Natural Resources committee  Let me begin by addressing some of the points that have been raised, which will relate to some of your questions. We've heard from several of the witnesses today who've repeated this figure of $50 million lost per day. This is based on the assumption that if we were to get better access to markets, such as the American market or the international market, we could get parity for our prices for bitumen.

Natural Resources committee  From the Federation of Labour's perspective, we think we don't have to make a choice between the environment and job creation. But what's missing from the oil sands development in the Alberta situation is direction from the provincial government. We know there are good technologies out there.

Natural Resources committee  As part of our testimony before the National Energy Board hearings on various bitumen export pipelines, we have contracted with economists to do the kind of calculations that we've heard from the Conference Board about induced job creation and multiplier effects. Our analysis has suggested that if the same volume of bitumen that is planned to go down the Keystone XL pipeline, or the Northern Gateway pipeline, for example, was instead to be upgraded in Alberta or other parts of Canada, it would create literally tens of thousands of jobs.

Natural Resources committee  I think one number is really telling. Only a few years ago about two-thirds of bitumen extracted in Alberta was upgraded in the province before being exported for sale. That number has collapsed to about 50%, and by the Alberta government's own estimates—according to testimony they gave before the Northern Gateway Pipeline hearings—in very short order, in the next 10 years or so, we could be looking at a situation where only about 26% of our bitumen is upgraded.

Natural Resources committee  Okay. To the members of the committee, I say this. You want to hear about jobs, but we would argue that more jobs, and more stable and valuable jobs, would be created if we moved up the value ladder rather than down. You want to hear about royalties, and I would suggest to you that there is a possibility for more royalties than are being collected.

Natural Resources committee  Thank you. Good morning. I've appeared before this committee before and I know how quickly seven minutes can go. I'm going to move right into my talk by presenting you with the Alberta Federation of Labour's top five reasons why the oil sands are a blessing, but a mixed one. Number one.

Natural Resources committee  It's interesting that you asked the question, because just last week our federation, which represents 27 unions and 160,000 unionized Albertans—I underline that, “Albertans”—passed a policy statement, a policy paper, on carbon taxes. Our unions, including those representing energy workers, are 100% in support of the introduction of a more aggressive carbon tax.

Natural Resources committee  I can only speak to the oil and gas industry, which I have the most experience with. I think that if concerted efforts aren't made by policy-makers at the provincial level primarily, but also at the federal level, we run the very real risk of being stuck at the low end of the value ladder.

Natural Resources committee  The question is about adding value. We've heard from several people that we cannot add value because of the concept of comparative advantage. My very quick response, first of all, is that there's not a consensus on that in the economic community. Moreover, I think Paul Krugman, the Nobel Prize winning economist, said it best in noting that if Korea and Japan had focused on this notion of comparative advantage, they'd still be exporting rice.

Natural Resources committee  Why don't you ask the labour guy the question about labour? That would be a radical idea.

Natural Resources committee  I'm sure you will.

Natural Resources committee  Do you only ask questions that jibe with your ideological point of view?

Natural Resources committee  The documents in question were produced by something called the hydrocarbon upgrading task force, a task force established by the Alberta provincial government to look at the viability of moving up the value ladder. Their own experts basically came to the conclusion that it made all sorts of sense, and those documents were suppressed and not released.

Natural Resources committee  Yes.

Natural Resources committee  One of them was Wood Mackenzie, which is a—