Overview
- The government announced the Oil Sands Growth Program on Friday, offering approved new or expanding projects a guaranteed 10-year royalty schedule that starts at 2% for the first five years and rises by 1 percentage point a year to 6% in years nine and ten.
- The OGP is open to new greenfield projects and brownfield expansions that meet a reported 5,000 barrels-per-day threshold, is targeted to launch in spring 2027, and will grandfather projects announced after Nov. 15, 2026.
- Alberta says the OGP does not replace the existing royalty system and that every project will still require project‑specific regulatory approvals, environmental reviews and Indigenous consultation, with suspension or termination for non‑compliance.
- Major oilsands firms and the Oil Sands Alliance publicly backed the plan, and the province projects the program could unlock tens of billions in investment, create tens of thousands of jobs, and boost municipal property tax and royalty revenues.
- The government will review the program’s effectiveness by Dec. 31, 2029, a date that could push companies to announce projects sooner and that officials link explicitly to plans for new pipeline capacity and long‑term provincial revenue growth.