Kenney tells Quebec premier Alberta wants ‘fair deal’ in federation
Legault says his province has a right to receive equalization payments
EDMONTON Premier Jason Kenney is continuing to fire back at his Quebec counterpart over equalization payments following comments from Premier Francois Legault that his province won’t agree to overhauling the system.
“Quebec Premier Francois Legault’s comments reflect a misunderstanding of the history of equalization, and Alberta’s demand for fairness in the federation,” Kenney wrote in a lengthy Facebook post on Monday. “Our call for a fair deal in the federation simply means this: if Ottawa and other provinces want to benefit from Alberta’s resources, then they must not oppose the transport and sale of those resources.”
Legault raised the issue during a speech Sunday at the end of a two-day Coalition Avenir Québec youth wing policy convention in Sherbrooke, Que.
“We have the right to equalization,” he said. “Equalization has been in the constitution since Day 1 of Canada. The idea that we might let equalization drop is out of the question.”
Legault’s comments came on the heels of a fresh video Kenney posted on Twitter Saturday.
In it, the Alberta premier complained the equalization system is unfair to resource-producing provinces like Alberta.
He repeated his threat that unless Ottawa does more to help Alberta build pipelines to expand its oil markets, he will hold a referendum in which Albertans would vote on whether to delete Section 36 of the constitution, which sets out the principles of equalization. Such a referendum would have no legal effect.
Equalization is the system of wealth redistribution in Canada that provides have-not provinces cash so that public services across the country are roughly equal.
In 2019, Quebec received $13.1 billion under the formula, representing 11 per cent of its revenues. Alberta receives nothing.
In his speech, Legault repeated that he intends to create enough wealth to close the gap with the rest of the country so that Quebec no longer requires such transfers, but that the process would take time.
Legault later told reporters that equalization was “part of the original deal” when Quebec became part of Canada.
For the record, while transfer payments do indeed date back to confederation when Ottawa sent money to the provinces, the actual equalization payment program was not created until 1957 and entrenched in the 1982 constitution.
Kenney’s office said he was not available for interviews Monday.
“The statement from the Premier is our comment on the matter,” said spokesperson Harrison Fleming in an email.
But Kenney outlined his stance on Facebook, saying he doesn’t object to equalization in principle.
“However, we cannot abide other governments benefiting enormously from our resources while trying to obstruct the development and sale of those resources,” he said. “Nor is it acceptable that other provinces benefit from equalization payments generated in part from our energy resources while refusing to develop their own energy resources.”