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Single-use plastic ban could impact Alberta's ability to attract investment, industry group warns – Sherwood Park News

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The end of next year will be the end of the road for plastic straws, stir sticks, carry-out bags, cutlery, dishes and takeout containers and six-pack rings for cans and bottles. GETTY IMAGES

The head of the Chemistry Industry Association of Canada (CIAC) says Ottawa’s decision to ban six single-use plastic items could impact Alberta’s ability to attract investment — a key part of the province’s economic recovery plan.

On Wednesday, the federal government announced plastic straws, stir sticks, carry-out bags, cutlery, Styrofoam dishes and takeout containers and six-pack rings for cans and bottles will be banned by the end of 2021 if new regulatory changes are approved as planned.

The announcement came the day after the Alberta government unveiled its natural gas strategy, which includes seeking investment in petrochemicals — used to make plastic — and making the province “the western North America centre of excellence for plastics recycling by 2030.”

Bob Masterson, president and CEO of the CIAC, said Alberta is doing all the right things to get the global industry to invest in the province but the federal decision doesn’t help build Alberta’s case.

“I can tell you we’ve heard from global companies and the premier of Alberta has heard from global companies, that this will make them think carefully about their plans, any plans, they might have to invest Alberta. So it’s a pretty real concern,” Masterson said Wednesday.

The province has said that attracting investment will be key to recovering from the economic crisis born from the COVID-19 pandemic and the oil price crash, which has put it on track for a deficit of $24.2 billion.

In July, the UCP accelerated its promised reduction to the corporate tax rate to eight per cent from 10 per cent. It has also earmarked $75 million for an “investment and growth strategy” and created a new Crown corporation dubbed Invest Alberta, all in the name of attracting investment to the province.Masterson said that while the items to be banned account for less than one per cent of the demand for plastic, there are small and medium-sized companies in Canada that only create those products and no analysis has been done on how this change will impact them.“The big chemical business in Alberta will survive this, they can transition. But if you’re a small manufacturer, and this is what you’ve done, and all your equipment is based on producing these materials, you’re in for a world of pain,” he said.


Disposable cutlery for sale at a Real Canadian Superstore in Calgary are seen on Wednesday, Oct. 7. Canada is banning plastic bags, straws, cutlery and other single-use items by the end of 2021. Gavin Young/Postmedia

At Calgary-based resin manufacturer Nova Chemicals Corp., director of sustainability Sarah Marshall said the ban will have a very small impact on its business and while the company is supportive of the federal government’s overall plan for zero plastic waste, it believes there are better ways to achieve that.

“The government’s talking, for example, about harmonizing extended producer responsibility across Canada,” she said.“And what that means is that the industry that puts plastic products on the market also takes responsibility for those plastic products after they are used. And then that way, what we see across different geographies, like British Columbia, like the EU, is you can get much higher collection and recycling rates for plastics.”Marshall said as governments work to increase collection, recycling rates and scale, there are opportunities to invest in petrochemicals.

“Those are the big opportunities where I think when you look at that from an investment perspective, there’s still lots of strengths and opportunity in petrochemicals,” she said.

At a press conference Wednesday, Alberta Energy Minster Sonya Savage accused the federal government of “proceeding in a direction that suits their agenda and their purpose.”

She said part of Alberta’s economic recovery plan is to bring in more petrochemical activity, including the manufacturing of plastics.

“So we would just say that is Alberta’s jurisdiction. It’s a key part of our economic recovery strategy,” she said.

“So we’ll be following that announcement from the federal government and each and every announcement to ensure that it doesn’t infringe on our constitutional jurisdiction and to ensure that it doesn’t infringe on our ability to recover our economy and doesn’t infringe on our ability to diversify our economy.”

Federal Environment Minister Jonathan Wilkinson said he thinks Alberta’s plan for recycling dovetails nicely with Ottawa’s plastics plan, which he stressed is not zero plastics, but rather zero-plastic waste.

He stressed repeatedly bans are only going to be applied to a small number of products which are really hard to recycle.

“Plastics are very useful and we all use them,” he said. “We just need to make sure that we’re not throwing them in the landfill or dumping them in the ocean. We need to ensure that they stay in the economy and that is exactly what this plan is aiming to do.”

To allow for the ban, the federal government is listing plastics as toxic under Schedule 1 of the Canadian Environmental Protection Act (CEPA).

Masterson said the association is concerned about the message that label would send but added Wilkinson has expressed willingness to consider renaming it.

