Alberta cannot control the international price of oil, but we can shape our response to this market volatility.

Budget 2016, The Alberta Jobs Plan, has 4 key pillars:

The plan finds savings and curbs costs, while protecting the public services that families count on.

Supporting families and communities

Child and family benefits

To help families during tough economic times, Budget 2016 includes:

  • Alberta Child Benefit: $147 million in 2016-17 and $196 million per year beginning in 2017-18 to provide up to $2,750 yearly for Alberta’s most vulnerable families.

Together, these programs will support 380,000 children in 199,000 families across the province.

Income support

  • $480 million in 2016-17 for programs to help eligible Albertans cover basic costs of living and find or maintain jobs
  • $206 million for related adult and child health benefit programs.

Apprenticeship and training

$25 million in funding will be allocated to support apprenticeship and training. This includes:

  • $15 million to support apprenticeship-focused training opportunities
  • $10 million to provide workforce training opportunities

Stable public services

Budget 2016 also keeps the government’s commitment to provide stable funding for key public services. While some spending commitments included in last year’s budget will be deferred, Budget 2016 maintains:

  • stable funding for health care, including mental health and midwifery services
  • stable funding for education, including fully funding enrolment growth
  • stable funding for post-secondary education, including the post-secondary tuition freeze
  • stable funding for social services, including Family and Community Support Services and women’s shelters

Carbon rebates

To help households adjust to the new carbon price outlined in the Climate Leadership plan, the government will implement carbon rebates, starting in 2017:

  • Up to $200 for single adults, $300 for couples and $30 per child under 18 years of age (to a maximum of four) for lower- and middle-income Albertans in 2017.
  • Along with the price of carbon, rebates will increase to $300 for single adults, $450 for couples and $45 per child in 2018.
  • The rebate will offset the average cost of the carbon levy for lower- and middle-income Albertans, and will reach 6 in 10 households in the province.

View Carbon Rebates 

Investing in infrastructure

As part of Alberta’s Jobs Plan, Budget 2016 continues the investment in modern, efficient infrastructure introduced in Budget 2015 to help stimulate the economy and keep people working.

There is funding for new projects, including new schools and school modernizations, continuing care beds, and affordable housing and transportation infrastructure, such as twinning the Peace River bridge.

In total the Capital Plan supports $34.8 billion in infrastructure projects over the next five years, including:

  • $9 billion in municipal infrastructure support over five years, including $6.1 billion under the Municipal Sustainability Initiative
  • $6.2 billion for capital maintenance and renewal, including $759.5 million for hospitals and health-care facilities
  • $4.6 billion for roads and bridges
  • $3.5 billion for health facilities and equipment, including $1.2 billion for the new Calgary Cancer Centre and $500 million for future priority investments in health projects across the province
  • $3.5 billion for schools, including $2.9 billion to complete the 200 new and modernization projects previously announced and $500 million for future projects

There is also $2.2 billion allocated for green infrastructure under the Climate Leadership Plan.

Read the 2016-19 Capital Plan (0.4 MB)

Diversifying our energy industry and our energy markets

Government is committed to building a more diversified economy that creates jobs for Albertans.

Petrochemical Diversification Program

In addition, the Petrochemical Diversification Program (PDP) will encourage investment in Alberta’s petrochemical industry and add value to our energy products. The PDP includes up to $500 million in royalty credits for petrochemical projects, specifically methane and propane upgrading facilities.

Diversified energy economy

Budget 2016 includes the Climate Leadership Plan (CLP), an economy-wide strategy for reducing greenhouse gas emissions. The plan will erase any doubt about Alberta’s environmental record, and help us build the pipelines we need to safely and securely get our energy products to new markets.

The CLP imposes a price on carbon emissions, implemented through a carbon levy that will act as the key tool to pay for a greener, more diversified economy.

Over the next 5 years the carbon levy is projected to collect $9.6 billion, which will be reinvested into Alberta’s economy.

$6.2 billion will be spent on diversification of our energy economy and creating jobs, including:

  • $3.4 billion for large scale renewable energy, bioenergy and technology
  • $2.2 billion for green infrastructure like transit
  • $645 million for Energy Efficiency Alberta, a new provincial agency that will support increasing energy efficiency for homes and businesses

View Carbon Reinvestments 

Supporting Alberta business

Budget 2016 will reduce Alberta’s small business corporate income tax rate by one third, from 3% to 2% as of January 1, 2017.

Budget 2016 also includes a $250 million package to support Alberta businesses, our province’s job creators. Over 2 years, new programs in Alberta Economic Development and Trade will provide:

  • $190 million to support job creators, including:
    • $90 million for the Alberta Investor Tax Credit to encourage investment in small and medium-sized businesses in non-traditional sectors
    • $75 million for the Capital Investment Tax Credit that will encourage businesses to invest in machinery, equipment and buildings to grow their business and create jobs
    • $25 million in new funding to be invested through the Alberta Enterprise Corporation to spur innovation, growth and employment in areas such as clean technology
  • $35 million to attract and support new businesses and pursue regional economic development initiatives
  • $25 million for new apprenticeship and training opportunities

The Alberta Jobs Plan includes a number of new and existing initiatives to support Alberta businesses.

View The Alberta Jobs Plan 

Controlling costs

Budget 2016 contains considered measures to control government costs while maintaining the health and education services Albertans count on. The budget implements a series of cost savings that help limit the rate of growth in government operating spending, without sacrificing certainty and stability for families.

Government is also consolidating or dissolving 26 agencies, boards and commissions (ABC), saving $33 million over 3 years. The next stage of the ABC review, including board and executive compensation, will begin shortly.

View Controlling costs