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

Get local stories you won't find anywhere else right to your inbox.
Sign up here

Just Posted

Ponoka resident earns PhD in neuroscience

Carolyn Fleck- Prediger will continue work with patients with brain injury

PHOTOS: Pacific Equine Sport Winter Jumper Series

Held Jan. 18 at the Calnash Ag Event Centre

Bantam Broncs dish out annual awards

Story and photos of awards banquet held Jan. 16

Town trusts purchaser to complete stucco work on the former Kinsmen Centre

A short town council meeting Jan. 14 dealt with a number of… Continue reading

Burn ‘N’ Mahn Dueling Pianos Extreme show coming to Ponoka

Show will be held at the Ponoka Legion on Jan. 25

VIDEO: Trudeau insists Iran respect families’ wishes when it comes to burials

All 176 people on board the Ukraine International Airlines flight PS752 were killed

Canada prepares as WHO decides whether to declare global coronavirus emergency

The city of Wuhan, China, has shut down outbound flights and trains

Survey finds support among Canadians for broader assisted-dying law

The survey was conducted Jan. 17 to 21 among 1,552 Canadians eligible to vote

New nasal spray launched in Canada to combat hypoglycemic shock in diabetics

Baqsimi is a nasal spray contains three milligrams of glucagon

Canadian public health agencies ramping up preparations in response to new virus

Health officials have said there are no confirmed cases of the emerging coronavirus in Canada

‘Naughty boy’: Monty Python star Terry Jones dies at 77

The comedian has been suffering from a rare form of dementia

Alberta premier wants federal government to do more about opioid imports

Jason Kenney says Canada should find ways to cut down on drugs being smuggled into the country

Alberta Energy Regulator laying off staff, restructures, deals with budget cuts

Gordon Lambert, interim CEO, says the changes are part of a restructuring

Most Read