Electric vehicles ... climate change..

[LEP]

[QUOTE=tweety;424919]

Direct subsidies to oil and gas companies 3.3 Billion. Some of the bigger ones.

Subsidy name Who gives it? Who gets it? How much is it worth?*
Flow-through shares** Canada Oil and gas companies CAD 265 million
Direct spending & budgetary transfers*** Canada Oil and gas companies CAD 112 million
Crown royalty reductions Alberta Oil and gas companies CAD 1.162 billion
Tax exemptions for certain fuels & uses in industry Alberta Industry CAD 298 million
Royalty reductions, including deep drilling and infrastructure credits† British Columbia Oil and gas companies CAD 631 million
Reduced tax for aviation fuel Ontario Aviation Industry CAD 292 million
Tax exemption for coloured fuels used in agriculture Ontario Agricultural industry CAD 248 million
Fuel tax exemptions and reductions ‡ Quebec Industry and other consumers CAD 301 million

5.3 trillion worldwide. That buys a lot of battery research.

So to be clear actual direct subsidies to oil and gas is $112 million.

Flow throughs were developed for and are used far greater by Mining companies. They benefit investors directly not companies. Royalty reductions are in place because alot of the drilling activity wouldn't happen without said incentive.

Saying a Tax exemption for Ontario Aviation and Ag industry a direct subsidy to oil companies is like saying the GM bailout was a direct subsidy as well. Pretty big stretch. But to be fair they are allowed to use dyed diesel in drilling rigs as the fuel is not used to roll down a road.

I think this is like the laundry list of uncosted Liberal Election promises "They just don't add up"

[chuckChuck]

There are several tax breaks and drilling incentives for the oil industry in each province. Tax breaks are the same as giving direct subsidies.

As well there are all the hidden environmental and health costs from the pollution and carbon emissions that are paid for by taxpayers.

Canada has lower royalty rates than many developing nations.

https://www.theguardian.com/environment/true-north/2017/oct/26/revealed-oil-giants-pay-billions-less-tax-in-canada-than-abroad

"Revealed: oil giants pay billions less tax in Canada than abroad

Data shows companies made much higher payments to developing countries in 2016 than to Canadian, provincial governments

taxes its oil and gas companies at a fraction of the rate they are taxed abroad, including by countries ranked among the world’s most corrupt, according to an analysis of public data by the Guardian.

The low rate that oil companies pay in Canada represents billions of dollars in potential revenue lost, which an industry expert who looked at the data says is a worrying sign that the country may be “a kind of tax haven for our own companies.”

The countries where oil companies paid higher rates of taxes, royalties and fees per barrel in 2016 include Nigeria, Indonesia, Ivory Coast and the UK.

“I think it will come as a surprise to most Canadians, including a lot of politicians, that Canada is giving oil companies a cut-rate deal relative to other countries,” said Keith Stewart, an energy analyst with Greenpeace.

Companies like Chevron Canada paid almost three times as much to Nigeria and almost seven times as much to Indonesia as it did to Canadian, provincial and municipal governments.

Chevron used to run its Nigeria and Indonesia projects out of the U.S., but after allegations that they evaded billions in taxes, their operations were moved to Canada."

[LEP]

[QUOTE=chuckChuck;425116]There are several tax breaks and drilling incentives for the oil industry in each province. Tax breaks are the same as giving direct subsidies.

As well there are all the hidden environmental and health costs from the pollution and carbon emissions that are paid for by taxpayers.

Canada has lower royalty rates than many developing nations.

https://www.theguardian.com/environment/true-north/2017/oct/26/revealed-oil-giants-pay-billions-less-tax-in-canada-than-abroad

"Revealed: oil giants pay billions less tax in Canada than abroad

Data shows companies made much higher payments to developing countries in 2016 than to Canadian, provincial governments

taxes its oil and gas companies at a fraction of the rate they are taxed abroad, including by countries ranked among the world’s most corrupt, according to an analysis of public data by the Guardian.

The low rate that oil companies pay in Canada represents billions of dollars in potential revenue lost, which an industry expert who looked at the data says is a worrying sign that the country may be “a kind of tax haven for our own companies.”

The countries where oil companies paid higher rates of taxes, royalties and fees per barrel in 2016 include Nigeria, Indonesia, Ivory Coast and the UK.

“I think it will come as a surprise to most Canadians, including a lot of politicians, that Canada is giving oil companies a cut-rate deal relative to other countries,” said Keith Stewart, an energy analyst with Greenpeace.

Companies like Chevron Canada paid almost three times as much to Nigeria and almost seven times as much to Indonesia as it did to Canadian, provincial and municipal governments.

Chevron used to run its Nigeria and Indonesia projects out of the U.S., but after allegations that they evaded billions in taxes, their operations were moved to

Ok Chucky. Here's the deal, a barrel of oil is only worth x. Now if you pay $3 an hour for labour versus $40, I guess you have more available to pay a higher royalty.

[the big wheel]

The last oil boom in Saskatchewan proved in spades that the royalties were way way too low for the costs that you encurr from the boom itself. More roads hospitals etc the rest of us are still paying for it while the oil companies pocketed the cash.
PST on everything.

[AlbertaFarmer5]

Agreed that royalties should have been higher. But unfortunately we don't exist in a vacuum, most of these companies have assets all over the world, and will spend their money where the total net returns are the best. In this country, where we saddle them with exorbitant regulatory costs, delays in approvals, taxes, safety and environmental costs, payroll taxes, uncertainty, and deny their product access to the world market( forcing them to accept far lower values), the only way to entice them to spend here instead of lower cost environments is to level the playing field through royalties.

The law of unintended consequences of all socialist policies.