Sask. Premier reacts to feds' carbon tax easing

04 August, 2018, 06:12 | Author: Kelly Sanders
  • Canada updates its carbon emissions tax policy

Now, Ottawa is easing that limit in most sectors to allow for emissions up to 80 per cent of the industrial average.

The Liberals cited concerns around competitiveness when they announced Wednesday that the threshold of emissions at which the largest industries would pay the tax.

The government in Ontario has eliminated the province's cap-and-trade system and is joining Saskatchewan in challenging the federal government's jurisdiction to impose a carbon price on provinces.

The original proposal McKenna made in January was to set that cap at 70 per cent for all industry.

"I would say the government is open to further changes across the board", said Moffet.

A spokeswoman for Environment Minister Catherine McKenna confirmed the move to CTV News following a report in the Globe and Mail.


Because the law is not being applied to all province's and territories, just those that don't put in their own carbon tax, the factum argues the law "is constitutionally illegitimate".

Ontario Premier Doug Ford's Progressive Conservative government says it will ask the courts to stop Prime Minister Justin Trudeau's efforts to fight climate change.

"You want a carbon-pricing system to do two things, first spur emission reductions and second, to have firms remain in Canada while they do that".

Somewhat surprisingly, given Saskatchewan's long-standing opposition to any form of carbon taxation, the document says the province, "Would have no constitutional objection if the federal government adopted a national carbon tax that applied uniformly all across the country". "What we're seeing here today is a watered down initiative of what is essentially economic poison in the nation of Canada", Moe told BNN Bloomberg in an interview on Wednesday. Companies that emit less than the majority of their peers will effectively pay no carbon tax and, given the subsidies, earn credits for having lower-than-average emissions.

Corporate Canada may also get help this fall from Finance Minister Bill Morneau, who is spending the summer listening to a wide range of perspectives on Canada's competitiveness challenges. They've argued the US tax changes could end up inflicting more damage on the Canadian economy than would the possible termination of North American Free Trade Agreement.

In May Cement Association of Canada vice-president, Adam Auer, urged a senate committee on the carbon tax framework "to be attuned to the reality that our competitors in import and export markets don't have similar pricing systems".

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