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THIS WEEK IN ALBERTA

  • Alberta and the federal government have reached an agreement that would give the Province greater authority over environmental and impact assessments for major infrastructure projects. Under the deal, Ottawa will recognize Alberta as best positioned to lead reviews for projects primarily under provincial jurisdiction, while federal and provincial regulators will coordinate assessments for projects that involve both levels of government. Both governments say the goal is to streamline approvals and reduce duplication, allowing projects such as pipelines, rail, and power infrastructure to move forward more quickly. The agreement builds on a previous memorandum of understanding between the two governments and is similar to arrangements Ottawa has signed with other provinces.
  • Alberta’s utilities regulator has rejected a proposal to build a natural gas power plant that would supply electricity to a massive AI data centre complex planned for Olds. The Alberta Utilities Commission said the application contained significant deficiencies, including incomplete information, inconsistencies in documents, and insufficient environmental and noise assessments. The proposed 1.4-gigawatt facility - intended to power what the developer called Canada’s largest data centre campus - would have generated roughly enough electricity to power a city the size of Edmonton. Residents near the proposed site had raised concerns about noise, water use, environmental impacts, and limited consultation, with some saying they only learned about the project after it was announced by the provincial government. While the decision blocks the project for now, the developer is allowed to submit a new application that addresses the regulator’s concerns.
  • Alberta’s Transportation Minister says the Province will release its long-awaited passenger rail master plan within the next few weeks. The plan is expected to outline proposals for a high-speed rail connection between Edmonton and Calgary, including links to both cities’ international airports. Officials say the corridor is a priority because about 80% of Alberta’s population lives between the two cities. Passenger rail in the region has been discussed for more than a decade and could still take many years to build. The provincial government previously announced plans to create a Crown corporation to oversee rail development as population growth increases pressure on highways. The Minister also emphasized that private sector investment will play a key role in making the project a reality.
  • Alberta’s government is scrapping its controversial value-based wine tax after just one year, a move welcomed by retailers and the hospitality industry. The tax, introduced in the previous budget, added extra charges based on the price of a bottle, meaning more expensive wines were taxed more heavily. In the latest provincial budget, the government announced it will return to a standard volume-based tax starting April 1st, though the rate will increase by $0.58 per litre. Officials say the tax proved unpopular and generated far less revenue than expected, bringing in about $10 million instead of the projected $22 - $23 million annually. Industry representatives say the tax discouraged purchases of higher-end wines and hurt a niche segment of the market. 
  • Alberta MLAs are now operating under a revised set of legislative rules after the government passed changes to the assembly’s standing orders. One major change replaces the old time allocation process with “programming motions,” allowing cabinet ministers to set a fixed number of debate hours covering multiple stages of a bill. The rules also limit opposition MLAs to three written questions at a time and extend the government’s timeline to respond, potentially up to 120 sitting days. Another change restricts each caucus or independent MLA to one request per day for an urgent or emergency debate. Finally, starting March 19th, Thursday sittings will begin earlier at 10:00 am and end at 2:30 pm, a change intended to help MLAs return to their constituencies sooner. The government says the changes will increase debate time and improve efficiency, while the Opposition argues they could limit scrutiny and reduce meaningful debate.
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