The energy game: first down and four to go

CIM Bulletin, Vol. 74, No. 836, 1981

ROBERT B. PARSONS, C.A., Partner, Price Waterhouse & Co. Toronto, Ontario

First down and four to go. In the game of football, this is not a bad position to be in. However, in this game of political football, it means that there is still a long way to go. The government in Ottawa has concluded an important agreement with one producing province, and now has at least four more provinces to deal with—B.C., Saskatchewan, Nova Scotia and Newfoundland.On September 1, 1981, the federal and Alberta governments took a significant step forward in formulating an oil and gas policy for Alberta and the rest of Canada on signing a comprehensive five-year agreement that covers taxes, prices, incentives and other fiscal matters related to the production and marketing of oil and gas.This month, Tax Notes examines the main features of the agreement, and offers some eye-opening observations of what the new accord could mean for the future of the Canadian petroleum sector in particular and Canadian business in general.