Winnipeg Free Press

Winnipeg Free Press (Newspaper) - September 15, 1981, Winnipeg, Manitoba 6 Winnipeg free september focus Consumers will pay Oil Deal costs Ottawa and the Oil companies will pro fit from arrangement is intriguing when three in this Case the Federal Alberta and the Petroleum can emerge from bitter negotiations each better off than when the negotiations of is what happened in the recent Energy pricing agreement Between Ottawa and All three get More Money than they would have under the National Energy program pricing it is not hard to figure out where the Money will come from Consumers will pay More for Gaso line and heating Oil every step of the Way to the conclusion of the agreement in under the National Energy program the wellhead Price for conventional Oil would have been a barrel in under the new agree ment it will be by the Price under the Nep would have been a under the new agreement it will be before the Nep was announced last october the Federal government figured that Alberta was getting 45 per cent of revenues from conventional Oil production in the the Federal government was getting just 10 per cent and the Industry 45 per under the new agreement it is Esti Peter Thomson Ottawa editor mated Alberta will get per cent of Ottawa per cent and the Industry per although it is getting a smaller it is estimated that the Petroleum Industry will get billion More through the life of the agreement than it would have received under the the Way to get a larger share of the although a smaller is to make it a much bigger of Are providing the filling to the extent that it will Cost up to for a tank of Gas and for a tank of heating Oil by the time the agreement that is a lot of filling Ontario benefits Alberta and Ottawa Are not the Only governments benefiting from the rapid Rise in Energy the Ontario gov through its and Malorum tax on Petroleum expects to net be tween billion and billion from Petroleum sales during the life of the would like fat of so while in if you pay cents a litre for gasoline at the you can figure the Oil company that produced it is getting Only six and the dealer who Sells it about the balance of the Cost is distributed As with variations for different provinces provincial fuel Federal taxes cents royalties to Canadian governments cents extra taxes these figures do not include municipal and corporation taxes paid by Oil companies and dealers out of their the Federal taxes include the Federal sales Federal excise Petroleum compensation special Lalonde Levy to cover additional costs of imported Oil to replace Albertas product Ion cutbacks this will be phased and the Canadian ownership charge the extra that Canadian Consumers Are paying so that pet Ocanada can acquire governments Are Benefit Ting More than anyone else from wind fall gains on old conventional they might not always have it so conventional Oil is fast running to All intents and purposes it will be finished by it will be replaced in Large it is by Frontier Oil from offshore and the and by synthetic Oil from huge Oil Sands and heavy Oil the problem is that new Oil costs More to recover and the agreement provides that the Price shall be 85 to 100 per cent of world Oil it is just possible that the Cost of producing new Oil will Force Canadian governments to reduce some of their taxes to keep Canadian Oil competitive with world in other there could be a reduction in government revenues from in the new agreement signed Between Ottawa and Alberta it is assumed that world Oil prices will increase at a rate of approximately 13 per cent a year inflation plus two per anything less than that would play Hob with Revenue on the other a Shaip jump in world Oil prices could Hurt new Oil pro floor Price it is unlikely that offshore and fron tier Oil will be in production by but starting that year new Oil production is assured an effective floor of 85 per cent of the world and a maximum of 100 per the floor Price is deter mined from a moving average Price of the previous two phased in Over four quarterly stages for a smoother transition to the higher it take a while for a Sharp jump in world prices to be the pain would be less than if world prices lag while costs of finding and producing new Oil increase it is Consumers who will shortly be heres a Fence that Barkman precast fencing completely maintenance never needs never Barkman precast Concrete fencing is available in permanent color or natural Concrete you can get it in two decorative patterns rustic or choose or interchange patterns to have a Fence that suits your the Best part is Barkman precast fencing costs about the same As a solid Cedar but is completely maintenance youll never have to stain or Nail any Loose boards each Section interlocks for Strong durable construction that can continue to any height you the fencing sections slide into solid precast posts to be locked in decorative and till let you throw away your Hammer and paint see it for yourself on display at our Well give you a free estimate on any fencing you Barkman Concrete precast products for Home and 10 Kent Winnipeg r2l 1x4 6673310 12 h Man 204 3263445 summer hours weekdays saturday Barkman precast get then forget by a Tan full of Gas could Cost As much As everyone profits from the Energy Deal except feeling the real pain of higher Energy and undoubtedly there will be continuing arguments for years to come on whether Consumers would have been better off under the proposed conservative government or under the new Liberal agreement with there a bit of a Cush Ion so that Consumers will not feel the first real Price Jolt until january the increase slated for october 1 can be covered in part by discontinuation of the import compensation As Alberta restores production to Levels that existed before cutbacks started reducing the need for More expensive imported higher Price in 1982 and the Price jumps will be significant and the Price of gasoline and fuel Oil will be substantially higher than it would have been under the tory it will Cost to fill a 900 litre 200 gallon Oil tank after january com pared with last Winter and about after january there have been that the Federal government will consider a form of Energy tax credit to Lessen the such a tax credit was proposed by the who were also not going to apply their 18centagallon excise tax to fuel the Price of Home heating Oil will go up to a Consumers thus face heating Oil prices of at least 27 cents a litre this compared with 23 cents pro posed by the Energy department officials Esti mate that an average driving a car and heating with will pay More this year and year than under the tory by Consumers will be better off under the Liberal agreement because under the tories prices would have moved sharply through All the political and the multitude of figures being tossed Consumers May Well won Der whether the new Price regime was Worth the the 21month setback in arriving at an agreement obviously caused an equal delay in reaching Canadas objective of attaining self sufficiency in Oil by the National Energy in a recent said there is virtually no Chance of reaching self sufficiency until the late the neb report was based on reve Nues to the Industry arising from the and it was claimed that setbacks to the Industry were not sufficient to encourage the investment needed to reach the 1990 of the Nep is setbacks to the Industry Are there is greater incentive to but the loss of time cannot be made prime cuts from acre heres a full serviced property located within the City of Winnipeg Boniface Industrial property that priced from a trim an acre with its exit on Dugald Road near Lagimodiere the Park provides its occupants with Quick Access to important City routes and to the neighbouring Tran Canada the attractive landscaped grounds contain three manmade As Well As areas set aside for employee services such As Banks and to properly support both Large and Small Many Sites include rail Access with full inter switching capabilities to connect cargo with major Continental carriers in Canada and the United so if youre planning a so turning in the near consider the prime but affordable Sites of the City of Winnipeg Boniface Industrial Park prices Are determined by annual review and May change following the next review for More information write or phone Winnipeg Boniece Industrial mrk City of Winnipeg land surveys and real estate department 10 fort Manitoba r3c 1c4 Telephone 204 9855241 i i 4 ;