A new Environics Institute study about how Canadians feel about equalization transfers showed growing discontentment in the Western provinces, particularly in Alberta and Saskatchewan..The federal government uses several fiscal programs to transfer money to the provinces, including the Canada Health Transfer (CHT), the Canada Social Transfer (CST), and the equalization program. All provinces receive the CHT and CST..“Equalization enables less prosperous provincial governments to provide their residents with public services that are reasonably comparable to those in other provinces, at reasonably comparable levels of taxation,” states the federal government’s website..About 74% of Canadians support the equalization payments and it has remained steady since 2019. .In Alberta and Saskatchewan, the support for equalization dropped in this past year by 2% in Alberta and 7% in Saskatchewan. However, 57% of Albertans and 60% of Saskatchewanians still support equalization..The highest support for equalization was in the Maritimes at 83%, and twice as many Canadians support increasing equalization payments than do not support an increase..Alberta was the only province where a higher proportion favoured a decrease (30%) than an increase (24%) in equalization payments, with the rest being undecided or did not know about equalization..Half of the provinces receive equalization transfers, which include Prince Edward Island, Nova Scotia, New Brunswick, Quebec, and Manitoba..The other half of the provinces pay equalization payments to the federal government, including Newfoundland and Labrador, Ontario, Saskatchewan, Alberta, and British Columbia..Saskatchewan Premier Scott Moe and Albertan Premier Jason Kenney both criticized the equalization program in recent years..“Equalization is an incredibly inequitable and flawed program, which has seen provinces like Saskatchewan, Alberta and Newfoundland receive zero year after year, even through the economic downturn in the resource sector,” said Moe back in 2018. .“Meanwhile, other provinces continue to receive billions every year. That means our taxpayers continue to pay for programs and services in other provinces, even when those other provinces’ economies are strong.”.“I have also been clear that most Albertans are proud to have shared much of our province’s good fortune with other Canadians, and that we do not object to equalization in principle,” said Kenney in 2019..“However, we cannot abide other governments benefiting enormously from our resources while trying to obstruct the development and sale of those resources. Nor is it acceptable that other provinces benefit from equalization payments generated in part from our energy resources while refusing to develop their own energy resources.”.Most Canadians poorly understand equalization. Only 51% of people living in the five recipient provinces knew their provinces receive equalization money..In the five non-recipient provinces, only 31% know that their province does not receive equalization payments..About 47% of Albertans and 40% of Saskatchewanians knew their province does not receive equalization payments..Alberta held a referendum on equalization payments being removed from the Canadian Constitution with 62% supporting the removal. .However, only 39% of Albertans voted in the referendum..Chris Oldcorn is a Western Standard Reporter based in Regina.,coldcorn@westernstandard.news,Twitter: @chrisoldcorn,.Parler: @chrisoldcorn
