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A lot of Jason Kenney’s claims about the oil and gas industry are cherry-picked, misleading or wrong

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If there’s one topic Jason Kenney loves to talk about, it’s the oil industry.

And understandably so.

Oil, of course, is a major driver of Alberta’s economy. Despite tens of thousands of layoffs in recent years, the industry remains a massive employer. Until royalties shrivelled in the wake of the latest downturn, it was a substantial source of direct revenue for the provincial treasury. Hopes of ever balancing Alberta’s budget remain pinned on those royalties bouncing back, to some degree, at some point in the future.

So it’s no wonder the Alberta premier makes oil such a frequent topic of conversation.

But some of Kenney’s recent comments about the size, scale and state of the industry have raised eyebrows among people who closely follow these things. And comparing the premier’s rhetoric to the available evidence doesn’t always result in a perfect match.

Kenney has made some strong claims that, when scrutinized, appear less than accurate. When traced to their source, some of the numbers he likes to cite seem exaggerated, cherry-picked or rounded up. Others look better, however, under the light of external evidence. And much of that evidence comes from one of Kenney’s frequent foils — the federal government.

In general terms, there’s little doubt about the overall point the premier so often makes: oil continues to be a major component of not just the provincial economy but Canada’s economy as well. And despite the headwinds the industry faces, it will likely remain that way for some time to come.

The devil comes in the details.

Here are some recent examples.

Claim: ‘Canada’s largest industry — the energy sector’

Kenney made this claim, most recently, after the federal throne speech.

In a written statement issued to the media, the premier said the speech failed to recognize “the crisis facing Canada’s largest industry — the energy sector that supports 800,000 jobs, directly and indirectly.”

There’s a lot to unpack here.

First off, the language. “Energy” and “oil” are often used interchangeably in Alberta, but Kenney’s choice of words here is important. What, exactly, does he mean by “the energy sector,” and where is he getting these numbers from?

The premier’s issues manager, Matt Wolf, referred that question to Alberta’s energy ministry, who referred detailed questions to the Canadian Energy Centre (commonly known as the “war room“), which said it took its definition of “energy” from Natural Resources Canada.

“This includes oil and gas extraction and support activities, utilities, petroleum and coal products manufacturing and pipelines, warehousing and transportation support activities, renewables and utilities,” Mark Milke, the Canadian Energy Centre’s research director, said in an email.

Specifically, he cited this section of the Natural Resources Canada website, which indeed supports Kenney’s claim about jobs: “In 2018, Canada’s energy sector directly employed more than 282,000 people and indirectly supported over 550,500 jobs.”

Add that up, and you get 832,500 jobs — slightly more than the 800,000 figure Kenney cited.

But does that make the energy sector Canada’s largest industry?

It’s more difficult to see how the premier arrives at that conclusion, as other industries employ far more people. Nearly 1.6 million people worked in the manufacturing sector last year, according to Statistics Canada data. And more than 2.8 million people worked in wholesale and retail trade.


Of course, there’s more to an industry than the number of people it employs and, in terms of productivity, fossil fuels have made an outsized contribution to the national economy. Mining, oil and gas contributed more than $200 in value added to Canada’s GDP per hour worked, according to a 2016 paper by University of Calgary economist Trevor Tombe, making it by “far and away the most productive sector in the Canadian economy.”

When you add up all the direct and indirect economic activity of the “energy sector” as a whole, it represented 11.1 per cent of Canada’s total GDP in 2018, according to Natural Resources Canada’s Energy Fact Book.

So does this make it Canada’s largest industry?

It’s hard to say definitively. Not only are there different ways of defining the industry; there are also different ways of measuring and reporting GDP.

According to this data from Statistics Canada and its definitions, the “energy sector” accounted for 9.4 per cent of GDP in 2018, which was less than manufacturing (10.4 per cent) and real estate (12.6 per cent). And remember, the “energy sector” includes more than just fossil fuels. Taken alone, mining and oil and gas extraction were 8.1 per cent of GDP.

Crude oil, by itself, accounted for 2.8 per cent of national GDP, according to the Natural Resources Canada accounting.

 

A chart outlining contributions from the ‘energy sector’ to the national economy. (Natural Resources Canada)

 

In the past, Kenney has often referred to oil as Canada’s largest export industry, which is certainly borne out by international trade data.

When speaking off the cuff, this could perhaps be accidentally shortened to just “industry.” But in written remarks like Kenney provided on this topic, it’s harder to see how the claim is justified.

Claim: ‘Even conservative estimates … show the global demand for oil increasing over the next 20 years’

Kenney made this claim in a recent tweet.

