Premier Redford, in TV speech, warns of looming $6B shortfall in energy revenues

EDMONTON – Alberta Premier Alison Redford is warning of tough fiscal times and multibillion-dollar shortfalls ahead due to falling prices for oilsands bitumen.

Redford, in an eight-minute television address, says the province expects to take in $1 billion less than expected this budget year and $6 billion less in the next.

The budget will be delivered March 7, and Redford says the plan is to hold the line on spending and make changes to some programs.

She says Alberta is getting hit by a double whammy: oil production in the United States is increasing and Alberta’s infrastructure is set up to send virtually all of its oil south of the border.

She says despite the tight finances, the plan is to still put money aside in the Heritage Savings Fund, and she says there will be no tax hikes or new levies.

She also says there will be a one-day summit next month of business and industry leaders and academics to look for solutions to improve Alberta’s bottom line.