June 4 (Bloomberg) -- Tougher environmental rules governing production from Canada's oil-sands region will contribute to a global crude supply crunch, Total SA Chief Executive Officer Christophe de Margerie said.

``Alberta was considered the most cowboyish'' among oil producers in the past, de Margerie told French deputies at a finance hearing in the National Assembly in Paris today. That was before legislation to tighten environmental regulations concerning the tar-like sands was proposed, he said.

Total, based in Paris, earmarked $10 billion to $15 billion during the next 10 years to boost production from the region. Alberta's oil-sands, about 750 kilometers (466 miles) northeast of Calgary, are estimated by the provincial government to hold the largest oil reserves in the world outside Saudi Arabia.

Total operates the Joslyn project, which began production in 2006, and in December started commercial output from the Surmont venture with ConocoPhillips.

The producer's Joslyn mine project in Canada is scheduled to begin producing in 2013. That may be delayed until 2014 because regulatory hearings on its environmental impact will begin later than expected, the Globe & Mail newspaper reported last week, citing the head of the company's local unit. Total hasn't confirmed a delay.

Raising crude output will depend on ``convincing producing countries it is in their interest to produce more,'' de Margerie said. He has stressed that world shortages in supply will come from lack of access rather than dwindling reserves.

Politicians around the world must ``measure the impact'' of their decisions that will affect production in countries such as Iran, Iraq and Alberta, Canada, de Margerie said.

``Everyone must take their part of the responsibility'' for higher energy costs, he said.

Alberta's oil sands may contain about 175 billion barrels of oil, according to the provincial government. About C$156 billion ($154 billion) is forecast to be spent on oil-sands developments, according to Alberta.

The projected investments may more than double daily output to 2.8 million barrels by 2015, Canada's National Energy Board said in a November report.

To contact the reporter on this story: Tara Patel in Paris at tpatel2@bloomberg.net

Last Updated: June 4, 2008 12:34 EDT