Manitoba cancels carbon tax

October 3, 2018 2:46 pm

The Manitoba government is cancelling its carbon tax.

Premier Brian Pallister announced in the legislature today that he will defy the federal government's carbon pricing strategy and drop the carbon tax from his climate strategy.

His government was proposing a flat carbon price of $25 per tonne, while the federal government plan's would start at $10 per tonne in 2018 and rise by $10 per year until it hit a $50 mark by 2022.

Cap-and-trade style carbon tax plan unveiled for Manitoba's biggest emitters
Pallister said Wednesday it's become clear the federal government would not respect Manitoba's plan.

Ottawa's plan would impose an escalating tax that would threaten jobs and the province's economy, Pallister claimed.

He said Manitoba is not being given enough credit by Ottawa for its green economy, which includes the use of hydroelectricity.

"We are given absolutely no credit for this," Pallister said.

"Therefore, our course of action is clear. The federal government says Manitobans are not doing enough to protect the environment. We say no."

Pallister did not immediately say if there would be any other changes to his climate plan.

Saskatchewan has long opposed the federal carbon tax, and Doug Ford’s Ontario and Prince Edward Island have now said they will not accept Trudeau’s mandatory carbon tax.

P.E.I.’s environment minister announced earlier this year that his province “doesn’t require a tax to meet our targets” and so his government will instead be “fighting for Islanders” against one.

Alberta, B.C., Quebec and Nova Scotia are the only provinces that are currently in favor of the federal carbon tax, and Alberta's position may change following the next provincial election.