00:02:05.120And while the Prime Minister spent the year on his cynical power grab, he has doubled
00:02:10.960the deficit and given Canada the worst grocery prices and housing costs in the G7.
00:02:18.620Today, Kearney suspended the federal fuel excise tax starting Monday until Labor Day. Let's listen.
00:02:25.060On the gas tax, did you get this idea from the Conservatives and will you continue to lean on the opposition for ideas now that you have a majority?
00:02:33.240Well, let me, no is the answer, the short answer to your first question.
00:02:40.740But to your second question, second part of your question, we're open to ideas from anyone.
00:02:47.280Certainly any deputies, ideas that could come from the Senate, above all ideas from Canadians, from stakeholders and others.
00:02:55.780That is what governing in a collaborative way means in governing for Canadians.
00:03:02.560Conservatives have been calling for a cut in gas taxes for months.
00:03:06.840It's expected the government will now use its parliamentary majority to stop investigations into suspected ethics violations.
00:03:13.680This post by Conservative MP Michael Cooper.
00:03:17.280Breaking last night, the Liberals blocked an ethics probe into Minister Champagne for directing billions of dollars to Aalto, where his partner is a VP.
00:03:29.520CPC is calling the Ethics Committee back today.
00:05:11.380oh 100 uh you know the this by-election the results yesterday has really put fire
00:05:18.260under the fence sitter uh this is exactly who's going to get motivated to vote uh for independence
00:05:24.420or uh you know it is we just start to realize more and more that the you know the federal
00:05:31.060government the liberal government is going to be in power for a long time and it does not look good
00:05:35.380for alberta um markarni is going to have to work on something to restore confidence within voters
00:05:41.380in alberta and i'm sure he will take some action of sort of some kind uh but albertans just do not
00:05:49.140trust what's happening the scene with their eyes the seat every time they go to the grocery store
00:05:54.260to fuel up uh and every time they try to get a job it's just not as strong economy as it should be
00:06:00.740for aubergence and a lot of people are sick and tired of it yeah now there's been a cut in the
00:06:06.260excise tax so he's sort of addressing the affordability issue finally the conservatives
00:06:12.700have been calling for this for months and here it is announced the day after the by-elections
00:06:17.540i thought i think the timing is a little weird isn't it wouldn't you announce beforehand in
00:06:24.600order to give voters incentive to vote for you instead he waits until a day after and the only
00:06:30.640reason i can think of is that he didn't want to anger the base the liberal base which favors you
00:06:37.360know high taxes on when it comes to fuel the only reason i can think of what about you yeah it's
00:06:43.760definitely a political stunt uh right he needed to after the election he needed to show some serious
00:06:50.000action uh and uh you know a reinforcement of the right decision this is what it's really about you
00:06:57.280You know, they're announcing a cut, a savings after the election, which gives a lot of voters reassurance.
00:07:04.020And this is really what this announcement was about.
00:07:07.200You know, removing the taxes our own governments put on us is not something to celebrate.
00:07:13.020We shouldn't have a lot of the taxes we're even talking about.
00:07:16.340He mentioned that they reduced the consumer carbon tax as well after huge political pressure.
00:07:24.120And let's remember, he increased industrial carbon tax and he campaigned on carbon tax and as a mode of competitive trade as well, which is absolutely the opposite of what's happening in the world.
00:07:38.460So we're, you know, we're tap dancing around something that we know is going to come back and it's going to come back harder.
00:07:46.540Yeah, it is interesting. I mean, Canada, of course, with its resources, is in a great position to fill the vacuum.
00:07:54.120As a result of what's going on in the Gulf, specifically the Strait of Hormuz, where the Americans have blockaded the Strait.
00:08:02.840And what's happened is, as you're aware, many of the oil tankers have gone to the United States empty because Trump has said, look, you want oil, we've got it.
00:08:20.100So all sorts of traffic is headed, has left the Gulf and headed for the United
00:08:25.520States and Texas and Mexico and all that area around the Gulf of America.
00:08:31.640And so we are kind of left out of this.
00:08:35.200I mean, we could be a major player here.
00:08:37.180Instead, nothing's really changed from our vantage point.
00:08:40.360We don't have the infrastructure really to increase by much exports
00:08:46.180to the countries that are desperate for energy, whether it's LNG or oil.
00:08:52.000And so it's kind of a shame, it seems like a lost opportunity for Canada, doesn't it?
00:08:57.420You know, every day is a lost opportunity.
00:08:59.940If you look at the time it took us to build the TMX expansion, uh, due to the
00:09:05.620coast to deliver just under a million barrels of oil, uh, to us is out of over
00:09:11.580five, seven million barrels of oil exports during the same period of time.
00:09:16.180um you know regardless our capacity to export oil is about to be maxed out in the next couple years
00:09:23.140so we need a pipeline getting starting to get built yesterday every day that we're waiting
00:09:28.100is going to cost us billions of dollars regardless even of the current market but what we know is
00:09:34.020that the world has a lot of demand for oil uh it's growing and the world wants canadian oil because
00:09:41.060it's safe from political uh aspects from wars and all that stuff uh so the fact that we're not
00:09:48.820delivering a product when there's so much demand for it it just makes absolutely no business sense
00:09:54.900at all it's the complete opposite of what we should be doing yeah absolutely and chances are
00:10:01.300the americans are selling our oil or at least alberta oil crude they're selling our oil and our lng
00:10:08.580right because they get it from us at a steep discount and they're selling it probably
00:10:16.020at the global price i mean you talk about a raw deal for for canada yeah yeah and yet there it is
00:10:25.860uh how do you see this playing out i mean oil prices are still hovering around 100 bucks
00:10:31.700um what are your contacts in the oil industry saying right now about where prices might be
00:10:38.980headed any any idea yeah well there is really two stories here right for alberta for canadian oil
00:10:47.060it's the the question is do we how do we invest in more oil production um and the hard part is
00:10:55.780all the government regulations the time it takes the new industrial tax the the carbon capture
00:11:02.660nonsense that we're talking about so the the alarming part is that there is not a lot of
00:11:08.100money moving to uh more oil production in uh in the western world in in the western can in
00:11:15.300particular there's some good developments on the eastern uh offshore stuff but it's very minimal
00:11:22.100So this is the issue that really is concerning for Canada.
