Publication

Thinking Like an Owner: Full Report
Overhauling the Royalty and Tax Treatment of Alberta's Oil Sands

Published: Nov 29, 2006

By: Amy Taylor, Marlo Raynolds

Between 1996 and 2005, world oil prices more than doubled and production of the oil sands, spurred on by federal subsidies and low provincial royalty rates, increased by 123%. Amazingly, during the same time period, Albertans, the owners of the oil sand resource, saw their share of this economic boom in the form of royalty revenue decline for each barrel of oil from the oil sands. Albertans received $3.39 in royalties for each barrel of oil sands oil in 1996 and only $2.29 in 2005. At the same time, a federal tax break resulted in up to billions in deferred tax revenue. This report demonstrates that the current tax and royalty treatment of the oil sands is a bad deal for Albertans - the owners of the resource, and Canadians.

Format: PDF, 25 pages [download]
Document Type: Reports, Backgrounders & Position Papers
Topic Categories: Oil Sands