Editor, The Times:
Canadian oil, especially Albertan oil, is discounted heavily.
There’s good reason for that. It’s the lowest of the low. High sulphur count, etc.
Some think that building more pipelines such as the Keystone “Kops” XL and Kinder Morgan’s Trans Mountain twinning are the answer.
However, far wiser heads than mine, such as Jeff Rubin (once head honcho for CIBC), have presented how this as a gamble, a long shot. These pipelines could well become stranded assets according to Rubin. They could cost far more than they’ll ever return.
As I’m writing this the price of oil is dropping. Of course, that could change in the future. Oil could “skyrocket” as it did in the past.
However, there are several things against that. Alternative energy sources are getting a lot cheaper. This is despite the interference of big energy such as the “notorious” Koch Brothers. In some states of the US of A the Kochs, along with their buddies, have managed to get virtual ban on the installation of solar panels on private homes, etc.
However, despite all of this, alternate energy is catching up. China is said to be the world’s largest manufacturer of solar panels and when the skies (horribly polluted from burning too much coal) clear up, these panels and other sources will kick in, easing China’s dependency on fossil fuels.
India also has, so I’m told, scrapped plans for some hundred coal-fired plants, opting for solar and other sources of energy.
Alternate energy is, despite its problems, the wave of the future. Not only that but the world is, at present, awash with cheaper, cleaner Saudi Arabian, Texas Sweet, Venezuelan, you name it.
Alberta “tar” is right at the bottom of the list.
Dennis Peacock
Clearwater, B.C.
