VANCOUVER, B.C. — Following the Finance Minister’s admission that B.C.’s natural gas royalties are $531 million less than forecasted, and reports that the new Oil and Gas Royalty Framework will bring in only about a third of the royalties the BC NDP promised, the BC Greens are calling to immediately halt the Framework’s implementation.
“The new Oil and Gas Royalty Framework is based on projections that the government has since admitted were grossly inaccurate. I have asked the Auditor-General to investigate. At a minimum, the BC NDP must re-do their math and explain how they intend to change the provincial royalty system,” said Rob Botterell, BC Greens Finance Critic and MLA for Saanich North and the Islands.
“The new Framework is a terrible deal for British Columbians — the BC NDP promised us 50% of profits as royalties, the BC Liberals got us 19%, and now it’s reported we’ll get 14% at the most.”
Under a 50% royalty rate, BC’s revenue for 2027/28 should be $4.086 billion. Instead, Monday’s Quarterly Fiscal Report projected $1.144 billion — a gap of nearly $3 billion.
“If the new Oil and Gas Royalty Framework is implemented on 1 January 2027, British Columbians will lose out on nearly $3 billion that could be spent on social services we desperately need. For $3 billion we could restore all of the funding that the BC NDP cut from the Community Housing Fund in 2026, and still have $1.5 billion left for healthcare, transit, education, and affordability measures,” said Jeremy Valeriote, BC Greens MLA for West Vancouver – Sea to Sky.
The Province has been tight-lipped about the selection process and details of the new Framework, but the BC Greens understand that Cabinet had three options, and have selected the one that is best for industry — and worst for British Columbians. We have reason to believe that this includes deeply unfair provisions, including a generous guaranteed return on certain investments, a reduced royalty rate until companies earn 150% of their capital costs, and uncapped deductions for operating costs.
“The gap between what we were promised and what the BC NDP government has delivered for our resources is deeply troubling. The Province must stop the secrecy, and be transparent with British Columbians about their planned fire sale of our natural resources,” said Botterell.
“The sales pitch for resource extraction has always been that we trade climate stability for financial wealth. Instead, we’re contributing to the climate crisis more than ever before, and not even getting a fair return,” said BC Greens Leader Emily Lowan. “British Columbians deserve a better deal, and they need to be included directly in the decision making.”
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Media Contact
Amy Attas
Communications Officer
BC Green Caucus
+1 (250) 882 6187 | amy.attas@leg.bc.ca