Premier Rachel Notley, reacting to a proposed $100-million class action lawsuit over Alberta’s beer subsidies, says her government will continue to find ways to support its homegrown industry. Premier Notley updates reporters on the progress of the Kinder Morgan pipeline in Edmonton on Wednesday, May 16, 2018.THE CANADIAN PRESS/Jason Franson

Notley, cabinet set wheels in motion to start cutting oil production

Alberta premier wants to back off production by 8.7 per cent, starting January 1

Alberta Premier Rachel Notley and her cabinet have put the legal wheels in motion to begin cutting oil production.

Notley is meeting with her cabinet to issue the necessary orders to direct oil producers to begin backing off on oil production by 8.7 per cent starting Jan. 1.

The premier announced the cut on Sunday.

The mandatory reductions will be reviewed monthly but are to continue until the end of next year.

She says the glut in reserves driving down prices for Canadian oil to bargain-basement levels needs to be addressed before producers begin taking more drastic steps such as slashing capital projects or laying off workers.

Notley says a lack of pipeline capacity is a big part of the problem and she has once again called on Prime Minister Justin Trudeau’s government to do more than just send sympathy.

The premier announced last week that the Alberta government will purchase rail cars to get more oil moving while the province waits for the Enbridge Line 3 and the Trans Mountain expansion to the B.C. coast to come on line.

The Canadian Press

Like us on Facebook and follow us on Twitter

Just Posted

Province announces $100-million grant funding for Northwest communities

The Northern Capital and Planning Grant will go to four regional districts and 22 municipalities

All Native Basketball Tournament Day 5: Recap

Highlights and results from day 5 at the All Native Tournament

All Native Basketball Tournament Day 6: Preview

Look ahead to all the action scheduled for Feb. 16 at the All Native Tournament

All Native Basketball Tournament Day 4: Recap

Results and highlights from day 4 at the 2019 All Native Basketball Tournament

All Native Basketball Tournament Day 3: Recap

Highlights from around Day 3 of the tournament

B.C. students win Great Waters Challenge video contest

Video, mural and song about saving the salmon claims the top prize

Cabinet likely to extend deadline to reconsider Trans Mountain pipeline

The can’t decide the pipeline’s fate until a new round of consultations with Indigenous communities

B.C. government provides $75,000 towards salmon study

Study looks at abundance and health of Pacific salmon in Gulf of Alaska

Murdered and missing honoured at Stolen Sisters Memorial March in B.C.

‘We come together to make change within the systems in our society’

UBC researchers develop inexpensive tool to test drinking water

The tricoder can test for biological contamination in real-time

Disgraced ex-Congressman Anthony Weiner released from prison

He was convicted of having illicit online contact with a 15-year-old North Carolina girl in 2017

B.C. communities push back against climate change damages campaign

Activists copying California case that was tossed out of court

Most Read