For maybe another 10 more years, tops. With the world adding > 1TW of solar every year and > 20 million EV's every year, the demand for oil is going to drop. Alberta oilsands oil has the most expensive production costs of any major oil production area, which means they're the marginal producer, the first to shut down. Saudi Arabia with their cheap light oil is going to be making money on oil for at least 50 years, but Alberta will be lucky to get 10 more.
> Alberta oilsands oil has the most expensive production costs of any major oil production area, which means they're the marginal producer, the first to shut down
Admittedly they are benefiting mostly from American refining tech in this sense. They would have a tough time negotiating advantageous trade terms on their own and not many refineries can handle it, meaning they are mostly dependent on pipelines to America to make their oil saleable.
Alberta's solar energy might make BC rich. The price of electricity while the sun is shining is very low. The combination of Alberta solar during the daytime and BC hydro at night is valuable, but it's the hydro that'll get the vast bulk of the dollars.
And Alberta is quite far from big electricity markets. It's far cheaper to put overbuild solar in places with poor sunshine than it is to build a HVDC line.
Plus Alberta will have to compete with Arizona and neighboring states, which have even more sunshine than Alberta does.
Alberta/Canada exports oil which earns it forex. Which allows it to buy stuff from other countries. Exporting solar electricity to earn forex will earn next to nothing.
It's not hard to look this up. It's not just fewer hours per day, latitude matters a lot. If you look at yearly totals[1] Alberta looks better than BC but not better than any other neighbors to the South or East. All its neighbors also have plenty of space. Plus, total energy consumption (electricity plus gas) is probably highest in winter when solar input is lowest. I think it's hard to argue Alberta will become an exporter of solar-derived power.
The US is just a small fraction of oil use. There world will be consuming oil for many decades. Some by industries with hard to replace uses (plastic, planes etc), and some by backwards countries (US, Russia). But it'll just be a small fraction, so will be supplied by the low cost producers like Saudi Arabia. High cost producers like Alberta will be shut out.
Gas car sales peaked in 2018 globally. EVs are already >20% of new car sales worldwide, and the US is a joke when it comes to EV sales compared to Europe or China.
They've been saying it "will be replaced" for decades. I'm saying it "is being replaced". Big difference. 1 TW of solar and 20% of car sales are massive numbers we've never seen before.
> Global oil demand is projected to increase in 2025 compared to 2024, but the growth rate is expected to slow down. The International Energy Agency (IEA) anticipates a decrease in global oil demand growth for the remainder of 2025, but expects demand to reach 104 million barrels per day (bpd) in 2025, a notable increase from 2024.
Perhaps you meant the pace of growth is slowing this year. But that has a lot to do with the macro economic situation, with central banks around the world cutting rates as growth slows (and some countries enter recession.) The global economy is slowing, when it rebounds again, so will growth in oil demand.
All this means is that the average income of citizens in Alberta is dramatically higher than other provinces and so Alberta pays more in the federal taxes that are applied uniformly to everyone.
I'm sure the other provinces also wish they had such high paying jobs and contributed more in taxes!
Yeah, this whole "Alberta gives Quebec money" complaint is in fact just how federal income, in the form of income tax, is distributed and is like getting upset that your provincial taxes are paying for something in Red Deer when you live in Calgary.
