on an acceptable implementation strategy. The case for continued cooperation and consultation is clear.
Particularly disturbing throughout the discussion over recent months has been the notion raised by some that Albertans are not committed to the environment. Questioning Kyoto has wrongly become synonymous with being anti-green. Albertans are far from that. We understand that climate change needs to be addressed and are appalled at the suggestion that we would ruin the planet for selfish gains.
Many Albertans, including myself, moved west at least in part because of the natural environment. In the 1970s, it might be added, I conducted a number of environmental prosecutions for the province. Most Albertans want Canada to be a global leader in environmental protection.
After travelling to Asia, Africa and Latin America and meeting families there living on less than $2 a day, it is often overwhelming to return home and see how well most of us live here.
Canadian industries are recognized everywhere for their bold, creative ways of reducing emissions. For example, Alberta based EnCana and others are developing sequestering techniques to pump CO
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underground as a way of forcing oil to the surface. EnCana estimates that its operations could produce the same effect as taking 212,000 cars off the road would. Sequestration applied throughout western Canada could reduce emissions by as much as 75 megatonnes a year, provided that it can be done at a reasonable cost.
The use of ethanol blends and other bio-diesel fuels reduces greenhouse gas emissions and has the potential to create tremendous new opportunities for agriculture, especially for prairie farmers.
Syncrude, one of Alberta's leading energy producers, has already cut CO
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emissions per barrel of production by almost a fifth since 1990. I could go on and on.
Not only is it important for the environment to be careful in our energy consumption, but it is also in the interest of the business community. They know it and are making the necessary adjustments. Let us be clear; they do not want to suffer any negative impact on their economic growth.
Businesses are not just developing ground breaking technologies; they are doing what Canadians generally have come to expect: they are using innovations to help the developing world. It is little known that under Kyoto Canadian businesses could get credit for helping developing countries put in place cleaner technologies.
As an example of a clean development mechanism, take a proposed coal burning electricity plant in a developing country. If Canada offers to build a much cleaner gas burning plant instead, I gather we could claim a credit for the difference in emissions levels between the two facilities. This approach would appeal to all of us in Canada who want to see developed countries do something about greenhouse gases and other air pollution around the world.
The reality is that many Albertans' jobs depend upon the fossil fuel industry, as does much of our Alberta advantage. Many Albertans fear that they are going to be most negatively impacted and we must not be. Implementation must in no way jeopardize the strength of the Alberta economy, the growth of which is heavily dependent upon the expansion of the oil sands.
Our Prime Minister has said, “Nothing is more nervous than a million dollars”. Now consider $5 billion for an oil sands plant. The fact is that in the investment world, perception is reality.
The development of our oil sands is too important to the country not to go ahead because of the chill factor or any other reason. Implementation must protect the oil sands as a priceless national asset. They are the source of hundreds of thousands of direct and indirect jobs across western Canada. Moreover 40% of the money spent on machinery, chemicals, equipment and services in Fort McMurray goes to Ontario's and Quebec's manufacturing sectors.
It is estimated that between 30,000 and 52,000 jobs in Ontario's steel industry alone depend on the Alberta oil sands. As the Calgary Herald said, when a project is cancelled in Alberta, steelworkers in Hamilton go home.
Since 1995 and the much praised agreement on the taxing of the oil sands projects introduced by our Prime Minister, approximately $86 billion in related development has been announced with about $24 billion of it to be completed by the end of this calendar year. That leaves $62 billion awaiting decision.
The oil sands have created outstanding opportunities for our first nations. Persons in the oil sands pay taxes and contribute to transfer payments. Much of the Alberta government's annual budget is based on energy royalties meaning that social programs throughout the province are dependent on the sector.
In an era of instability in the Middle East, a strong oil patch increases North America's energy security. Reduced reliance on imported energy sources is something for which many countries around the world are now clamouring. Some Canadians ask, what is the risk; heavy emitters cannot simply pack up their drills and find the reserves south of the border. Industry however has said that even though some might continue to extract oil in Alberta, upgrading and treatment operations may be moved out of the country.
Even as per unit reductions are achieved, they worry that Canada's industry might still be disadvantaged because Canada is a growing exporter of oil and natural gas.
When the U.S. pulled out of the negotiations, the entire dynamic changed. Many people have expressed concern that the protocol now appears to favour European nations.
However, it is said that countries the size of continents with growing populations, such as Canada, Australia and the United States, will have to absorb greater economic costs in order to comply.
Canada can and should play a decisive role in reducing greenhouse gas emissions. However, our approach should be one that leads to a moderate and lasting impact, while upholding the economic benefits that our government has generated.
The plan to implement Kyoto must bring certainty to the investment environment as soon as possible, reflect the unique concerns of all of our regions as a national family, and as the Prime Minister has committed, not impose a disproportionate cost on Alberta.
I intend to be vigilant about all of the implementation measures. As a representative of the province, the economic needs of three million Albertans are crucial.