The Liberals' "Green Shift" carbon tax plan may actually be welcomed by the oilsands industry because it would create a pay-and-pollute system, says Conservative MP John Baird.
Speaking to Canada AM on Tuesday, Baird said he believes the plan would allow major oilsands polluters to maintain the status quo.
"They might actually like the Green Shift because what they could do is just simply go on, business as usual, and pay a user fee to pollute our atmosphere. We don't think that cuts it," Baird said.
The Conservatives' "Turning the Corner" environmental plan, Baird said, would force big polluters to cut their emissions with an eventual 20 per cent reduction in carbon emissions.
He said it also mandates carbon capture and storage regulations, which would require industry to trap carbon emissions and store them deep underground before they are released to the environment -- something he said has never been done before in Canada.
The Tory plan also promises to reduce the excise tax on diesel fuel -- something critics fear could actually lead to an increase in diesel consumption and therefore higher greenhouse gas emissions.
Baird dismissed the criticism, saying most Canadian goods are transported by rail or truck -- both heavy users of diesel fuel -- and "that's not going to change any time soon."
He said taxpayers need to be protected amid global economic uncertainty and warned the Liberal plan is too risky and would punish middle-class families.
"I don't think in these uncertain times we want to take a chance on a $16 billion new tax. It just seems risky, not worth the risk. What I think we want to do is actually force the companies to reduce their harmful greenhouse gas emissions," Baird said.
Liberals fire back
Liberal environment critic David McGuinty fired back, saying no environmental groups have approved the Conservative plan, and that the Liberals' strategy is the only one that would both benefit consumers and protect the environment by shifting the tax burden to polluters.
"We're going to shift taxation away from the things we want more of - more income, more productivity, more savings, more investment," McGuinty told Canada AM.
"We want to decrease pollution, we want to decrease waste, we want to decrease greenhouse gases, that's why the Conference Board of Canada just 10 days ago said Canada needs a carbon tax and it needs it now."
NDP weighs in
Nathan Cullen, the NDP's environment critic, said both plans are flawed and only his party's plan for a carbon cap and trade system, and increased environmental efficiency standards, would reduce the impact on the environment and reduce prices at the pumps.
He told Canada AM the New Democrats would also bring in a federal commission to ensure Canadians are fairly treated by gas companies and price fluctuations are justified.
"There is collusion going on, there is all sorts of discrepancies and Canadians are getting hosed at the pumps," Cullen said.
He added: "The climate change issue, though, is absolutely front and centre and Canadians are wanting solutions. They've had failure from this Conservative government, failure from the previous Liberal government and we believe New Democrats need to have a kick at the can here to make sure we get back on track."
The comments come as Alberta prepares to release a strategic energy plan for the province.
Premier Ed Stelmach is also talking about the possibility of building more oil refineries.
Stelmach said the government is talking to economists and people in the energy sector on the possibility of new refineries, but he's also waiting to see what the federal party leaders have to say about the issue during the campaign.