00:11:26.320We're just not attracting the CapEx dollars that we used to, especially in the current scenario and current product and current product prices.
00:11:35.420Now, the overall long term, you know, there's been over a billion barrels taken off the market from the straight of Hormuz closure.
00:11:46.200Um, there is a lot of, a lot of countries in particular in Southeast Asia, they're dependent
00:11:54.020on that for majority of the oil and gas imports, uh, and there is some infrastructure damage
00:12:01.580as well, even including from Russia, uh, from a Ukrainian drone strikes.
00:12:06.920So there's a lot of infrastructures actually been hurt in the last, uh, I would say a couple
00:12:13.960and and that will have some effect the the thing is that there is uh quite a bit of production
00:12:20.280elsewhere like in venezuela is starting to ramp up again uh the us has you know brought on a ton
00:12:27.480a ton of exports um so so there is some relief the the the situation with n plus there's a lot of
00:12:37.240reserve have been released the situation that i don't think most people think about is uh we're
00:12:45.560okay with it right now because of what's been built up so far but if this except if this uh
00:12:52.760continues and if there is uh and if there is any more damage to any infrastructure
00:12:59.160it really to pain acceleration is going to go through the roof so it's not something that's
00:13:04.040going to build up slowly if it goes to the wrong side it's going to go from bad to worse really
00:13:09.160really quick because we're just running out of any other option so that is the really the big fear
00:13:16.520but of course uh alberta canada really benefits from the oil price regardless uh from a tax
00:13:23.160generation point of view a royalty generation point of view so for the government coffers
00:13:29.000this has been really good as well right now trade negotiations with the united states
00:13:34.680i guess they're going to be picking up steam heading into the summer as kuzma i guess reaches
00:13:40.760the end of the line and would be in a position to either be renewed or not do you have any word on
00:13:48.840what might happen i mean in the months ahead as canada and the united states sit down and try to
00:13:55.480hammer out an agreement which trump says they don't need and i mean i think he's right when
00:14:02.160he says we need it more than than they do but i think if we don't get a kuzma agreement a renewal
00:14:09.180of some kind i think that's going to really hurt us going forward what do you think oh a hundred
00:14:15.680percent the kuzma deal is our best trade document that we have uh you know it gives canada a huge
00:14:23.400access to the world's largest economy pretty much uh 98 tariff free it's a little more now but it's
00:14:30.840still the lowest tariff access in the world uh most of our exports go to the us the us did reduce
00:14:37.960their imports from canada last year uh unfortunately as they pivoted a wave to to other countries but
00:14:45.160But, you know, any increase in tariffs on Canada or any decrease in access to the market is going to be, you know, one of the biggest shocks to the Canadian economy.
00:14:59.900You know, our exports essentially benefited from increase in gold exports last year and the gold price.
00:15:06.760And that's one of the things that really saved Canada's trade outlook when you look at it.
00:15:13.020So any changes to the Kusma and any more, I guess, difficulty from Canada entering to the world's largest market, it's going to be extremely painful.
00:15:26.220You know, we've seen our manufacturing sector has dropped by over 40,000 jobs over the last 12 months.
00:15:33.080And that is alarming because we need our most productive industries this century to be firing at all cylinders for our economy to grow.
00:15:41.540We need our oil and gas, our resources industry to build.
00:15:45.760We need to actually manufacture and build things.
00:15:48.900We just can't keep bloating our public sector,
00:15:51.860which is right now over 25% of the employed Canadians in Canada,
00:16:38.220I'm not sure what else you can add to it.
00:16:41.160You know, it's hard to understand what bubble people live in.
00:16:44.560You know, if you're voting for the policies that brought so much crime to your streets and to your household that you have to hire private security for your neighborhood,
00:16:54.240and then you turn around and vote for the exact same people that brought you these policies and this cost, you know, it's just the complete definition of insanity.
00:17:04.020you know it's just it's it's absolutely mind-boggling what's going on into you know
00:17:11.280into voters heads in canada sometimes but it also should be a substantial wake-up call for the
00:17:18.640conservative party to really figure out what's going on and why their reach is just not resonating
00:17:24.880with the voters yeah i mean i'm sure they would talk about the record number of people who voted
00:17:31.700conservative last time around is 8.3 million. They had about 41% of the popular vote. And so
00:17:39.860that's really why I think Pierre Polyev was able to stick around as leader was because of those
00:17:45.960numbers. But, you know, when you have a collapse of the left, which like the far left in this
00:17:51.620country, like the NDP, then I think the liberals were beneficiaries of that, but they may not
00:17:56.820always be because the ndp under new leader avi lewis might be making a resurgence in which case
00:18:04.420a lot of those liberal votes will end up repatriated back from once they came yeah
00:18:09.220his policies are even scarier how do people find you online uh under my name kirk lubimov on x
00:18:19.460uh facebook page i just started one the same uh same name and uh on my substack blog and
00:18:25.940kirk lubimov as well kirk thank you so much for coming on the show we appreciate it i appreciate
00:18:31.460you if you enjoyed this show consider supporting great independent journalism by becoming a premier
00:18:37.620member of juno news go to junonews.com backslash straight up you can find the link below it helps
00:18:45.140us do what we do. Thank you so much. We'll see you next time.