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Daily Maverick
4 days ago
- Business
- Daily Maverick
Nelson Mandela Bay seesaws on rates as council battles to pass 2025/26 budget
The Nelson Mandela Bay Council will, again, try to pass the budget on Wednesday and while smaller increases in tariffs for water and sanitation were promised by mayor Babalwa Lobishe last Thursday, it wasn't included in the draft budget. However, by 5pm on Tuesday, a circular indicating that there were conditions to the reduced water and sanitation rates arrived with councillors. The Nelson Mandela Bay metro's council will again try on Wednesday to approve the budget for the 2025/26 financial year. Last Thursday, during the council meeting, Mayor Babalwa Lobishe promised a 0.5% reduction in the proposed increases for water and sewage. But in the draft budget received by councillors on Tuesday, it looked like the increase was again set at 5.5% and not at the promised 5%. But last Thursday night, a circular was signed by Nosipho Xhego, the executive director of corporate services in the metro, stating that the proposed reduced increase can only be put into operation if councillors agreed to scrap the city's scarce skills allowance and also agree to an overtime policy based on regulated thresholds. The circular states that the municipality currently does not have an overtime policy, and also pays more than the regulated thresholds, and implementing these could save R22-million in the current financial year. Other increases remain unchanged, including an increase in property rates by 5%. The proposed increase in electricity prices stands at 12.8%, which is 0.6% higher than the Eskom price. The electricity department is running at a loss of more than a billion and is spending more money on buying electricity than what it makes selling it – because of theft and meter tampering. Allowing this increase, however, is not a decision that can be taken by council though, as it falls within the mandate of the National Energy Regulator. In 2022, the Nelson Mandela Bay Business Chamber successfully applied for an order from the Eastern Cape Division of the High Court in Gqeberha, indicating that Nersa must link price increases to a cost of supply and also was not allowed to pass on municipal inefficiencies to the consumer. Werner Senekal from the Democratic Alliance, the official opposition in the metro, said the budget's projections were off and it was based on a 76% collection rate while the average collection rate is 72%. He added that the Integrated Development Plan, setting out ward-based priorities and the budget, also was not in lockstep. By law, the budget must be passed by 1 July, otherwise the metro's council can be dissolved. In the latest circular sent on Tuesday afternoon, officials admitted that there must be better planning and also mechanisms in place to include ward councillors in decision-making around ward budgets. The money allocated to ward budgets in the revised budget, in comparison to last week, has increased by just over R44-million and, in comparison to the first draft budget in April, has increased by R452-million. Ward 1 and 2 in the metro, both in need of critical electrical infrastructure work, both received R4.8-million and R2-million more in their capital budgets. Ward 16, which includes a large section of the metro's manufacturing industry, received a R14-million boost in the new budget.
Globe and Mail
27-05-2025
- Business
- Globe and Mail
Alberta oil levy too low to cover orphan well costs, report claims
A new report is warning the annual levy charged to Alberta oil companies to fund the cleanup of orphaned oil and gas wells remains too low to keep up with the rate of surrendering. The report, written by former University of Calgary Public Interest Law Clinic lawyer Drew Yewchuk, says this year's levy rate combined with low rates in previous years is leading to an estimated funding shortfall of $1.2-billion. The levy funds the Orphan Well Association, a non-profit entity overseen by industry and regulator officials and tasked with reclaiming wells that are orphaned when oil and gas companies go bankrupt. The association says it currently has more than 3,700 wells on its books that need to be decommissioned and reclaimed, which could cost more than $860-million. Yewchuk's report says the $144-million in levies the Alberta Energy Regulator recently approved to be collected this fiscal year continues the trend of underfunding for the Orphan Well Association. Since the association will also need to repay more than $300-million in federal and provincial government loans over the next 10 years, Yewchuk says Alberta's orphan well situation will only get further out of hand. A spokesperson for the energy regulator says it hasn't seen the report and was unable to comment on it.
