The future is looking brighter for Albertans

By Lethbridge Herald on March 12, 2022.

Nathan Neudorf – UCP MLA for Lethbridge East

Despite the snow, I can sense spring in the air. It’s a welcome change of season – and I’m not just referring to the weather. 

I don’t think I was the only one who appreciated Minister Toews budget speech, it was like the first warm spring day after a long winter. Toews articulately encapsulated the why behind the what in every initiative undertaken and every principle used in the formation of Budget 2022. 

While it is a huge relief to have a balanced budget, the discipline of fiscal restraint can still be felt in several areas. However, we are creating a stronger, freer Alberta; for businesses, for families and for our future as a province. This will benefit us for years to come. There is still work ahead and additional investments needed, but with the steps taken to increase revenue from a more diversified economy, the future looks bright. 

I’m not even going to try and tone down my excitement. Last year, Alberta broke its venture capital record for the third year in a row. Billions of dollars in private investment are pouring into our province in the agriculture and agri-food industry, the petrochemical and hydrogen economy, as well as the technology and aviation sectors, just to name a few. 

By cutting down unnecessary regulations, we’ve freed up Alberta businesses to, quite simply, do business. 

All told, the removal of regulatory requirements has saved Albertans, businesses and government the staggering total of $1.2 billion. 

In Budget 2021, the net debt-to-GDP ratio was estimated to be 24.5 per cent. Now, with an improving fiscal picture, it’s forecasted to be 18.3 per cent at the end of this fiscal year, one of the lowest in Canada. It’s also important to note that the Province’s income at the eight per cent corporate tax rate was $400,000 more last year than it was under the previous administration’s 12 per cent rate. 

We’re working hard to create an Alberta that not only Albertans will want to live in – but an Alberta that will also draw newcomers. New families, new businesses, new opportunities for our province. And it’s working – after recent federal redistribution changes, Alberta will be gaining three new seats in the House of Commons, (Ontario and BC will also gain one additional seat each.) Something new is happening in Alberta – and people are being drawn to it. 

We’re not only seeing population growth, we’re seeing incredible investment growth. The numbers speak for themselves – Amazon Web Services picked Calgary as location for the creation of a new computing hub, representing a $4.3 billion dollar investment. Canfor, one of the world’s largest producers of sustainable lumber, pulp and paper moved substantial capacity from BC to Alberta. Canfor purchased three Alberta mills while shutting down four in BC, explicitly stating that their decision was due to our province’s business friendly regulatory environment.

Infoysy and Mphasis are adding thousands of tech jobs in the province. RBC is creating a tech hub in Calgary with 300 seats; EY chose Calgary for its Canadian Finance Center of Excellence creating 200 positions. We had a record year in film and television. Lynx Air, Canada’s newest low-cost airline, will join Flair and WestJet as Alberta based airlines and Dow Chemical has announced the world’s first net zero ethylene cracker to be built in Edmonton’s industrial heartland. 

There have been five hydrogen project announcements including Northern Petrochemical’s $2.5 billion project in the MD of Greenview. Bunge is working to build a $650 million dollar canola crushing plant near Lamont, and Fortune Minerals is investing $250 million dollars for a refinery near Edmonton, citing the province’s competitive tax rate as a key reason for choosing Alberta. And the list goes on… 

Step by step, we are creating the best environment for investment in our entire nation. In January of this year, while Canada lost 200,000 jobs, Alberta gained over 7,000. This is an addition to the 130,000 jobs gained in 2021 – putting our province 33,000 jobs ahead of where it was before the pandemic. We’ve not only recovered our losses, we are moving forward. 

Contrary to some accusations, our government isn’t just “giving a tax break to big business.” Everyday Albertans pay less in overall taxes than any other province, with low personal income tax and no provincial sales tax, payroll tax or health care premiums. We also have the highest basic personal exemption amount among provinces, allowing individuals to earn more before they have to pay any provincial personal income tax, with 40 per cent of Albertans not paying any provincial income tax. Budget 2022 includes new investment in apprenticeship programs and a focus on expanded enrollment in key areas where Alberta has shortages of skilled labour. Approximately 7,000 jobs will be created in high technology, finance, agriculture sciences, health and aviation.

 We are also making a groundbreaking investment at the University of Calgary to expand the Faculty of Veterinary Medicine. This $59 million dollar investment will address a critical emerging shortage of large-animal veterinarians in rural Alberta.

Budget 2022 also reflects record high investment in healthcare. Besides making critical investments to expand our healthcare capacity, we continue to pursue both international and domestic physician recruitment opportunities. 

In January of this year, the United Nurses of Alberta membership voted 87 per cent in favour of a new collective agreement that, in the words of UNA president Heather Smith, “… will benefit our members and [is] fair to the people of Alberta.”

Another exciting aspect of Budget 2022 is our continued investment in clean, ethical Alberta energy. We have been firm on the point that protection of the environment and the development of our natural resources, can and do go hand in hand. Alberta is a global leader in emerging energy and emissions reduction technologies, evidenced by ongoing investment in carbon capture and storage, and a $40 million dollar investment in a Clean Hydrogen Center of Excellence. 

With a global oil demand expected to exceed pre-pandemic levels in 2022, Alberta is the ethical choice. We are a world leader in sustainable and responsible resource development, with the highest ESG performance among oil-producing countries worldwide. 

But again, we come back to the why. Why do all these dollars matter? It’s because for every dollar of investment, we are building into a stronger, healthier Alberta. With every flourishing business, we add to our slate of stable, well-paying jobs. We’re not just attracting investment, we’re attracting families. 

As Minister Toews put it so well, “Behind every number and principle is the life of an Albertan…behind every dollar we don’t add to our deficit stand our grandchildren.” Budget 2022 builds into the quality of life for every single Albertan. The incredible people that make up this province are the reason we’re able to lead the country – and it’s the reason I continue to work hard in my job as an MLA, for Lethbridge. I love Alberta and I love the people that make our province and our city what they are. Here’s to a balanced budget, to spring around the corner – and the brighter days ahead!