Alberta’s Budget 2022 puts more money into health amid COVID recovery

While keeping COVID-19 related challenges in mind, the Alberta government says it has still managed to table a balanced budget.

The UCP government says a growing economy, increasing energy prices, and the province curbing its spending while not making any significant cuts all contributed to that.

The government is boasting the fact it is the first province to announce it will have a fully balanced budget following more than two years of the pandemic.

Alberta is expecting around $500 million in surplus as part of Budget 2022. This is the second balanced budget in more than a decade to be tabled in Alberta.

Projections in the budget assume that the price of oil stays at or near $70/ barrel. The province notes should that price change, the reflected totals will too.

Several departments will see an increase to operating expenses as part of Budget 2022:

  • Health services — $22 billion to $23.2 billion annually
  • Education (K-12) — $8.4 billion to $8.5 billion annually
  • Education (post-secondary) — $5.4 billion to $5.6 billion annually
  • Social Services — $7.8 billion to $8 billion annually

Health

Budget 2022 includes a $750-million COVID-19 contingency fund which the government says will ensure it can continue to cover pandemic-related costs and help address the surgical backlog caused by the health crisis.
The UCP government is also boasting a record-high health care investment, with $600 million added in operating expenses over the previous year.

$100 million per year will go towards specific things like adding new intensive care unit beds and training new acute care staff. Another $90 million will be used to try and attract family doctors to set up shop in rural and remote areas.

“We promised Albertans a stronger publicly funded health system, with more capacity for surgery and better access – and this budget provides the resources to deliver,” Health Minister Jason Copping said.

“I’m looking forward to working with everyone in the system to recover from the pandemic and build a health system that’s better than ever.”

Alberta Health Services will see its operating budget hit $15.1 billion in 2022/23.

The budget also looks to help more Albertans improve their mental health and wellbeing by providing an extra $20 million a year towards supports.

Healthcare system investments:

  • $322 million over two years to add 160 new in-patient cancer care beds and to complete the Calgary Cancer Centre
  • $99 million to add 30 mental health treatment spaces at the Peter Lougheed Centre, and 12 beds in a mental health intensive care unit
  • $193 million over three years to add capacity to Red Deer Regional Hospital Centre and increase critical services
  • $50 million over three years to start building the University of Alberta Hospital Brain Centre’s neurosciences intensive care unit
  • $204 million over three years to modernize continuing care facilities and create new spaces
  • $133 million over three years for the Alberta Surgical Initiative Capital Program
  • $36 million for the Recovery Communities Stream 2 project

Education

$1.5 billion is being allocated to 15 school projects, including building new facilities and modernizing others.

Budget 2022 also puts up $30 million to help students with academic challenges associated with the pandemic, including mental well-being supports. Another $80 million will be allocated over the next two years as well.

The UCP says it will also try and expand charter schools and the collegiate model in the province by providing $47 million over three years in capital funding.

$191 million will go towards ensuring the new curriculum is implemented successfully (K-12).

“Moving forward, Alberta’s education system will continue to be well-funded and provide an amazing education for all students in all corners of the province,” said Education Minister Adriana LaGrange.

“Moreover, implementation of the draft K-6 curriculum will be supported by a significant investment in resources and teacher training. The new curriculum will better prepare our youth for the jobs of tomorrow.”

Energy

The provincial government says it plans to create jobs and reduce emissions while also becoming an international leader in clean hydrogen.

So, the Clean Hydrogen Centre of Excellence will be getting $40 million in funding over the next four years, while the Alberta energy regulator is set to receive $41 million over three years to establish new geothermal and mineral resources regulatory framework.

“Alberta is an active player in the world’s transition to cleaner fuels. With new minerals and hydrogen strategies and requests for proposals for new carbon capture hubs, we are moving forward while continuing to remain on solid ground with oil and gas – both with price and production,” Energy Minister Sonya Savage said.

“We are poised to be a leader in emerging fields, which will create jobs and secure our reputation as a responsible developer.”

Dealing with energy cost increases

Budget 2022 also looks to address energy prices. The plan includes funding to developing a new program — The Energy Affordability Program — to try and help people keep up with rising costs.

It’s expected to run from Oct. 1 to Mar. 31, 2023. The plan includes a rebate if regulated natural gas companies charge more than $6.50 per gigajoule over the regulated monthly gas rate.

Anyone who uses fewer than 2,500 gigajoules of energy yearly will qualify. The government expects most households, small apartment buildings, farms, and small industrial and commercial operations to be eligible.

The government is also allocating an additional $81 million to the Alberta Film and Television Tax Credit.

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