Carbon tax | No other exemptions, says Trudeau

(Ottawa) The federal government will not provide any further exemptions from the carbon tax as required by Alberta and Saskatchewan. Prime Minister Trudeau continued to defend the suspension of this tax for fuel oil deliveries on Tuesday while the Conservatives are making it the issue of the next election.



“There will be absolutely no further exemptions or suspensions of the price of pollution,” the Prime Minister said before question period. The goal is to phase out heating oil in the same way we made the decision to phase out coal. »

Conservatives and New Democrats accuse the government of dividing Canadians by providing an exemption from the carbon tax that favors residents of the four Atlantic provinces where nearly a third of the population heats with oil in winter.

“Why isn’t the Prime Minister suspending the tax across the country until Canadians vote? […] and Canadians will be able to choose his plan to quadruple the tax or my plan to cut it,” asked the leader of the Official Opposition, Pierre Poilievre, in the chamber.

“I can’t believe that after losing three elections, the Conservatives want another one to continue to deny climate change,” retorted Mr. Trudeau. After the summer we had, they continue to say that no plan to fight climate change is what is good for Canadians. »

He announced on Thursday the temporary suspension of the carbon tax for the delivery of fuel oil until the end of 2026-2027 and the 50% increase in the subsidy to replace this fuel with a heat pump. The government will also offer $250 to low-income people to encourage them to purchase a heat pump.

These policies apply to the entire country, but will benefit more residents of the Atlantic provinces where nearly 30% of households heat with oil. It’s 8% in the rest of the country, according to the Ministry of Finance.

These double standards shocked the Western Canadian provinces, particularly in Alberta and Saskatchewan where the governments are already opposed to the carbon tax. Saskatchewan Premier Scott Moe is threatening to no longer collect the carbon tax on natural gas if a similar exemption is not granted for this fuel.

The fact that the Minister of Rural Economic Development, Gudie Hutchings, who is from Newfoundland and Labrador, said in an interview with CTV on Sunday that the Prairies “should elect more Liberals” fueled these tensions.

Fuel oil is a fuel different from others, the Prime Minister defended himself. “It’s more expensive, it emits more and it disproportionately affects low-income residences. So replacing it with heat pumps across the country is the way to reduce emissions. »

Other ministers trumpeted the same message as they left the Cabinet meeting, including Daniel Vandal of Manitoba who indicated there would be “good discussions” as he entered.

“It’s a policy that is good across Canada. It’s good in Manitoba, it’s good in Ontario and it’s good in the North,” he said afterwards.

“It’s purely an affordability issue. Affordability that will lead to a reduction in emissions,” argued Minister Seamus O’Regan of Newfoundland and Labrador.

Earlier in the day, other ministers defended this reduction in the carbon tax. “I’m not saying that the decision-making was ideal, but I think it was important,” admitted Minister Marc Miller.

“You know, a plan must be flexible and flexible,” said Minister Diane Lebouthillier.


PHOTO SEAN KILPATRICK, THE CANADIAN PRESS

Diane Lebouthillier

Minister Randy Boissonnault of Alberta recalled that the government will also double the supplement for rural communities from 10% to 20% as of April 2024. This supplement is paid to taxpayers in provinces which, unlike Quebec, do not do not have their own carbon pricing system.

“Albertans, Saskatchewanians and Manitobans in rural areas will now receive $2,000 per year,” he said. And what we do is we have a national approach that takes regional realities into consideration. »


PHOTO ADRIAN WYLD, CANADIAN PRESS ARCHIVES

Randy Boissonnault

The leader of the New Democratic Party believes that the government is on the wrong track. “We have a disconnected Prime Minister who only wants to help the regions where he is losing popularity,” Jagmeet Singh underlined during question period. The New Democrats believe that the government should have instead lifted the goods and services tax (GST) on home heating, which would have helped everyone cope with the rising cost of living.


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