However, the new plan is less tough than it looks, according to Pedro van Meurs, who advises governments on royalty regimes.

ECONOMIST: Alberta raises oil royalties??but by less than meets the eye

The result, says Mr van Meurs, is that instead of the 64-66% cited by the energy department, the government's take from the oil sands will in fact be only around 55% (see chart).

ECONOMIST: Alberta raises oil royalties??but by less than meets the eye