Saskatchewan Premier Brad Wall Comes Around To The Notion That Potash Royalties Are Far Too Low
This blog has published a number of posts over the last few years which identify the huge profits that are being purged out of Saskatchewan annually by the Potash industry:
-PotashCorp Starts To Come Clean On Massive Windfall Profits In Saskatchewan - March 2011
-Internationally Renowned Economist Challenges Regina Leader-Post Business Columnist Over Potash Number - Feb 2011
-Royalty Structure Hurting Saskatchewan - March 2011
-How Brad Wall Shills For Potash Corps - October 2011
-Corporate Profits By Saskatchewan's Potash Industry Argue For Higher Royalties - July 2012
By receiving a royalty of a few pennies from every dollar of pure corporate profit, the citizens of Saskatchewan are not being reimbursed properly for their natural resource.
Economist Erin Weir has consistently argued that a fundamental review of the royalty structure is desperately needed
Well ... finally .... a hint of good news .....!!
"Saskatchewan Premier Brad Wall is musing about adjusting the way the province collects money from companies that extract natural resources.
Wall says companies should have royalty stability especially after they've spent billions investing in the economy.
But the premier also says it's important that taxpayers are properly compensated if in 20 years potash production has doubled.
The current complex system is based on price rather than volume and Wall says it needs to change. However, the premier says it could be years before the discussion gets into any specific detail and there might just be some tweaking rather than any major adjustments."