Non-renewable resource revenue down 43% in 2020-21 budget
The Government of Saskatchewan projected revenue at $1 billion for non-renewable resources. This figure is down $753 million, or 43 per cent.
“It has to do with trade wars or price wars which is happening between Saudi Arabia and Russia,” Finance Minister, Donna Harpauer said. “It has to with the whole anti-oil movement. It has to do with the lack of pipeline capacity to get our oil product to tide waters, its just a lot of issues.”
The province credits this significant decline to low oil royalties, prices and production. In the 2020-21 budget, the province predicts a decrease in potash royalties, also resulting from low prices.
“But our revenues, quite frankly are resource revenues, taxation and federal government transfers,” Harpauer said.