Natural gas has a value to B.C.’s citizens and it is a non-renewable resource.
Someday it will all be gone, then what? When that day comes, its sale must leave our children with a very sizeable fund.
A fund that can provide for whatever energy source that has taken the place of natural gas.
Our children or grandchildren or grandchildren deserve such a fund.
Any legislation passed today must ensure the future of B.C.
It must provide some gain for the corporation that sells the gas for us otherwise there is no point in the corporation selling the gas.
B.C. has no obligation to the corporation, but B.C. has an obligation to its future citizens.
It is the fiduciary duty of BC’s legislature to provide for B.C.’s future generations.
The idea of legislating a tax and royalty system that binds the province for 25 years is a potential abrogation of the fiduciary duty of B.C.’s legislature.
Whatever legislation passed to enable the sale of natural gas must provide the province with direct benefits, as well as indirect benefits.
The corporation must pay a royalty for the gas that is independent of the market and the corporation must pay an income tax.
Of course, if the corporation has no income, then the income tax will be zero. It is appropriate that capital and operating costs be used in determining the income, but the royalty must always be there.
Our renewable resources need to be farmed, not mined, so our children can expect the revenue in perpetuity.