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

Just Posted

Chilliwack to survey child-care needs of families and caregivers

With provincial funding help, an inventory of child care spaces will soon be underway in Chilliwack

Discover what they unearthed downtown at Heritage Chilliwack event

The Algra Brothers’ art director will be guest speaker at September 5 event in Chilliwack

Autism counselling centre could be coming to Agassiz

A rezoning application for a home on Pioneer Avenue could pave the way for the education centre

Hope’s only public wheelchair-accessible vehicle stolen

More than 300 clients left in lurch after volunteer group discovers van stolen

Bands on the Beach returns to Harrison for long weekend

The ninth annual two-day concert will be taking place this September

Border agents carry out raid at Hastings Racecourse

Dozens were spoken to, witnesses say

B.C. seizes 1.5M grams contraband tobacco, down from 5.75M grams the year prior

The 2019-2020 seizures were a sharp drop compared to the 2018-2019 year,

B.C. manhunt suspects left cellphone video before they died: family

Family member says Kam McLeod, Bryer Schmegelsky recorded final wishes

B.C. Speaker tight-lipped about aide’s legislature security tour

B.C. Liberals question Alan Mullen’s drive across Canada, U.S.

B.C. mom mourns 14-year-old son whose fatal overdose was posted online

Chantell Griffiths misses the son she hadn’t seen much in recent years

B.C. sets rules for ride hailing, same minimum fee as taxis

Larger operating areas seen as threat by cab companies

Okanagan bus driver assaulted for asking patron not to smoke

59-year-old in hospital with non-life threatening injuries

Most Read