We are not sure what Alberta was thinking when they voted in the NDP.  But, after decades of responsible fiscal management and pro-business policy that was admired by the rest of Canada, it is official that they have voted in a government that wants to try to close down their province.  Each day the dreamers in Edmonton decide to do nothing to help their businesses and citizens the slow down can only intensify.  After six months in office as premier, Mrs. Notley’s only accomplishment has been to get further into debt and raise corporate taxes, which are being passed on to the consumer.  To improve the Alberta economy she announced she will hire more civil servants.  Where is the money going to come from to pay them and what are these people to do?

Mrs. Notley wants to switch all electrical power from power stations to the very expensive solar and wind power.  It is too bad she has not taken the time to ask Ontario homeowners how their government’s shot at green energy has worked.  It has destroyed jobs, caused hydro bills to jump, and all excess power is sold to the U.S. at a huge loss.  She also wants to close up all coal mines in the province which are big exporters to Asian countries.  To do so will cost thousands of more jobs.  Thankfully, I doubt Ottawa will allow this to take place because they are big tax payers. 

Since becoming Premier I have never heard Mrs. Notley mention anything on their second biggest industry, the farmer and the rancher.  We're not even sure if she knows they exist? This might be a good thing since it’s something she cannot destroy. 

Thankfully, the loss of Keystone pipeline means little to Alberta and the rest of Canada because 8000 miles of pipeline has already been laid in the U.S. since 2010.  Keystone was simply a direct route, so it would have been a safer route technically.  The demand for pipelines is not going to disappear.  One common claim by oil companies in Alberta has been that Canada needs more pipelines.  They are the safest means of moving liquids but the Greens want to shut them down in favor of shipping by rail.

President Obama refers to our tar sands oil as dirty, even though a record amount of the stuff was shipped down south in August.  Not surprising though, after 7 years in office he has done nothing to clean up his own country’s environment.  After China and India, the U.S. is the world’s biggest polluter due to the use of coal, which is dirtier than our tar sands.  The U.S. is becoming an unreliable trading partner.  Thankfully, Canada’s future economic growth relies on Asia and Europe.

The oil and gas industry have given 37,000 people the boot with more to come by year-end.  The cut in income the loss of these jobs have created is forcing other businesses to lay off employees.  It is estimated that total job losses will reach 70,000 in the days ahead.  This will only force a larger house correction that is currently taking place in most of the province.  Alberta experienced the largest decline in house prices so far this year in October, with the average price in Calgary and Fort McMurray down 6.1% and 13% from a year ago, respectively.  Edmonton prices are flat. 

Thankfully, Albertans will wake up shortly, say “what were we thinking?” and vote the NDP out in four years.  Until then, Alberta’s economy will continue to contract and lose businesses and citizens to their neighbouring provinces.  These two provinces are the future of Canada and are open for business.  We remain super bullish on Western Canada.

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