National Post (National Edition)
Talking equality
Re: Equalization ably spreads discontent, Andrew Coyne; Dec.13
Andrew Coyne correctly points out that the equalization program is “financed entirely by federal taxes” and that Alberta leaders are really complaining that “Albertans pay a disproportionate amount in federal tax”.
He concludes that “Equalized resentment may be equalization’s most lasting legacy.” I concur with Coyne’s conclusion (as I usually do). My only grievance is that Coyne did not reach a second conclusion regarding the audacity of Quebec’s negative stance on pipeline development.
Coyne’s premise that Alberta’s “fiscal capacity” results from its oil wealth leads to his conclusion that Alberta’s “fiscal capacity … is also much higher than the national average,” which justifies why Albertans pay a disproportionate share of federal taxes.
It follows that if Alberta did not have this oil wealth, Alberta’s contribution to the federal tax base would be much diminished as would be Canada’s ability to generate equalization payments. In essence, Alberta’s oil wealth has significantly contributed to the federal tax base and to the distribution of equalization payments within Canada and particularly to Quebec.
Now consider Premier François Legault’s assertion that there is no “social acceptability” for Alberta’s “dirty energy” in Quebec. This statement is blatantly hypocritical, beyond words, given that the tax revenue generated by Alberta’s supposed “dirty oil” has been socially accepted by Quebec for decades as it gleefully continues to gobble up equalization payments. Shame on you, Premier Legault! Ted Lawrence, Calgary