May 16, 2019

Taxpayers demand answers on carbon tax unfairness

REGINA, SK: The Canadian Taxpayers Federation is calling out Ottawa for unfairly forcing some provinces, such as Saskatchewan, to pay a higher carbon tax than other provinces. The CTF is providing the provincial comparisons as part of its annual Gas Tax Honesty Day to show drivers how much of their fuel bills are actually taxes.

“Ottawa says it’s forcing a carbon tax on Saskatchewan as part of a nation-wide strategy, but other regions are paying less,” said Todd MacKay, the CTF’s Prairie Director. “It’s bad enough to force a carbon tax on Saskatchewan where people have to drive long distances and heat their homes during cold winters. Now it’s clear that Ottawa is sticking Saskatchewan with a more punitive carbon tax than other provinces.”

The federal carbon tax is costing Saskatchewan drivers 4.4 cents per litre of gasoline and 5.4 cents per litre of diesel and those numbers will rise to 11.1 cents and 15.1 cents per litre respectively. New Brunswick, Ontario, Manitoba and Saskatchewan are all subject to Ottawa’s carbon tax.

However, Ottawa is giving other provinces very different deals, such as:

• Newfoundland and Labrador – its carbon tax is equivalent to 0.42 cents per litre on gasoline. Provincial taxes were cut by 4 cents per litre before implementation of a carbon tax of 4.4 cents per litre with no planned increases. Home heating is exempt.
• Nova Scotia’s carbon tax is equivalent to 0.9 cents per litre on gasoline with no planned increases.
• Prince Edward Island – its carbon tax is equivalent to 1 cents per litre on gasoline. Provincial fuel taxes were cut by 3.4 cents per litre before implementation of the carbon tax of 4.4 cents per litre this year. The official carbon tax is scheduled to rise to 6.6 cents per litre next year, with no planned increases thereafter.
• Quebec – its cap-and-trade carbon tax is equivalent to 4.9 cents per litre on gasoline and an unspecified future price.

“Ottawa is letting other provinces sidestep the brunt of the carbon tax hit, but the feds are hitting Saskatchewan with the full force of the carbon tax,” said MacKay. “Carbon taxes cost taxpayers a lot of money without helping the environment and now they’re unfairly punishing some province’s such as Saskatchewan.”

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For more information, please contact:

Todd MacKay – CTF Prairie Director – 306-582-7717 – [email protected]