Article Sidebar Share CloseShare this Story: Varcoe: ‘It will hurt,’ Dinning says, as UCP unveils its own budget cuts Copy Link Email Facebook Twitter Reddit Pinterest LinkedIn TumblrArticle contentTravis Toews will have his hands full with the UCP’s first provincial budget and the pressure has only begun to build.Not only must Alberta’s rookie finance minister deliver a credible financial plan Thursday in the midst of an economic slowdown, he also has to set the province on a path to balancing its books within four short years as the province’s largest industry confronts serious problems.He has public sector workers, credit rating agencies, business leaders and millions of Albertans wondering exactly how he can manage the trick without making the current economic situation worse.The last Alberta finance minister who walked down a similar deficit cutting path says it won’t be easy.But it is necessary.Article content continued”It is going to pinch.”The underlying conditions are not exactly the same as they were more than 25 years ago.The issues facing Alberta’s energy sector today, with limited growth prospects and pipeline bottlenecks, are more profound and long lasting. Few are expecting a sudden rebound in oil or natural gas prices to save the day.These longer term trends will have significant ramifications for government revenues, including royalties.Not only has the royalty roller coaster stopped, “it has stopped at the bottom,” said University of Calgary economist Ron Kneebone.”This is a really pivotal budget. It is the time to recognize the world has changed, and the Alberta budget has to change with it,” Kneebone said..
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