Notley and cab­i­net set le­gal wheels in mo­tion to be­gin cut­ting oil pro­duc­tion

Asian Journal - - ASIAN JOURNAL -

Ed­mon­ton: Al­berta Premier Rachel Notley and her cab­i­net have put the le­gal wheels in mo­tion to be­gin cut­ting oil pro­duc­tion.

Notley is meet­ing with her cab­i­net to is­sue the nec­es­sary or­ders to di­rect oil pro­duc­ers to be­gin back­ing off on oil pro­duc­tion by 8.7 per cent start­ing Jan. 1.

The premier an­nounced the cut on Sun­day.

The manda­tory re­duc­tions will be re­viewed monthly but are to con­tinue un­til the end of next year.

She says the glut in re­serves driv­ing down prices for Cana­dian oil to bar­gain-base­ment lev­els needs to be ad­dressed be­fore pro­duc­ers be­gin tak­ing more dras­tic steps such as slash­ing cap­i­tal projects or lay­ing off work­ers. Notley says a lack of pipe­line ca­pac­ity is a big part of the prob­lem and she has once again called on Prime Minister Justin Trudeau’s gov­ern­ment to do more than just send sym­pa­thy.

The premier an­nounced last week that the Al­berta gov­ern­ment will pur­chase rail cars to get more oil mov­ing while the prov­ince waits for the En­bridge Line 3 and the Trans Moun­tain ex­pan­sion to the B.C. coast to come on line.

Rachel Notley

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