Ted Morton nabs finance post in Alberta cabinet shakeup

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Ted Morton, who has complained for years that Alberta coughs up too much cash through Canada's equalization formula to prop up poorer regions, is the province's new Finance Minister assigned with re-examining the scheme.

Alberta Premier Ed Stelmach, who shuffled his cabinet Wednesday in a bid to stem rising public displeasure and a growing political threat, complained to reporters that, even as the province suffers from the economic downturn, it still sent $21.1-billion to Ottawa.

"I don't think that's fair and that's one of the areas we're going to be looking at," he said.

Alberta faces a projected $4.3-billion deficit and the budget will be delivered Feb. 9. Mr. Stelmach, who has pledged to be back in the black in three years, said his new cabinet is "better prepared to communicate the policies and objectives" of the Progressive Conservative government.

Mr. Morton, who, in 2001, was co-author, along with Stephen Harper, of the controversial "firewall letter" designed to protect Alberta's interests, inherits the key money job from Iris Evans, who becomes Minister of International and Intergovernmental Relations. He hands over his Sustainable Resource portfolio to Mel Knight, who has been tossed as energy minister after a stormy relationship with industry.

Ron Liepert takes over the Energy portfolio, leaving behind Health, where he became a controversial figure and was widely faulted for mishandling the H1N1 flu vaccination rollout as opposition parties repeatedly called for his resignation.

Gene Zwozdesky takes over in Health.

But the biggest promotion went to Mr. Morton, who ran against Mr. Stelmach for the leadership of the party, and is considered as cut from the same philosophical cloth as the upstart, right-wing Wildrose Alliance Party, which grabbed two disenfranchised Tory MLAs last week.

"Obviously the elevation of Ted Morton is to placate the right wing - the far, far right - and perhaps try to outflank the Wildrose Alliance," said Keith Brownsey, a political scientist at Mount Royal University in Calgary.

Rumours of a cabinet shuffle have been in the air since Mr. Stelmach received a 77-per-cent approval rating from party faithful last fall. They picked up steam as polls showed the flagging popularity of the Premier and the party and Wildrose surging into the lead, and then again with the defections of the two MLAs.

"There isn't exactly a new face on this government," Prof. Brownsey said. "It's a shuffling of chairs. Steady as she goes - that's the message I would take away from this lack of change."

Opposition parties echoed those sentiments.

NDP Leader Brian Mason described the shuffle as akin to "changing the lounge chairs on the Hindenburg." Liberal Leader David Swann complained that the "same bums" are in the seats around the cabinet table. And Wildrose Leader Danielle Smith said the only real change will come when the government is replaced with her party.

For the energy industry, the appointment of Mr. Liepert, who hails from Calgary, brings hope of better government relations.

"We're very pleased to have a seasoned cabinet veteran and a leader in this critical and complex portfolio," said Travis Davies, spokesman for the Canadian Association of Petroleum Producers.

Mr. Knight spent much of his tenure in a brawl with the energy industry over royalties as the province hiked its take when the oil patch was awash with profits. Industry complained the changes made Alberta uncompetitive. When commodity prices crashed, the province backtracked, adjusting the scheme four times, with more changes likely to come.

Others questioned what Mr. Liepert will bring to what is arguably the province's most important portfolio. Roger Gibbins, president of the Canada West Foundation, compared Mr. Stelmach to a frustrated video-game player.

"There comes a point where you just push replay because you realize you're just never going to get the score you want and you're just digging yourself into a hole," he said. "That's what the Premier's done. He's pushed the replay button, put a somewhat different team into place."

The legislature will be back in session Feb. 4.