And on that point, Sara Hastings-Simon says the premier is simply wrong.

“That’s not what the estimates say,” said Hastings-Simon, who works as a senior researcher with the Payne Institute for Public Policy at the Colorado School of Mines and a research fellow at the University of Calgary’s School of Public Policy.

There is “obviously a lot of uncertainty” in the various models that estimate future oil demand, she said, and there is a wide range of educated guesses about when peak oil consumption will arrive.

“But if you look at the set of the most ‘conservative’ estimates — meaning, the closest the peak could be — there are estimates that the peak has already passed,” she said.

BP Energy, notably, came out with one of those estimates in mid-September. In one of three scenarios the company examined, which assumes more aggressive climate-change actions by governments around the world, 2019 marked the year the world consumed the most oil.

The International Energy Agency (IEA), which Kenney has described as “the leading global think-tank on these issues,” has also come out with recent estimates which suggest peak oil could be coming soon, if it hasn’t already arrived.

The IEA’s World Energy Outlook 2019 outlined a future in which “oil demand growth is robust to 2025, but growth slows to a crawl thereafter.” This was under its “stated policies scenario,” which assumes “existing policy frameworks and today’s announced policy intentions” from governments around the world.

Under its “Sustainable Development Scenario,” which assumes an “unprecedented scale, scope and speed of changes in the energy landscape,” the IEA sees “a very different picture,” one in which “demand soon peaks” and drops to less than 67 million barrels per day in 2040. That’s down about 33 per cent from 2019 levels.

Kenney himself, seemed to contradict his own tweet. When he addressed the same topic in person at a press conference in late September, he selected more nuanced words.

 

The Alberta premier talks about how much oil the world might need in the future. 0:56

“Every major expert in energy consumption projects that there will be substantial consumption and demand for oil and gas for decades to come,” Kenney told reporters.

You’ll note the different phrasing here: There’s quite a difference between decades of “substantial” consumption and decades of “increasing” consumption.

Kenney went on to acknowledge that the IEA’s “most bearish scenario” sees global oil demand shrinking substantially by 2040.

Claim: ‘The transportation sector is not where most oil is consumed’

Kenney made this claim in response to a question about how demand for Alberta oil might be affected by plans in places like California to ban the sale of new gasoline and diesel cars by as early as 2035.

“First of all, the transportation sector is not where most oil is consumed,” the premier said at the same press conference.

 

The Alberta premier makes an assertion about how much oil is consumed for transportation purposes. 0:07

The U.S. Energy Information Administration says otherwise.

“The transportation sector accounts for the largest share of U.S. petroleum consumption,” the EIA says on its website.

To be precise, it estimates that transportation accounted for 68 per cent of end-use U.S. petroleum consumption in 2019.

In Canada, the numbers are similar. The Canadian Association of Petroleum Producers says 65 per cent of oil is used for transportation, “including gasoline, diesel and jet fuel.”

And globally, transportation accounted for the majority of liquid fuel consumption in 2018, according to data from BP Energy.

Overstating vs. underestimating

Some of these claims in the recent press conference could have been genuine mistakes. Kenney was speaking in an impromptu way, in response to a reporter’s question, at the tail end of a lengthy series of remarks. It’s harder to understand the numbers in his written statements the same way.

But even if Kenney is exaggerating some of these figures, a close look at the data makes clear the magnitude of the oil industry in Canada. And the general point the Alberta premier is trying to make is not out of line with what the federal government is doing with its own reports: both are highlighting the significant economic role the industry plays.

Natural Resources Canada isn’t the only federal organization pointing this out. Just last week, the Parliamentary Budget Office released its latest economic and fiscal outlook, which included an economic damage report, of sorts, on the first half of 2020.

It blamed “the sharp contraction in the Canadian economy” on the public-health restrictions due to COVID-19 and “the record collapse in oil prices.”

Taken together, the PBO says the “pandemic and oil price shocks” are expected to have “a permanent impact on the Canadian economy,” pushing real GDP 3.6 per cent lower by the end of next year, and 1.6 per cent lower by the end of 2024, compared to its outlook from November 2019.

Oil may not be largest industry in the nation, but it’s big enough to drag down the national economy when it goes through tough times. It may not be the largest employer, but it’s the most productive. Demand for oil may not grow for much longer, but the world will almost certainly consume tens of millions of barrels daily for decades to come.

So while the Alberta premier may overstate the importance of the oil industry in Canada, it’s important to not underestimate it, either. At the same time, a realistic assessment of its future may foresee better days ahead while also expecting the best days have likely already come and gone.

