Kenney urges Ottawa to cancel planned federal carbon tax increase in April

The premier states that the carbon tax hike could not have come at a worse time.

Canadians are already dealing with high inflation rates, supply chain issues, and the economic impacts of Russia’s invasion of Ukraine.

Kenney cited data from the Bank of Canada, which estimates that the rise in the federal carbon tax will add another 0.5% to inflation.

Albertans can still expect some relief at the pumps, however. The government will cease the collection of the provincial gas tax on April 1, which is expected to lower gas prices by 13 cents per litre.

With the carbon tax adding three cents per litre for drivers, fuel will still be 10 cents per litre cheaper.

Assuming that the April 1, 2022 carbon tax hike to $50 per tonne goes ahead, carbon taxes would account for 11 cents per litre at the pump. When it reaches $170 per tonne in 2030, Kenney says the carbon tax will add 39 cents per litre.

“These are staggering numbers that many families just can’t afford.”

In 2016, the former Alberta NDP government introduced a provincial carbon tax. Kenney and the UCP won the 2019 provincial election with one of their key commitments being to cancel the provincial carbon tax.

It was known at the time that the federal government had directed all provinces and territories to have a carbon tax, and that if jurisdictions did not have one of their own, Ottawa would impose a federal carbon tax on them.

Kenney tried to fight the federal carbon tax in the Supreme Court of Canada, but was unsuccessful in blocking its implementation.

by David Opinko

Kenney urges Ottawa to cancel planned federal carbon tax increase in April

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