A Canadian government-appointed panel reviewing Alberta’s energy royalties has called for the oil-rich Canadian province to increase its total take from the energy industry by 20 percent a year, or roughly $2 billion Canadian (US $1.97 billion).
The report by the provincial panel targets Alberta’s oil sands projects in particular and says royalties have not kept pace with world energy markets. The report says all projects in the booming oil sands region should pay more because “Albertans do not receive their fair share from energy development.”
Canada’s western region is home to vast reserves of the oil sands, a tar-like bitumen that is extracted using mining techniques. Industry officials estimate the oil sands will yield as much as 175 billion barrels of oil, making Canada second only to Saudi Arabia in crude oil reserves.