Connect with us
[the_ad id="89560"]

Alberta

Alberta taking feds to court to challenge legality of heating oil carbon tax exemption

Published

5 minute read

Accountability for Ottawa’s carbon tax double standard

Alberta’s government has filed an application at the federal court challenging the constitutionality and legality of Canada’s heating oil carbon tax exemption.

Alberta’s government is standing up against the federal government’s carbon tax exemption for heating oil to protect Albertans from the double standard Ottawa has created with the carbon tax, which means Albertans continue to pay carbon taxes to stay warm in winter.

Last fall, after years of insisting that the carbon tax is applied equally across Canada, the federal government exempted the carbon tax for heating oils, which are used predominantly in Atlantic Canada and Quebec. Over the last year, the federal government has refused multiple requests to grant a similar carve-out on other heating methods from Alberta and others across the country who are also facing rising costs of living.

Alberta’s government will now take this fight to the courts. Alberta filed an application seeking judicial review of the exemption with the Federal Court on Oct. 29, asking the court to declare that the exemption is both unconstitutional and unlawful. The application argues that Ottawa’s carbon tax exemption for heating oil is unconstitutional and inconsistent with the Government of Canada’s stated purpose for enacting the Greenhouse Gas Pollution Pricing Act.

“Last year, Ottawa decided Canadians in the East deserved a three-year break from paying the carbon tax on their home heating costs. While we’re happy for these Canadians, Alberta, Saskatchewan and other provinces who heat their homes with natural gas have been deliberately excluded from these savings. Albertans simply cannot stand by for another winter while the federal government picks and chooses who their carbon tax applies to. Since they won’t play fair, we’re going to take the federal government back to court.”

Danielle Smith, Premier

While the Supreme Court of Canada previously found the Greenhouse Gas Pollution Pricing Act was constitutional, it found that Canada’s jurisdiction to regulate greenhouse gas emissions was limited to the ability to create minimum national standards for carbon pricing for the purpose of reducing greenhouse gas emissions.

Alberta strongly opposes the federal carbon tax exemption on heating oil, as the federal government is no longer creating minimum national standards that apply evenly across the country, and is instead creating a regime that favours one region and fuel type over others.

 “This exemption is not only unfair to the vast majority of Canadians, but it is also unlawful as the federal government does not have the authority to make special exemptions for certain parts of the country under the Greenhouse Gas Pollution Pricing Act. The federal government isn’t even following its own laws now. Someone needs to hold them accountable, and Alberta is stepping up to do just that.”

Mickey Amery, Minister of Justice and Attorney General

The federal carbon tax adds to the rising cost of living for all Canadians. By 2030, it will cost Canadians $25 billion every year, in addition to lowering the gross domestic product (GDP) by $9 billion. In addition, the Bank of Canada has estimated that the federal carbon tax increases inflation by 0.15 per cent year over year.

Quick facts

  • Since Apr. 1, 2024, Albertans have been paying around 35 cents in federal taxes on every litre of fuel – along with the carbon tax, that also includes the federal excise tax and the GST.
  • The following percentage of households use home heating oil by province:
    • Forty per cent in Prince Edward Island
    • Thirty-two per cent in Nova Scotia
    • Eighteen per cent in Newfoundland and Labrador
    • Seven per cent in New Brunswick
    • Four per cent in Quebec
    • Two per cent in Ontario
    • One per cent in British Columbia
    • Less than one per cent in Alberta, Saskatchewan and Manitoba

Alberta

Another Blow To The Carbon Tax

Published on

From Project Confederation

By Josh Andrus

Five years ago, I announced the launch of Project Confederation on Danielle Smith’s CHQR 770 radio show.

That interview changed my life forever.

The project launch was driven by a belief that federal policies – including, but not limited to, the carbon tax – were unfairly targeting Alberta and our economy.

Five years later, we find ourselves opening the next chapter of a long-running saga.

Slowly but surely, Canadians – not just Albertans – have worked out that carbon tax doesn’t make sense, doesn’t work, and isn’t constitutional.

And as the public backlash to the carbon tax grew, the federal government compromised the policy even further, making it even more unpopular and even less constitutional.

On Tuesday, Danielle Smith, now Alberta Premier, announced that her government is going to court to challenge the constitutionality of Ottawa’s selective carbon tax exemption on home heating oils.

The carbon tax, of course, is the levy charged for fuel and combustible waste as outlined in the Greenhouse Gas Pollution Pricing Act and its regulations.

The carbon tax is a tax on everything.

Every product you consume relies on energy-intensive steps in the production cycle – whether it’s the combines harvesting crops, commercial trucks transporting goods, or the electricity powering lights and refrigeration at the grocery store, just to name a few.

This drives costs up throughout the production process in virtually every industry.

The carbon tax also serves as the flagship policy of the Liberal-NDP coalition government, which took office following the 2019 election – just two days before my first appearance on Danielle Smith’s show.

In the eyes of the federal government, the carbon tax represents a beacon to the world, signalling Canada’s new global position as a green, socialist utopia.

In the eyes of the voters, it represents a symbol of the Trudeau government’s unpopularity, a major contributor to ongoing affordability problems and a sluggish economy.

In the eyes of the provinces, it is a clear violation of provincial jurisdiction.

The Act requires provinces to establish these punitive carbon taxes, and if they don’t, the Act allows for Ottawa to impose carbon pricing.

When it was introduced, it faced immediate legal challenges from Alberta, Saskatchewan, and Ontario.

