As oil prices dip, critics warn Alberta could lose its budget surplus
Global News
In its latest budget, the government projected the price of West Texas Intermediate (WTI) to average US $79 per barrel.
The price of oil is dipping below the United Conservative government’s expectations for the budget year.
Critics say this could cause some financial issues for the province, including the possible depletion of its projected surplus.
“The UCP could already be in a deficit, and if they aren’t now, just a slight drop in the price of oil means that they will be for sure,” NDP leader Rachel Notley said at a news conference Wednesday.
In its latest budget, the government projected the price of West Texas Intermediate (WTI) to average US$79 per barrel.
Through the week of June 25, the price dropped to a low of US$67 per barrel.
The average price since the fiscal year began has been around US$74 per barrel.
ATB (Alberta Treasury Branches) predicts the price of oil to rebound to an average of US$76 per barrel by the end of the fiscal year.
The NDP says despite that increase, it could still spell trouble for the province.