ATB’s latest quarterly outlook report expressed cautious optimism is what ATB forecasts for the country’s economic landscape as we near 2025. To recap, Alberta’s economy is set for stronger growth, estimated at 2.5% this year and 2.8% next year, outpacing the national rate. The energy sector is revitalizing through improved market access and investments in hydrogen and petrochemicals. Rapid population increases are fueling new home construction, while tech and aviation industries are gaining ground. In terms of housing, the market is tight, driven by the province’s skyrocketing population with housing starts reaching levels not seen for nearly 20 years. The unemployment rate is expected to remain above 7% for the rest of the year, though it may gradually decline as job growth continues and migration slows, despite ongoing labour shortages in various sectors, including accommodation, food, and construction.
Encouragingly for CLRA, Alberta’s economy is experiencing significant new growth in major projects in a variety of sectors – including decarbonization, where it stands as Canada’s leading hydrogen producer. Key ventures include Air Products’ $1.6 billion Net Zero Hydrogen Energy Complex in Edmonton, which will support Imperial Oil’s renewable diesel facility. Another is the Dow Path2Zero project in Fort Saskatchewan, valued at $11.6 billion, which aims to create the world’s first net-zero emissions-integrated ethylene cracker. Supporting this, ATCO’s Yellowhead Mainline natural gas pipeline project will supply the facility and is expected to begin operations in 2027.
In carbon capture and storage (CCS), several new projects have secured investment, including Shell’s Polaris CCS at its Scotford complex and the Atlas Storage Hub, aimed at managing emissions in the Alberta Industrial Heartland. Other potential projects are also in the evaluation stages. The proposed $16.5 billion Pathways Alliance CCS project holds promise, while new developments like the Future Energy Park biofuels plant and De Havilland’s aircraft production facility are poised to boost job creation.
These diverse initiatives set a solid foundation for future economic growth, and CLRA proudly represents the skilled construction workers essential for bringing these major projects to life. Their expertise and dedication are the driving force behind Alberta’s potential for prosperity, ensuring that each of these ambitious projects are executed with excellence and precision. The ongoing skilled labour shortage, however, is putting a strain on this progress, making our Build Your Future campaign increasingly more essential with its goal to attract traditionally underrepresented groups to trades careers. In sum, although the province faces its fair share of obstacles, the outlook ahead is brighter than we think.
Read the full report here.