They were joined in opposition to the law by Quebec, Manitoba and New Brunswick – meaning that six provinces, making up over 80% of the Canadian population, believed the carbon tax was a violation of provincial jurisdiction.

The provinces contended that natural resources fall under provincial authority, and that the carbon tax essentially imposes a levy on resource development.

Ottawa, however, argued that climate change constitutes a national crisis and thus falls under federal responsibility.

In 2021, the Supreme Court ruled in favour of the federal government – on the premise that it could be applied as a “minimum national standard.”

“This is in fact the very premise of a federal scheme that imposes minimum national standards: Canada and the provinces are both free to legislate in relation to the same fact situation but the federal law is paramount.”

Just two years later, the Liberal-NDP coalition completely abandoned the minimum national standard by granting a carbon tax carve-out to home heating oils.

Here’s the catch.

In Alberta, Saskatchewan and Manitoba, less than one percent of households use home heating oils to keep their homes warm during cold weather.

That number rises to seven percent in New Brunswick, eighteen percent in Newfoundland and Labrador, thirty-two percent in Nova Scotia and forty percent in Prince Edward Island.

The carbon tax had become such an unpopular policy in Atlantic Canada that the Liberals, trying to stop their collapsing poll numbers, decided to try and regain some votes in the region.

If that weren’t enough, the Liberal government blatantly admitted that the decision was political.

On CTV’s Question Period, Rural Economic Development Minister Gudie Hutchings said  “I can tell you, the (Liberal) Atlantic caucus was vocal with what they’ve heard from their constituents, and perhaps they need to elect more Liberals in the Prairies so that we can have that conversation, as well.”

So much for the “minimum national standard.”

Immediately, the constitutionality of the carbon tax was called into question.

Saskatchewan Premier Scott Moe said the move was “not about fairness or about families, it’s only about votes.”

Moe moved swiftly, announcing that SaskEnergy – the Crown corporation that supplies natural gas to residents – would no longer collect or remit the carbon tax on home heating bills in Saskatchewan.

In a misguided effort to curry political favour in the Atlantic provinces, the Liberals have completely compromised the legal standing of the carbon tax and opened the door for provinces to explore new legal avenues against their signature policy.

Now, the Alberta government is seizing that opportunity by filing an application for judicial review of the exemption with the Federal Court, requesting a declaration that the exemption is “both unconstitutional and unlawful.”

“Albertans simply cannot stand by for another winter while the federal government picks and chooses who their carbon tax applies to,” Smith said in a statement. “Since they won’t play fair, we’re going to take the federal government back to court.”

Minister of Justice Mickey Amery added that:

This exemption is not only unfair to the vast majority of Canadians, but it is also unlawful as the federal government does not have the authority to make special exemptions for certain parts of the country under the Greenhouse Gas Pollution Pricing Act.”

“The federal government isn’t even following its own laws now. Someone needs to hold them accountable, and Alberta is stepping up to do just that.”

The carbon tax has always been unfair to western Canadians, where households use more energy per capita, thanks to our geography and climate.

In a press conference, Danielle Smith went further, saying:

“We’re calling on (the federal government) to repeal the carbon tax. We’ve been calling for that for years. The retail carbon tax is just punitive to taxpayers. It’s punitive to consumers.”

We agree.

It adds an additional expense at every level of the economy, affecting everything from home heating to transportation, and it creates an environment of higher prices on the goods and services we all rely on.

It’s time to take the action that should have been taken long ago.

It’s time to repeal the carbon tax.

Please sign this petition and join our effort to hold the federal government accountable:

Once you’ve signed, please share with your friends, family, and every Canadian.

Regards,

Josh Andrus
Executive Director
Project Confederation

Continue Reading

Alberta

Alberta Bill of Rights Amendment, Bill 24 – Stronger protections for personal rights

Published on

Please fill out the one question survey below

From Premier Danielle Smith

I’m reaching out to let you know about a crucial step we’re taking to protect your rights as an Albertan.

Our government has introduced Bill 24, the Alberta Bill of Rights Amendment Act, 2024, because we believe that individual freedom is the cornerstone of a strong Alberta. Over the past few years, we’ve seen what can happen when government actions go too far, especially during the COVID-19 pandemic. It became clear that we need stronger protections for your personal rights, and that’s exactly what we’re working to deliver.

Your personal choice in healthcare
One of the key parts of this legislation is ensuring that you have the absolute right to make your own medical decisions, including whether to receive a vaccine. No Albertan should ever feel forced or coerced into medical treatment, and this amendment puts that right front and centre.

Stronger property rights
Your property is yours, and we want to make sure that remains clear in Alberta law. With this amendment, you’ll be protected from having your property taken without lawful process and fair compensation. This is about putting Albertans first, ensuring you can enjoy what you’ve worked hard for.

Defending lawful firearms owners
We’re committed to standing up for lawful firearms owners in Alberta. Ottawa’s restrictive measures target law-abiding citizens, not criminals. Bill 24 reinforces your right to acquire, keep, and use firearms legally, and we’ll continue to push back against federal overreach on this front.

Protecting all forms of expression
Lastly, we’re expanding protections for your right to express yourself, not just in words but in all lawful forms. This amendment reflects our commitment to ensuring that all Albertans can freely share their beliefs without fear of government interference.

We introduced Bill 24 because Alberta should be the freest place in Canada, and we’re committed to making that a reality.


We want to do a quick check to see where you stand. Please take our one-click survey:
Continue Reading

Trending

X