• The Economics of Addiction: Alberta’s Crisis and Path Forward

    The Economics of Addiction: Alberta’s Crisis and Path Forward

    Issue

    Alberta is facing a significant public health and economic crisis driven by substance addiction, costing the province over $6.7 billion annually. The opioid crisis, particularly involving synthetic opioids such as fentanyl, has led to devastating loss of life and increased social disorder. The COVID-19 pandemic exacerbated the situation by disrupting drug supply chains and limiting access to critical harm reduction services. Additionally, external pressures like potential U.S. tariff increases threaten to further destabilize Alberta’s economy and public safety.

    Background

    Substance use in Alberta remains a profound economic, social, and public health crisis, costing the province more than $6.7 billion annually. These staggering costs arise from increased healthcare expenditures, lost workforce productivity, criminal justice expenses, and the broader socio-economic impact on communities1. With an estimated $1,579 per resident allocated to managing addiction-related consequences, the financial strain on Alberta underscores the urgent need for a strategic, long-term response.

    Recommendations

    That the Government of Alberta:
    1. Expand and enhance access to addiction treatment, recovery, and wraparound services as part of Alberta’s recovery-oriented system of care.
    2. Strengthen Alberta’s Drug Treatment Court system by further integrating addiction recovery services within the justice system, reducing reoffending rates and supporting long-term recovery. Solicit feedback from current service providers within communities to ensure that government supports will be sufficient for increased capacity.
    3. Increase enforcement with a focus on trafficking, and continue advocating to the Federal Government for bail reform for drug trafficking crimes.
    4. Expand a concept similar to the Calgary Indigenous Court to other jurisdictions.
    5. Advocate for stronger federal action on international drug trafficking while safeguarding Alberta’s economic policies from external trade threats related to the opioid crisis.
     
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