Trudeau increases carbon tax 50 percent despite pandemic

Written By Wyatt Claypool, Posted on April 1, 2020

As of midnight, the Trudeau Liberals will have raised the federal carbon tax by 50 percent, amid the COVID-19 pandemic. The tax will now be $30 per tonne up from $20. 

The Prime Minister’s announcement that the government would be going forward with their previously planned carbon tax increase came as somewhat of a surprise as Trudeau had remained tight-lipped about its status up until last Wednesday. 

The Liberals’ justification for the steep carbon tax increase, while most of the world is on lock down, is that they believe the re-distributive element of the carbon tax will be leaving each Canadian family with more money. For example, the average rebate in Ontario is $307 per year per adult.

The amount given in each cheque is not being contested, although many are criticizing the net effect of the carbon tax on consumers.

The Canadian Taxpayers Federation (CTF) believes that the carbon tax will lower the buying power of Canadians despite the re-distributive tax, in theory, giving back more to individual Canadians.

CTF Director Aaron Wudrick said, “Anything that shows up in a grocery store right now usually gets there by truck … so we’re going to see prices get impacted by this … so this is not a great time for any tax increase.” 

In advance of the tax increase, there were preliminary estimates made by the Agricultural Producers Association of Saskatchewan (APAS) that had shown the carbon tax increase would decrease their income by 12 percent. Producer costs are also set to increase, which are offset to the consumer.

The APAS highlighted that the carbon tax would affect all aspects of agricultural production from cultivation to grain drying, and rail and truck transportation. The additional effect of supply shortages and increased demand due to bulk buying on top of the carbon tax increase is still unknown.

Former Liberal MP Dan McTeague criticized the Liberals’ carbon tax increase on Twitter, asserting that the effects of it were “inflationary & not rebated,” referencing the indirect boost in prices for products and services.

McTeague had labelled the Liberals’ promotion of the carbon tax rebates as a “lie” as the Liberals did not explain its overall effects well. He described the move as “damaging to most families.”

It has yet to be seen, but on a political level, not putting off the carbon tax increase during the COVID-19 pandemic will not bode well for their future popularity. For Western Canadians this holds especially true because of its devastating impacts to the oil and gas industry.  

When Trudeau posted a tweet yesterday, thanking truck drivers for keeping Canada’s supply lines open on the eve of the carbon tax increase, he received a deluge of anti-carbon tax comments.

One additional issue caused by COVID-19 will be disrupting the discourse surrounding the carbon tax. Now, it is difficult to properly discuss the carbon tax because of the continuing health crises, which has many disengaged from partisan politics.

Wyatt Claypool

Wyatt is a student at Mount Royal University, where he is the president of its Campus Conservative club. In his writing, he focuses on covering provincial and federal politics, firearms regulation, and the energy sector. Wyatt has also previously written for The Post Millennial.

7 responses to “Trudeau increases carbon tax 50 percent despite pandemic”

  1. Someone says:

    Can we get rid of him permanently

  2. Dan Lauzon says:

    Imposing the carbon Tax which is a means of the govt to receive more of our tax dollars to give to other countries, is like putting salt on a wound.
    What we need is a non confidence vote and get this traitor out of office.

  3. James Wigglesworth says:

    Well Mr. Trudeau you took advantage of the house not sitting to increase the carbon tax. As far as I am concerned, given it didn’t go through the house it is an unconstitutional and you out to be sanctioned for it. We have a democratic process use it remotely . We have the technology

  4. Nik says:

    Well their own pay raises went ahead so why not go ahead with raising our taxes right!? Its the liberal way.. Then give it away to someone somewhere else in some other country who never contributed a thing to Canada. Why? For Turdo’s global UN hero status. Even though the world knows he’s a clown.

  5. Angel Ross says:

    Thank you Mr.Trudeau for finally putting the carbon tax in place. I have been praying for the day a Federal Leader would implement it, & not just say they would. For the nay sayers: I know that budgets are tight for a lot of folks, yet the carbon tax will help to pay for medical appointments & much needed therapies for people like me. I was once an active, type A, member of society worked, volunteered. Since 2005 I was only approx 34 when horrible symptoms started showing up, now I’m 48, both ages too young to be suffering from compromised immune system, Multiple chemical sensitivity/ Idiopathic Environmental Allergies & Intolerances, Asthma, Sleep Apnea, Psoriasis, Fibromyalgia, Chronic Fatigue Syndrome, Myalgic Encephalomyelitis, Migraines, etc… I now have two lumps on my right knee & waiting for Covid-19 to end, to see specialist to rule out cancer. This carbon tax will be good overall, you’ll see. We will get innovative and to avoid to pay the carbon tax. The less carbon we use, the healthier we will become as a nation. I pray that my 18 son & my other loved ones do not get sick like me. Mr. Trudeau is a compassionate leader, if you feel you will have difficulties paying the carbon tax, consider coming up with low-carbon usage ideas that you can receive tax credits for to balance out what you pay in carbon tax. Like if you put solar power on your roof, you get a federal tax credit for the energy you put back in the hydro system & tax credit for each solar panel you do purchase. Ask for a tax credit if you put low-flow faucets & shower head, toilet. Ask for tax credit if you buy a bus pass to get to work & school. Ask if your employer allows you to work from home, can you get a tax credit for not using a vehicle to get to work. Ask for a tax credit if you insulate your house with high Rvalue & replace old windows with EnerStar ones. While our Nation is on lock down during Covid-19, it is a good time to put a low-carbon lifestyle in place. Like the hare, slowly but surely wins the race. Remember when a lot of people freaked out when more & more places became smoke-free, & then it was implemented every where, people were freaking out, & saying food & entertainment businesses will never survive. Well, they did survive, & some thrived because non-smokers like myself were now able to attend these venues & venues became more creative & competitive for our business! God Bless all of you fellow Canadians xoxox 🇨🇦💖🇨🇦💖

  6. Concerned citizen says:

    Angel Ross – if one has difficulties in paying the carbon tax, how do you expect them to be able to afford solar panels, new faucets/shower heads, new windows, and/or new insulation? Give me a break. Times are stressful enough during this pandemic, increasing the carbon tax at a time like this with decreased income for a lot of people is a low blow.

    As for Trudeau being a compassionate leader, I beg to differ. Not so much compassion shown from him towards the struggling oil/gas sector in the western provinces when he is such a self-proclaimed “champion for jobs” in this country.

  7. Alex MacCallum says:

    This is what is wrong with voting in Canada!! 60 % of voters did not vote for the Liberals, yet we still got stuck with them. Things need to change to get democracy back!!