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Politics - Quebec hypocritical on Western oil

When you break down who has gotten what from federal equalization since it came into existence in 1957, you come up with some interesting things.
Mandryk

When you break down who has gotten what from federal equalization since it came into existence in 1957, you come up with some interesting things.

For starters, total all the money withdrawn from the program in 61 years and you find that the west has received slightly over $57 billion or 14.4 per cent of the total doled out from this federal program designed to ensure all Canadians can enjoy a similar quality of living.

However, you might be amazed how massively disproportion this money has been handed out to Western provinces.

While B.C. has received $3 billion (.6 per cent) and Saskatchewan has received $8 billion (2.1 per cent) Alberta has received $92 million (zero per cent, rounded off) reflective of how seldom these 鈥渉ave鈥 provinces have qualified because of their non-renewable fossil fuel resources.

In fact,聽 Manitoba has received 80.7 per cent of all Western equalization money. Because it has less non-renewable oil and gas money and a lot of hydroelectric revenue not counted in the formula, Manitobans have received $46 billion or 11.7 of Canada鈥檚 equalization payments throughout history.

In contrast to the West, equalization payments have been the lifeblood of Atlantic provinces 鈥 $125 billion or 30. 8 per cent of all equalization money doled out.

It breaks down as follows: Nova Scotia, $44 billion or 11.1 per cent; New Brunswick, $43 billion or 10.9 per cent, Newfoundland and Labrador, $25 billion or 6.4 per cent, and; Prince Edward Island, $9 billion or 2.4 per cent.

Ontario, that has mostly been a 鈥渉ave鈥 province, has received $17 billion or 4.2 per cent. However, its numbers are inflated because it is our largest province and equalization payments are partly doled out a per capita basis.

But what will amaze many is how much Quebec has received 鈥 $198 billion or 50.5 per cent of all the equalization money.

And guess what? Quebec is due for a whopping $1.3 billion more in 2019 for a total $14.1 billion.

Like all statistics, this one is best accompanied by a little perspective.

Quebec has a larger population than the entire Atlantic region, somewhat accounting for why it has received more money than those four provinces, combined.

It should also be noted that Quebec has been a legitimately poor province for much of Canada鈥檚 modern history. Fortunes have clearly smiled on la Belle Province in recent years, but as recently as 2012 stories talked about Quebec being the poorest province in Canada.

Finally, it should again be noted that hydroelectric power is excluded from equalization calculations.

But it鈥檚 also in this here where one begins to wonder why Quebec is so oblivious to how it benefits from confederation. One of those benefits is equalization that, essentially, winds up sharing Western oil riches with the rest of the nation.
Consider Quebec Premier Francois Legault鈥檚 comment that is there 鈥渘o social acceptability for oil in Quebec鈥.

Well, Quebec behaviour doesn鈥檛 reflect its own rhetoric.

An increasingly affluent Quebec is now buying more light and heavy trucks and SUVs than ever, so oil seems somewhat 鈥渟ocially acceptable鈥.

Up until 2016 when Quebec discovered the benefit of Enbridge鈥檚 pipeline that now allows Alberta oil into Quebec, 85 per cent of Quebec oil was imported from north African and Middle Eastern nations.

That it would rather have Middle Eastern oil than western oil is one thing.

But that it would turn around an accept equalization money 鈥 largely derived from the fact that Western provinces are penalized for their oil to the direct benefit of Quebec through equalization 鈥 is quite another.

If this country is going to work, perhaps it begins with parts of country appreciating the west and realizing how lucky they are.

Murray Mandryk has been covering provincial politics for over 22 years.

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