Parliament in Ottawa. (Photo: (c) Febriyanta | Dreamstime.com)

By Justin Goulet

Federal government launches quarterly Climate Action Incentive payments

Jul 5, 2022 | 9:42 AM

KITCHENER, ON – Canadians living in four of the provinces are set to receive quarterly Climate Action Incentive (CAI) payments from the federal government.

Ottawa has announced that beginning July 15, 2022, Canadians living in Alberta, Saskatchewan, Manitoba and Ontario – the provinces where the federal pollution pricing system applies – will receive the first quarterly CAI payment.

The quarterly delivery replaces the annual credit from previous years and aims to ensure residents receive payments on a more regular basis. The first payment will be a “double-up” payment that will return proceeds from the first two quarters of the 2022-2023 year (April to June, and July to September). Quarterly payments will follow in October 2022 and January 2023.

Canadians have the ability to register for direct deposit.

Federal Minister of Environment and Climate Change, Steven Guilbeault said, “With the Climate Action Incentive payment, we’re putting money back in the pockets of families.”

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“The new quarterly payment will mean households now get cheques every three months. This is just one part of our plan to fight climate change while making life more affordable for Canadians.”

For the 2022-2023 fiscal year, a family of four will receive $1,079 in Alberta, $1,101 in Saskatchewan, $832 in Manitoba, and $745 in Ontario. Families who reside in rural and small communities are eligible to receive an extra 10%.

Under the federal pollution pricing system, the government applies a price on pollution in jurisdictions that do not have a system of their own that meets the federal stringency requirements. In Alberta, Saskatchewan, Manitoba and Ontario, about 90% of direct proceeds from carbon pollution pricing are returned to residents through CAI payments. The federal government does not keep any direct proceeds from carbon pollution pricing.

Deputy Prime Minister and federal Minister of Finance Chrystia Freeland stated, “Putting a price on carbon pollution is the most efficient way to bring down our emissions, and our federal system gives the proceeds back to Canadians.”

She said, “By moving to quarterly Climate Action Incentive payments, we are providing more money to eight out of every 10 families in Ontario, Manitoba, Saskatchewan, and Alberta on a more regular basis.”

Full details on payment amounts are available at the CAI webpage.

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