Yahoo
26-05-2025
- Business
- Yahoo
Alberta Energy Regulator penalizes Tamarack Valley Energy Ltd. for contraventions
CALGARY, AB, May 26, 2025 (GLOBE NEWSWIRE) -- The Alberta Energy Regulator (AER) has issued an administrative penalty to Tamarack Valley Energy Ltd. for contravening the Oil and Gas Conservation Rules. A copy of the decision is on the AER's Compliance Dashboard. Following an investigation by the AER, it was determined that between May 11, 2022, and August 8, 2022, at Tamarack's facilities near Jarvie, Alta., Tamarack contravened section 12.030(2) of the Oil and Gas Conservation Rules. The company failed to keep original recordings of production measurements, which are essential to verify production data and for accurate volumetric reporting. Consequently, a $25 500 administrative penalty was imposed on Tamarack. An administrative penalty is one of many compliance and enforcement tools the AER can use when companies do not comply with the regulatory requirements. For more information on the AER's investigation enforcement processes, please see the Investigations webpage on the Alberta Energy Regulator The AER provides for the safe, efficient, orderly, and environmentally responsible development of energy and mineral resources in Alberta through our regulatory activities. For more information visit Contact Email: media@ | Media line: 1-855-474-6356 Connect with AER X | LinkedIn| Facebook CONTACT: AER Media Alberta Energy Regulator 1-855-297-474-6356 media@ in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
ABC News
26-05-2025
- Business
- ABC News
How will power price hikes affect your bills?
Australia's energy regulators have confirmed an increase of up to 9.7 per cent in electricity prices.
Epoch Times
20-05-2025
- Business
- Epoch Times
Alberta Premier Smith Asks Federal Environment Minister to ‘Disavow' Guilbeault's Comments on Pipelines
Alberta Premier Danielle Smith reacted to federal cabinet minister Steven Guilbeault's comments about Canada not needing new pipelines, a day after Prime Minister Mark Carney said they could be built if there is a consensus. Before the first meeting of the new federal cabinet on May 14, Guilbeault said there is no reason to build new pipelines if the government-owned Trans Mountain pipeline is only operating at 40 percent capacity. He added global demand for oil is estimated to peak by 2028–2029. Later that day, Smith issued a Smith said these types of comments by Guilbeault were an example of how he had been an obstacle to Alberta during his tenure as environment minister. Guilbeault was shuffled out of the role by Carney in March and put in charge of the Canadian heritage portfolio. 'We ask for the new environment minister [Julie Dabrusin] to disavow his comments and commit to working with Alberta to build new pipelines to access new markets,' Smith said. Canada Energy Regulator Related Stories 5/14/2025 5/14/2025 The latest spat between Smith and Guilbeault comes after a federal election campaign heavily focused on strengthening Canada's economy in the face of U.S. tariffs. Carney has pledged to speed up the approval of major projects, and said Canada needed to develop more projects for 'clean and conventional energy.' Canada's most valuable export is crude oil and most of the production flows south to the United States. There is also no pipeline connecting Alberta and Eastern provinces, which are dependent on U.S. operators. Carney made his most favourable Asked by reporters about the matter before the cabinet meeting, Guilbeault pushed back. 'People should remember that we bought a pipeline, Trans Mountain, and that is only used right now at about 40 percent capacity,' he said. 'So I think before we start talking about building an entire new pipeline, maybe we should maximize the use of existing infrastructure.' Guilbeault also said there are no investors to build an East-West pipeline. Conservative Leader Pierre Poilievre said during the election campaign there is no investor because of federal laws like the Impact Assessment Act (formerly known as Bill C-69) that make it difficult to build major infrastructure. Carney told CTV News he's open to making changes to the Impact Assessment Act, to help move projects ahead. He has however insisted that his government will maintain the legislation, despite objection by Premier Smith. Guilbeault wasn't as committed to making changes to the law, saying 'these are important conversations that we will need to have in the coming weeks.' Taking over the environment portfolio in Carney's new cabinet is Toronto MP Julie Dabrusin. She had no immediate public comment and The Epoch Times reached out to her department but didn't immediately hear back. Dabrusin had served as a parliamentary secretary to Guilbeault in previous years. Guilbeault noted her work in fighting 'big polluters' at his side in a Smith's reaction to Guilbeault came a few days after she Smith said the carbon price for businesses has become 'too high to bear' and is negatively impacting competitiveness at a time of heightened economic uncertainty. Environment Canada reacted by saying that when a province makes a significant change to its system, the federal government has to reassess the 'stringency of that system against benchmark standards.' Alberta's premier had sparred with Carney's predecessor, Justin Trudeau, over policies impacting the province, and she 'Albertans are proud Canadians that want this nation to be strong, prosperous, and united, but we will no longer tolerate having our industries threatened and our resources landlocked by Ottawa,' she said. Smith Carney responded to Smith's post by saying the two leaders are 'focused on bringing down the cost of living and increasing opportunities in the energy sector for hard working Albertans.' Carolina Avendano contributed to this report.