Source: – CBC.ca

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Alouettes receiver Philpot announces he’ll be out for the rest of season

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Montreal Alouettes wide receiver Tyson Philpot has announced he will be out for the rest of the CFL season.

The Delta, B.C., native posted the news on his Instagram page Thursday.

“To Be Continued. Shoutout my team, the fans of the CFL and the whole city of Montreal! I can’t wait to be back healthy and write this next chapter in 2025,” the statement read.

Philpot, 24, injured his foot in a 33-23 win over the Hamilton Tiger-Cats on Aug. 10 and was placed on the six-game injured list the next week.

The six-foot-one, 195-pound receiver had 58 receptions, 779 yards and five touchdowns in nine games for the league-leading Alouettes in his third season.

Philpot scored the game-winning touchdown in Montreal’s Grey Cup win last season to punctuate a six-reception, 63-yard performance.

This report by The Canadian Press was first published Sept. 12, 2024.

The Canadian Press. All rights reserved.



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Tua Tagovailoa sustains concussion after hitting head on turf in Dolphins’ loss to Bills

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MIAMI GARDENS, Fla. (AP) — Miami Dolphins quarterback Tua Tagovailoa sustained a concussion for the third time in his NFL career, leaving his team’s game Thursday night against Buffalo after running into defensive back Damar Hamlin and hitting the back of his head against the turf.

Tagovailoa remained down for about two minutes before getting to his feet and walking to the sideline after the play in the third quarter. He made his way to the tunnel not long afterward, looking into the stands before smiling and departing toward the locker room.

The Dolphins needed almost no time before announcing it was a concussion. The team said he had two during the 2022 season, and Tagovailoa was diagnosed with another concussion when he was a college player at Alabama.

Dolphins coach Mike McDaniel said Tagovailoa would get “proper procedural evaluation” and “appropriate care” on Friday.

“The furthest thing from my mind is, ‘What is the timeline?’ We just need to evaluate and just worry about my teammate, like the rest of the guys are,” McDaniel said. “We’ll get more information tomorrow and take it day by day from here.”

Some players saw Tagovailoa in the locker room after the game and said they were encouraged. Tagovailoa spoke with some players and then went home after the game, McDaniel said.

“I have a lot of love for Tua, built a great relationship with him,” said quarterback Skylar Thompson, who replaced Tagovailoa after the injury. “You care about the person more than the player and everybody in the organization would say the same thing. Just really praying for Tua and hopefully everything will come out all right.”

Tagovailoa signed a four-year, $212 million extension before this season — a deal that makes him one of the highest-paid players in the NFL — and was the NFL’s leading passer in Week 1 this season. Tagovailoa left with the Dolphins trailing 31-10, and that was the final score.

“If you know Tua outside of football, you can’t help but feel for him,” Bills quarterback Josh Allen said on Amazon following the game. “He’s a great football player but he’s an even greater human being. He’s one of the best humans on the planet. I’ve got a lot of love for him and I’m just praying for him and his family, hoping everything’s OK. But it’s tough, man. This game of football that we play, it’s got its highs and it’s got its lows — and this is one of the lows.”

Tagovailoa’s college years and first three NFL seasons were marred by injury, though he positioned himself for a big pay bump with an injury-free and productive 2023 as he led the Dolphins into the playoffs. He threw for 29 touchdowns and a league-best 4,624 yards last year.

When, or if, he can come back this season is anyone’s guess. Tagovailoa said in April 2023 that the concussions he had in the 2022 season left him contemplating his playing future. “I think I considered it for a time,” he said then, when asked if he considered stepping away from the game to protect himself.

McDaniel said it’s not his place to say if Tagovailoa should return to football. “He’ll be evaluated and we’ll have conversations and progress as appropriate,” McDaniel said.

Tagovailoa was hurt Thursday on a fourth-down keeper with about 4:30 left in the third. He went straight ahead into Hamlin and did not slide, leading with his right shoulder instead.

Hamlin was the player who suffered a cardiac arrest after making a tackle during a Monday night game in January 2023 at Cincinnati, causing the NFL to suspend a pivotal game that quickly lost significance in the aftermath of a scary scene that unfolded in front of a national television audience.

Tagovailoa wound up on his back, both his hands in the air and Bills players immediately pointed at him as if to suggest there was an injury. Dolphins center Aaron Brewer quickly did the same, waving to the sideline.

Tagovailoa appeared to be making a fist with his right hand as he lay on the ground. It was movement consistent with something that is referred to as the “fencing response,” which can be common after a traumatic brain injury.

Tagovailoa eventually got to his feet. McDaniel grabbed the side of his quarterback’s head and gave him a kiss on the cheek as Tagovailoa departed. Thompson came into the game to take Tagovailoa’s spot.

