Trudeau: Majority of carbon tax to be refunded to Canadians

27 October, 2018, 01:00 | Author: Kelly Sanders
  • Average Ont. family of 4 to receive $307 in carbon tax rebates

Trudeau denied this plan was an effort to buy votes on what's proved to be a contentious policy, though the money will be going directly to voters in provinces where the conservative leaders oppose the policy.

The "deeply worrisome" tax changes will affect everyone from small textile manufacturers to, say, pizza restaurants that use natural gas-fired ovens, said Dan Kelly, president of the Canadian Federation of Independent Business (CFIB).

"Will we kick this can down the road yet again to be dealt with in another place or at another time, or will we show some courage and do what needs to be done for this generation and the next?" he said, addressing students at Humber College in Toronto.

In 2017, he gave them nearly a year to come up with a plan of their own that met federal standards.

The Trudeau government is taking on the four provinces that have resisted its federal carbon pricing plan by promising $2 billion in annual rebates to offset the costs. What is a carbon tax?

The average payments will be $248 in New Brunswick, $300 in Ontario, $336 in Manitoba and $598 in Saskatchewan.

Moe said in an October 23 press conference that Trudeau's plan wouldn't work for Saskatchewan for various reasons and his government will continue fighting the federal carbon tax in court.

All Manitobans outside of the Winnipeg area will receive 10 per cent more than urban residents to accommodate for their higher energy use. Payments will be determined based on family size.

Trudeau says households receiving the Climate Action Incentive will give most families more than they pay under the new system.

But he added there are still parts of the country,"where people refuse to get it".

"Nobody has to be convinced anymore that the environment is something we need to take care off, the questions now is, are we going to act or not?"


With the notable exception of Stephen Harper in 2015, the phrase a "tax on everything", has been a useful one for the country's conservative politicians ever since Stephane Dion unveiled his ill-fated "Green Shift" in the 2008 federal campaign.

Their comments come as Ottawa gradually loses provincial support for its federal carbon tax, long a central plank in the Liberal's environmental agenda. The remaining 10 per cent will go to schools, hospitals, municipalities, non-profits, and Indigenous communities.

Not everyone believes him, and the next election is shaping up to be a battle royale over the carbon price.

"At the end of the day, Canadians know that a measly $12.50 a month will not cover the true cost of this carbon tax", he said.

Party leader Andrew Scheer, who has yet to unveil his own climate change plan, told reporters the tax would make it more costly for ordinary Canadians to drive cars and heat homes.

The government said in a statement Tuesday it "recognizes that SMEs can expect to incur additional costs as a result of carbon pollution pricing".

For Kenney, Wudrick, and those against carbon pricing, the higher taxes will not adjust behaviour in a significant enough way to get people to use less carbon emissions.

Environment groups were happy with the carbon price but say the government has to do much more.

If you live in Saskatchewan, Manitoba, Ontario, New Brunswick, Yukon or Nunavut, as of April 1, 2019, fossil fuels consumed for vehicles, home heating, and electricity will be assessed a $20 charge for every tonne of emissions they are known to emit.

Canada pledged to reduce its carbon emissions by 30 percent below 2005 levels by 2030. The tax will start out at $20 a tonne and rise to $50 by 2022.

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