Guilbeault defends carbon price, says on average, households will pay more but rich will shoulder burden
Canada’s environment and climate change minister says that on average, households may eventually pay more for the carbon price than they get back in rebate payments, but the Liberal government is helping Canadians lower their energy costs in other ways.
The carbon price increased this weekend, from $50 to $65 per tonne. According to the Canadian Taxpayers’ Federation, the change will translate to a higher cost for consumers at the gas pumps, from the current 11.05 cents per litre, to 14.31 cents per litre, among other impacts.
The hike comes just days after a this week stating that by 2030, when the price of carbon is expected to reach $170 per tonne, most households will see a net loss, despite the rebate payments offered by the federal government to offset the surcharge.
“When both fiscal and economic impacts of the federal fuel charge are considered, we estimate that most households will see a net loss,†PBO Yves Giroux said in a statement following release of the report. “Based on our analysis, most households will pay more in fuel charges and GST—as well as receiving slightly lower incomes—than they will receive in Climate Action Incentive payments.â€
Environment Minister Steven Guilbeault told CTV’s Question Period host Vassy Kapelos in an interview airing Sunday that while "on average, households will pay more†because of the carbon price increase, even after the rebates, he says the system is designed to be proportional, meaning wealthier Canadians will still foot larger bills.
“If you do the average, yeah, it's true, it's going to cost more money to people, but the people who are paying are the richest among us, which is exactly how the system was designed,†he said.
“So the rich pay more for their carbon consumption and their carbon pollution, and we're supporting, through the transition, middle class Canadians and low income Canadians, and that's exactly what we're doing,†he also said.
Guilbeault said that while the rebates may not cover the full cost for Canadians, the federal government is doing a number of other things to mitigate the cost of climate change and help people transition to a lower carbon future. He cited incentive programs to purchase electric vehicles, and home energy retrofits to reduce home heating costs, as examples.
“This is another way we're helping Canadians reduce their environmental impact, but also their overall energy costs,†he said, adding the PBO’s report does not take into account the cost of the impacts of climate change.
But when pressed on the system itself and a commitment that most households wouldn’t be out of pocket for the carbon price, Guilbeault again pointed to it being proportional, and lower income Canadians seeing greater rebates.
“We have said that the rebates would help the people most in need in Canada and that's exactly what the system is doing,†he said.
Guilbeault also said in a statement this week the PBO report does “not account for economic opportunities that come with driving clean tech innovation,†and referenced the recently tabled federal budget and the earmarked funds for clean energy included in it.
“That’s like a business calculating their revenues, by looking only at one side of their ledger book,†he said of the PBO report.
The federal Conservatives have repeatedly issued calls for the Liberals to axe the carbon price, with party leader Pierre Poilievre saying in the House of Commons this week: “It’s April Fool’s Day, and the joke will be on Canadians. Why won’t they cancel this tax?â€
Meanwhile in Ontario, the carbon price became a between Premier Doug Ford and Guilbeault this week. Ford has been critical of the program, and on Wednesday, Guilbeault said he found the comment “incredibly rich coming from a premier who has no plan to fight climate change.â€
The comment prompted the premier to call Guilbeault a “real piece of work.â€
“I didn't say that Ontario wasn't doing anything,†Guilbeault told CTV’s Question Period. “I said that the Ontario government has no climate plan, which is true, and they've admitted as much themselves.â€
He added he considers a “plan†one with a series of measures with targets and progress reporting.
Guilbeault said despite the back-and-forth comments this week, he works closely with the Ontario government and its ministers to "try and find a path forward" on several environmental projects and policies.
With files from Â鶹´«Ã½â€™ Stephanie Ha
IN DEPTH
Jagmeet Singh pulls NDP out of deal with Trudeau Liberals, takes aim at Poilievre Conservatives
NDP Leader Jagmeet Singh has pulled his party out of the supply-and-confidence agreement that had been helping keep Prime Minister Justin Trudeau's minority Liberals in power.
'Not the result we wanted': Trudeau responds after surprise Conservative byelection win in Liberal stronghold
Conservative candidate Don Stewart winning the closely-watched Toronto-St. Paul's federal byelection, and delivering a stunning upset to Justin Trudeau's candidate Leslie Church in the long-time Liberal riding, has sent political shockwaves through both parties.
'We will go with the majority': Liberals slammed by opposition over proposal to delay next election
The federal Liberal government learned Friday it might have to retreat on a proposal within its electoral reform legislation to delay the next vote by one week, after all opposition parties came out to say they can't support it.
Budget 2024 prioritizes housing while taxing highest earners, deficit projected at $39.8B
In an effort to level the playing field for young people, in the 2024 federal budget, the government is targeting Canada's highest earners with new taxes in order to help offset billions in new spending to enhance the country's housing supply and social supports.