“I love Tua on and off the football field,” Bills edge Von Miller said. “I’m a huge fan of him. I can empathize and sympathize with him because I’ve been there. I wish him the best.”

Tagovailoa’s history with concussions — and how he has since worked to avoid them — is a huge part of the story of his career, and now comes to the forefront once again.

He had at least two concussions during the 2022 season. He was hurt in a Week 3 game against Buffalo and cleared concussion protocol, though he appeared disoriented on that play but returned to the game.

The NFL later changed its concussion protocol to mandate that if a player shows possible concussion symptoms — including a lack of balance or stability — he must sit out the rest of the game.

Less than a week later, in a Thursday night game at Cincinnati, Tagovailoa was concussed on a scary hit that briefly knocked him unconscious and led to him being taken off the field on a stretcher.

His second known concussion of that season came in a December game against Green Bay, and he didn’t play for the rest of the 2022 season. After that, Tagovailoa began studying ways where he may be able to fall more safely and protect himself against further injury — including studying jiu-jitsu.

“I’m not worried about anything that’s out of my hands,” McDaniel said. “I’m just worried about the human being.”

___

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Too much? Many Americans feel the need to limit their political news, AP-NORC/USAFacts poll finds

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NEW YORK (AP) — When her husband turns on the television to hear news about the upcoming presidential election, that’s often a signal for Lori Johnson Malveaux to leave the room.

It can get to be too much. Often, she’ll go to a TV in another room to watch a movie on the Hallmark Channel or BET. She craves something comforting and entertaining. And in that, she has company.

While about half of Americans say they are following political news “extremely” or “very” closely, about 6 in 10 say they need to limit how much information they consume about the government and politics to avoid feeling overloaded or fatigued, according to a new survey from the Associated Press-NORC Center for Public Affairs Research and USAFacts.

Make no mistake: Malveaux plans to vote. She always does. “I just get to the point where I don’t want to hear the rhetoric,” she said.

The 54-year-old Democrat said she’s most bothered when she hears people on the news telling her that something she saw with her own eyes — like the Jan. 6, 2021, attack on the U.S. Capitol — didn’t really happen.

“I feel like I’m being gaslit. That’s the way to put it,” she said.

Sometimes it feels like ‘a bombardment’

Caleb Pack, 23, a Republican from Ardmore, Oklahoma, who works in IT, tries to keep informed through the news feeds on his phone, which is stocked with a variety of sources, including CNN, Fox News, The Wall Street Journal and The Associated Press.

Yet sometimes, Pack says, it seems like a bombardment.

“It’s good to know what’s going on, but both sides are pulling a little bit extreme,” he said. “It just feels like it’s a conversation piece everywhere, and it’s hard to escape it.”

Media fatigue isn’t a new phenomenon. A Pew Research Center survey conducted in late 2019 found roughly two in three Americans felt worn out by the amount of news there is, about the same as in a poll taken in early 2018. During the 2016 presidential campaign, about 6 in 10 people felt overloaded by campaign news.

But it can be particularly acute with news related to politics. The AP-NORC/USAFacts poll found that half of Americans feel a need to limit their consumption of information related to crime or overseas conflicts, while only about 4 in 10 are limiting news about the economy and jobs.

It’s easy to understand, with television outlets like CNN, Fox News Channel and MSNBC full of political talk and a wide array of political news online, sometimes complicated by disinformation.

“There’s a glut of information,” said Richard Coffin, director of research and advocacy for USAFacts, “and people are having a hard time figuring out what is true or not.”

Women are more likely to feel they need to limit media

In the AP-NORC poll, about 6 in 10 men said they follow news about elections and politics at least “very” closely, compared to about half of women. For all types of news, not just politics, women are more likely than men to report the need to limit their media consumption, the survey found.

White adults are also more likely than Black or Hispanic adults to say they need to limit media consumption on politics, the poll found.

Kaleb Aravzo, 19, a Democrat, gets a baseline of news by listening to National Public Radio in the morning at home in Logan, Utah. Too much politics, particularly when he’s on social media sites like TikTok and Instagram, can trigger anxiety and depression.

“If it pops up on my page when I’m on social media,” he said, “I’ll just scroll past it.”

___

Sanders reported from Washington. David Bauder writes about media for the AP. Follow him at http://x.com/dbauder.

The AP poll of 1,019 adults was conducted July 29-August 8, 2024, using a sample drawn from NORC’s probability-based AmeriSpeak Panel, which is designed to be representative of the U.S. population. The margin of sampling error for all respondents is plus or minus 4.0 percentage points.

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