Alberta Premier Ralph Klein is threatening to drop out of the federal government's equalization deal with the provinces -- if energy income is included in the program's formula.

Klein says Alberta has "control" and "authorization" over its resources under the Constitution, and he's seeking a legal opinion to see if there's a way he can pull his province out of the revenue-sharing deal.

Klein is promising a fight unless the federal Conservatives live up to their election promise to not include resource revenues in the equalization formula.

"They made a campaign promise, the federal Conservatives, that they wouldn't include resource revenues in the equalization formula," Klein told reporters in Edmonton Wednesday. "And I would hope they live up to that, because otherwise they're going to have a battle on their hands."

Klein said as far as equalization goes, he would participate if the federal government and all provinces agree upon a nationwide standard.

"We will participate along with the 10 provinces, but we won't participate if resource revenues are included."

Saskatchewan Premier Lorne Calvert made a similar threat earlier this month in the form a letter delivered after the Tories' inaugural federal budget.

Calvert reminded Prime Minister Stephen Harper of his campaign pledge during last winter's election to exclude non-renewable resource revenue from the formula for calculating equalization payments to the "have-not" provinces.

Calvert was disappointed the promise wasn't reaffirmed in the budget. And he warned Harper there'll be a price to pay for reneging.

Klein's comment comes amid increasing tension between Ontario and Quebec over how best to wrest more money out of the federal government.

The always outspoken Klein said Wednesday that he's getting ready for what he calls a political showdown with Quebec and Ontario at a special leaders meeting next week, following what will be his last western premiers conference in Gimli, Manitoba.

"(Ontario Premier Dalton) McGuinty is on a different wavelength, so is Quebec," he said. "Quebec wants resource revenues included. Of course, they want the money that we're enjoying now. Albertans have earned that money."

Klein said he will fight "tooth and nail" against attempts by Quebec to reap any of Alberta's massive energy windfall. He added, however, that Alberta is also a "caring province, we're a sharing province, and we're willing to do our part by abiding by a decision to have a 10-province formula."

"There may be differences of opinions . . . but c'est la vie, as they say in Quebec. That is life," added Klein. "And our position is quite clear, and I'll defend that position."

With the Conservatives intent on securing a majority in the next election by building on their modest gains in Quebec, officials in other provinces privately fear Harper will cater to Quebec Premier Jean Charest at the expense of the others.

Klein says he expects strong support from western and Atlantic Canada premiers at the leaders meeting, and he wants the issue resolved before he retires in the late fall. He has previously suggested that failure on the part of the federal government to resolve the issue could reignite separatist sentiment in Alberta -- which gave Harper 28 seats.

A line in the sand

Despite Klein's bluster, CTV's Ottawa bureau chief says there's been no indication from the federal government that it intends to include oil and natural gas revenues within equalization payments.

"I think what Ralph Klein is doing is laying a line in the sand for anybody who's going to succeed him, to never to give up Alberta's energy revenues in terms of equalization," Fife said on CTV's Mike Duffy Live.

"I think what you're going to see (Harper)doing is offering tax points to the provinces; in other words, the federal government will give up some tax room where it normally taxes Canadians, to allow the provinces to come in and make up that room to be able to get the extra revenue."

He added: "I don't think you're going to see Ottawa wanting to pick a fight with Alberta . . ."

A recently released report prepared for the federal government called for 50 per cent of resource revenues to be included in the calculation of equalization -- a complex system of revenue sharing between provinces.

A report prepared for the provinces called for all resource revenues to be used in the calculation.

Currently, the federal government calculates the fiscal capacity of each province, then establishes a standard by averaging the capacity of five provinces: Quebec, Ontario, Manitoba, Saskatchewan and British Columbia.

Ontario, Alberta and Saskatchewan, the so-called "have" provinces -- currently are above the standard. But all other provinces fall below and receive equalization payments from federal coffers to ensure similar services nationwide.

Most provinces are now pushing for a standard based on the fiscal capacity of all 10 provinces, including energy-rich Alberta, so that they will receive more money.

Harper's letter to the provinces during last winter's federal election campaign promised an equalization formula based on an average of 10 provinces and excluding resource revenues.

Federal Finance Minister Jim Flaherty has said recently that the Conservatives are sticking to that election promise.

With reports from The Canadian Press