'One of the greatest': Former prime minister Brian Mulroney commemorated at state funeral
Prominent Canadians, political leaders, and family members remembered former prime minister and Progressive Conservative titan Brian Mulroney as an ambitious and compassionate nation-builder at his state funeral on Saturday.
Opinion
opinion Don Martin: Gusher of Liberal spending won't put out the fire in this dumpster
A Hail Mary rehash of the greatest hits from the Trudeau government’s three-week travelling pony-show, the 2024 federal budget takes aim at reversing the party’s popularity plunge in the under-40 set, writes political columnist Don Martin. But will it work before the next election?
opinion Don Martin: The doctor Trudeau dumped has a prescription for better health care
Political columnist Don Martin sat down with former federal health minister Jane Philpott, who's on a crusade to help fix Canada's broken health care system, and who declined to take any shots at the prime minister who dumped her from caucus.
opinion Don Martin: Trudeau's seeking shelter from the housing storm he helped create
While Justin Trudeau's recent housing announcements are generally drawing praise from experts, political columnist Don Martin argues there shouldn’t be any standing ovations for a prime minister who helped caused the problem in the first place.
opinion Don Martin: Poilievre has the field to himself as he races across the country to big crowds
It came to pass on Thursday evening that the confidentially predictable failure of the Official Opposition non-confidence motion went down with 204 Liberal, BQ and NDP nays to 116 Conservative yeas. But forcing Canada into a federal election campaign was never the point.
opinion Don Martin: How a beer break may have doomed the carbon tax hike
When the Liberal government chopped a planned beer excise tax hike to two per cent from 4.5 per cent and froze future increases until after the next election, says political columnist Don Martin, it almost guaranteed a similar carbon tax move in the offing.
CTVNews.ca Top Stories
BREAKING Lebanese health minister says 51 killed, 223 wounded in latest round of Israeli strikes
Lebanon's health minister said 51 people were killed and 223 wounded Wednesday in Israeli strikes.
Ontario Premier Doug Ford says he wants to build a tunnel under Highway 401 that would stretch from Brampton to Scarborough.
Helene strengthens into a hurricane, expected to intensify as it moves toward Florida
Helene strengthens into a hurricane and is expected to intensify as it moves toward Florida, forecasters say.
Coverage denied: Canadians hitting roadblocks with insurers after installing solar panels on their homes
More Canadians are installing solar panels on their homes, but some are facing challenges when it comes to getting home insurance after the panels are put in.
Yogurt recalled in Canada over risk of illness
A major yogurt maker is recalling one of its brands in Canada over concerns that it may cause illness in immunocompromised people.
Statistics Canada says population grew 0.6 per cent in Q2 to 41,288,599
Statistics Canada says the population of the country reached an estimated 41,288,599 on July 1.
A man who "systematically isolated, manipulated, deceived, abused, and exploited" an elderly North Vancouver woman has lost his ownership stake in her home.
DEVELOPING MPs to vote today on Poilievre's motion of non-confidence in PM Trudeau
Members of Parliament will vote today on a motion that could — but likely won't — bring down the minority Liberal government, and the Conservatives have already put the House of Commons on notice that more such votes are coming.
A tale of crushing security lapses and missed chances to stop the man who shot Trump
The acting director of the U.S. Secret Service was incensed at what had happened that July evening. 'What I saw made me ashamed,' Ronald Rowe Jr. said. 'I cannot defend why that roof was not better secured.'
Local Spotlight
An Indigenous artist has a buyer-beware warning ahead of Sept. 30, the National Day for Truth and Reconciliation.
Police are looking to the public for help after thieves broke into a Lethbridge ice creamery, stealing from the store.
An ordinary day on the job delivering mail in East Elmwood quickly turned dramatic for Canada Post letter carrier Jared Plourde. A woman on his route was calling out in distress.
Fire has destroyed a barn and 17,000 plants at a family-owned business in Lower Coverdale, N.B.
Before influencers on social media, Canada’s Jeanne Beker was bringing the world of high fashion down to earth and as Calgary’s Glenbow Museum gets a major make-over, it will include a new exhibition showcasing the pop culture icon.
A sea lion swam free after a rescue team disentangled it near Vancouver Island earlier this week.
A Nova Scotian YouTuber has launched a mini-truck bookmobile.
Cole Haas is more than just an avid fan of the F.W. Johnson Wildcats football team. He's a fixture on the sidelines, a source of encouragement, and a beloved member of the team.
Getting a photograph of a rainbow? Common. Getting a photo of a lightning strike? Rare. Getting a photo of both at the same time? Extremely rare, but it happened to a Manitoba photographer this week.