Canada to end domestic subsidies for unabated fossil-fuel production

[Fastandfurious74]

https://www.castanet.net/news/Canada/43 ... ion#436820

Saw this today on the home page, it's about time too. I am so sick of the government giving these companies my tax dollars. We are not a socialist country, nothing is free!

[raft-cove]

That's fine.

What will happen is the break-even costs for private O&G investment will increase.

When that happens, nobody will explore and produce until the price of oil is $80+

When price of oil rises, everybody pays more.


So if you don't like fuel prices at $3/L, you would have concerns with this news.

[Fastandfurious74]

That's fine.

What will happen is the break-even costs for private O&G investment will increase.

When that happens, nobody will explore and produce until the price of oil is $80+

When price of oil rises, everybody pays more.


So if you don't like fuel prices at $3/L, you would have concerns with this news.

Personally, if a company cant operate without handouts from the government, they shouldn't be in business at all. The free market will correct itself, if a company increases their prices to much, another will lower/keep theirs stable to steal their customers.

[GordonH]

Will be watching to see how this announcement will affect pump prices across Canada.

[raft-cove]

Will be watching to see how this announcement will affect pump prices across Canada.

Will be a global impact.

As you constrain new supply of fuels when demand is rising, the only mechanism that will reduce consumption is HIGHER prices.

We can look back and say that Canada's shortsightedness helped push prices of oil to $150 a barrel.

That's when consumers will face $3-4/L

Plus layers of carbon taxes.


Future energy shortages will cause the next major recession.

You'll see.

[GordonH]

Will be watching to see how this announcement will affect pump prices across Canada.

Will be a global impact.

As you constrain new supply of fuels when demand is rising, the only mechanism that will reduce consumption is HIGHER prices.

We can look back and say that Canada's shortsightedness helped push prices of oil to $150 a barrel.

That's when consumers will face $3-4/L

Plus layers of carbon taxes.


Future energy shortages will cause the next major recession.

You'll see.

Do the largest oil producers worldwide subsidize their oil production ie Saudi Arabia

[raft-cove]

GordonH

Govt there in SA owns 95% of their National Oil Co.

Yes, the Saudis subsidize their Refining business units.

[GordonH]

Cheapest gasoline price worldwide per/litre US is Venezuela at .0004

Most expensive is 2.994 in Hong Kong.

[raft-cove]

Cheapest gasoline price worldwide per/litre US is Venezuela at .0004

Most expensive is 2.994 in Hong Kong.

Yes.

One is subsidized, one is not.

[Jlabute]

It is better to subsidize O&G rather than wasteful CO2 capture and storage. What a joke. CO2 capture is so wasteful, expensive, and inefficient. It benefits no one. The amount of CO2 reclaimed is not even a drop in the proverbial bucket. Environment Minister Steven Guilbeault is a dope. This will make life more expensive for all Canadians, and discourage investment. If Ontario and Quebec were really serious about ending reliance on fossil fuels, they should cancel their transfer payments from Alberta. That is what should happen if federal subsidies disappear. Make the West rich again.

There is no Liberal party, they are Green.

[The Green Barbarian]

That's fine.

What will happen is the break-even costs for private O&G investment will increase.

When that happens, nobody will explore and produce until the price of oil is $80+

When price of oil rises, everybody pays more.


So if you don't like fuel prices at $3/L, you would have concerns with this news.

Personally, if a company cant operate without handouts from the government, they shouldn't be in business at all. The free market will correct itself, if a company increases their prices to much, another will lower/keep theirs stable to steal their customers.

Agree. Time to end all subsidies for solar, wind and electric vehicles.

[Babba_not_Gump]

https://www.castanet.net/news/Canada/43 ... ion#436820

Saw this today on the home page, it's about time too. I am so sick of the government giving these companies my tax dollars. We are not a socialist country, nothing is free!

I would like to agree with you but if all Canadian companies who receive subsidies were suddenly cut off, most would shut down and leave Canada. And there goes our economy.
And it applies to more then just those in the oil and gas industries.
The problem comes with other governments doing the same, subsidizing their own companies.

[Urban Cowboy]

That's fine.

What will happen is the break-even costs for private O&G investment will increase.

When that happens, nobody will explore and produce until the price of oil is $80+

When price of oil rises, everybody pays more.


So if you don't like fuel prices at $3/L, you would have concerns with this news.

Personally, if a company cant operate without handouts from the government, they shouldn't be in business at all. The free market will correct itself, if a company increases their prices to much, another will lower/keep theirs stable to steal their customers.

How exactly will this free market correct itself, when big oil are all colluding with each other?

This "correction" is another way of saying, higher prices at the pump.

Government is feeling the pain, from JT's unchecked spending spree, so is now out to clawback funds from anywhere they can, and as always, in the end it's us footing the bill.

[Fastandfurious74]

Personally, if a company cant operate without handouts from the government, they shouldn't be in business at all. The free market will correct itself, if a company increases their prices to much, another will lower/keep theirs stable to steal their customers.

Agree. Time to end all subsidies for solar, wind and electric vehicles.

Not sure if you think this is a "Gotcha!" moment, but I agree!

[Fastandfurious74]

It is better to subsidize O&G rather than wasteful CO2 capture and storage. What a joke. CO2 capture is so wasteful, expensive, and inefficient. It benefits no one. The amount of CO2 reclaimed is not even a drop in the proverbial bucket. Environment Minister Steven Guilbeault is a dope. This will make life more expensive for all Canadians, and discourage investment. If Ontario and Quebec were really serious about ending reliance on fossil fuels, they should cancel their transfer payments from Alberta. That is what should happen if federal subsidies disappear. Make the West rich again.

There is no Liberal party, they are Green.

What an odd thing to talk about when were talking about oil! Also, were are a United Country! I may not agree with some of my fellow countrymen but I would never suggest what you are suggesting! Do you believe that western Canada is no longer rich? Or are you comparing the west to the east and think that somehow were worse off? Sorry, I'm just a little confused!