The Way Forward

A message from Premier Ed Stelmach

Tonight, I had the opportunity to update Albertans on the way forward -- our road to economic recovery and my government’s plans for the future.

I know you share my optimism for the future. Even in the face of economic uncertainty, we remain committed to a world-class quality of life, creating opportunities, and delivering core public services – like education and health – that we can all be proud of.

Our immediate path to achieve these goals is clear. We’ll bring Alberta back to surplus in three years - using our savings to cover three-quarters of the revenue shortfall and trimming government spending. The way forward will position our province for a strong recovery. Alberta will be ready when growth returns.

There will be some difficult decisions to make in the coming months, as we work on next year’s provincial budget. But, Albertans can rely on their government to make decisions based on community values of Albertans and in the best interests of the province – with an eye on our future prosperity and quality of life.

View Premier Stelmach’s television address

Highlights from Premier Stelmach's TV address

Alberta will be back in a surplus position – saving for the future – in three years.

Government continues to act on the four-point economic recovery plan.

1. Limit government spending and live within our means, including freezing salaries for Public Service managers for two years and asking the entire public sector to share in this effort.
2. Use cash reserves – the Sustainability Fund – to cover three-quarters of the revenue shortfall.
3. Continue to invest in public infrastructure and issue new Alberta Capital Bonds.
4. Make sure Alberta's industries are globally competitive and continue to attract investment needed to develop Alberta’s resources.

Alberta Capital Bonds will enable Albertans to invest directly in the province’s future and help build Alberta communities. A list of public projects to be financed by Alberta Capital Bonds will be released later this fall. The bonds will offer a competitive rate of return.

The focus remains on helping seniors and low-income Albertans, and supporting programs and services Albertans need most, such as health care, education and seniors’ benefits.

Through innovation and the leadership of health care professionals, Alberta will lead the way in improving access in the delivery of public health care.

Oil sands development will be managed wisely and in an environmentally responsible way.

Upgrading power transmission will support a growing population and expanding economy.

The Competitiveness Review, complete by the end of the year, will make sure there’s a level playing field for the oil and gas exploration industry and exporters.

Building on Alberta's strengths

Infrastructure projects are keeping tens of thousands of Albertans at work, and underline our commitment to a strong recovery. Long-term planning – especially in times of recession – is key to keeping our province moving forward. The economy will recover, people will continue to move to the province… and as we emerge from this recession we’ll face increased demand for everything from schools, to hospitals, to roads and public transit.

We must continue to make the necessary investments in the public infrastructure we know Albertans will need when growth returns. Taking these steps today will help grow our economy tomorrow.

• Now that construction is less expensive – up to 40 per cent in some cases – we’re getting more for each taxpayer dollar.
• We paid off the provincial debt – $23 billion – and we saved money during the good years.
• We’ve saved $25 billion since 2003. Most of that – $17 billion – went into a Sustainability Fund – Alberta’s cash reserves.
• We’ve also kept taxes low. Alberta has the most competitive tax rates in Canada, and the lowest taxes on families.

Alberta Capital Bonds - Investing in our future

Backed by the province’s Triple A credit rating, new Alberta Capital Bonds will offer a competitive rate of return – allowing Albertans to know which hospitals, schools and other public projects you are helping to build.

• Our province will also lead the way in improving access and delivery of public health care in Canada.
• Second only to Newfoundland – which has a smaller population – Alberta spends the most per capita on health care.
• Albertans expect value for their tax dollars, so we must raise performance, improve access, and shorten waiting lists.
• Through innovation and the leadership of our health care professionals, we will make the difficult but necessary improvements to the system.

Technologies for the future

In the 21^st century, countries that have clean, dependable energy will have prosperity and security – and those that don’t will be at a huge disadvantage. Canada is rated as the most energy-secure nation in the world. With the potential of the oil sands comes a great responsibility – one Albertans willingly accept – to manage oil sands development wisely over the long-term.

• Alberta has led the way in setting limits on greenhouse gas emissions by large industry.  Alberta is still the only jurisdiction in North America to put a price on carbon. Industries that fail to meet their emissions reduction targets pay into a fund to develop technologies to lower emissions even further.
• Alberta is leading the way in developing Carbon Capture and Storage technology – CCS – which offers the best option for making a dramatic reduction in emissions.
• Institutions like the new Mount Royal and Grant MacEwan universities will play a key role in developing Alberta’s greatest natural resource – our people.
• We will continue to strengthen education and workforce training – investing in the skills Alberta will need to compete in the 21^st century, and sustain our prosperity in an increasingly competitive world.
• We’ll work to attract investment, create thousands of new jobs and exert the influence on the national agenda that properly reflects our contribution as the engine of the Canadian economy.