– With files from The Canadian Press

ajoannou@postmedia.com

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Tesla shares soar more than 14% as Trump win is seen boosting Elon Musk’s electric vehicle company

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NEW YORK (AP) — Shares of Tesla soared Wednesday as investors bet that the electric vehicle maker and its CEO Elon Musk will benefit from Donald Trump’s return to the White House.

Tesla stands to make significant gains under a Trump administration with the threat of diminished subsidies for alternative energy and electric vehicles doing the most harm to smaller competitors. Trump’s plans for extensive tariffs on Chinese imports make it less likely that Chinese EVs will be sold in bulk in the U.S. anytime soon.

“Tesla has the scale and scope that is unmatched,” said Wedbush analyst Dan Ives, in a note to investors. “This dynamic could give Musk and Tesla a clear competitive advantage in a non-EV subsidy environment, coupled by likely higher China tariffs that would continue to push away cheaper Chinese EV players.”

Tesla shares jumped 14.8% Wednesday while shares of rival electric vehicle makers tumbled. Nio, based in Shanghai, fell 5.3%. Shares of electric truck maker Rivian dropped 8.3% and Lucid Group fell 5.3%.

Tesla dominates sales of electric vehicles in the U.S, with 48.9% in market share through the middle of 2024, according to the U.S. Energy Information Administration.

Subsidies for clean energy are part of the Inflation Reduction Act, signed into law by President Joe Biden in 2022. It included tax credits for manufacturing, along with tax credits for consumers of electric vehicles.

Musk was one of Trump’s biggest donors, spending at least $119 million mobilizing Trump’s supporters to back the Republican nominee. He also pledged to give away $1 million a day to voters signing a petition for his political action committee.

In some ways, it has been a rocky year for Tesla, with sales and profit declining through the first half of the year. Profit did rise 17.3% in the third quarter.

The U.S. opened an investigation into the company’s “Full Self-Driving” system after reports of crashes in low-visibility conditions, including one that killed a pedestrian. The investigation covers roughly 2.4 million Teslas from the 2016 through 2024 model years.

And investors sent company shares tumbling last month after Tesla unveiled its long-awaited robotaxi at a Hollywood studio Thursday night, seeing not much progress at Tesla on autonomous vehicles while other companies have been making notable progress.

Tesla began selling the software, which is called “Full Self-Driving,” nine years ago. But there are doubts about its reliability.

The stock is now showing a 16.1% gain for the year after rising the past two days.

The Canadian Press. All rights reserved.

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S&P/TSX composite up more than 100 points, U.S. stock markets mixed

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TORONTO – Canada’s main stock index was up more than 100 points in late-morning trading, helped by strength in base metal and utility stocks, while U.S. stock markets were mixed.

The S&P/TSX composite index was up 103.40 points at 24,542.48.

In New York, the Dow Jones industrial average was up 192.31 points at 42,932.73. The S&P 500 index was up 7.14 points at 5,822.40, while the Nasdaq composite was down 9.03 points at 18,306.56.

The Canadian dollar traded for 72.61 cents US compared with 72.44 cents US on Tuesday.

The November crude oil contract was down 71 cents at US$69.87 per barrel and the November natural gas contract was down eight cents at US$2.42 per mmBTU.

The December gold contract was up US$7.20 at US$2,686.10 an ounce and the December copper contract was up a penny at US$4.35 a pound.

This report by The Canadian Press was first published Oct. 16, 2024.

Companies in this story: (TSX:GSPTSE, TSX:CADUSD)

The Canadian Press. All rights reserved.

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S&P/TSX up more than 200 points, U.S. markets also higher

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TORONTO – Canada’s main stock index was up more than 200 points in late-morning trading, while U.S. stock markets were also headed higher.

The S&P/TSX composite index was up 205.86 points at 24,508.12.

In New York, the Dow Jones industrial average was up 336.62 points at 42,790.74. The S&P 500 index was up 34.19 points at 5,814.24, while the Nasdaq composite was up 60.27 points at 18.342.32.

The Canadian dollar traded for 72.61 cents US compared with 72.71 cents US on Thursday.

The November crude oil contract was down 15 cents at US$75.70 per barrel and the November natural gas contract was down two cents at US$2.65 per mmBTU.

The December gold contract was down US$29.60 at US$2,668.90 an ounce and the December copper contract was up four cents at US$4.47 a pound.

This report by The Canadian Press was first published Oct. 11, 2024.

Companies in this story: (TSX:GSPTSE, TSX:CADUSD)

The Canadian Press. All rights reserved.

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