Younger: NDP Guilty of Corporate Giveaways to Gas Companies

April 12, 2011

(Halifax, NS) In question period today, Liberal energy critic Andrew Younger pressed the NDP government repeatedly to explain why natural gas and oil companies won’t be paying royalties to Nova Scotia for the province’s onshore gas resources.  

“Why is this government supporting increased taxes and fees for Nova Scotians while engaging in such an enormous corporate giveaway?” asked Younger.

Younger says the NDP government is giving corporations a royalty holiday and is not making them pay any royalties during the first two years of production.

After this two year royalty holiday, natural gas and oil companies here will pay royalties far lower than other jurisdictions throughout North America. In Nova Scotia, natural gas and oil companies pay 10 per cent while the average rate in Alberta is 17.5 per cent and can increase to as high as 36 per cent.

“This amounts to corporations being able to walk away with non-renewable sources of energy at a lower cost than any other province,” said Younger. “We are giving away our resources without ensuring Nova Scotians reap the benefits.”

“We’ve seen this government stick it to everyday Nova Scotians,”
said Younger. “Now it’s clear that they are following the path laid by the previous government and continuing corporate giveaways to the gas industry.”

-30-