Business
Mark Carney is Planning to Hide His Revised, Sneaky Carbon Tax and This Time, No Rebates
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Liberal leadership candidate Mark Carney seems to think giving you a discount code on a new furnace or some extra insulation is the best way to help you with affordability.
And he’s going to pay for the discounts by hitting businesses like fuel refineries and power plants with a hidden carbon tax. Of course, those businesses will just pass on the cost.
Bottom line: You still get hit with that hidden carbon tax when you buy gas or pay your bills.
But it gets worse.
Prime Minister Justin Trudeau at least attempted to give you some of the carbon tax money back through rebates. The Parliamentary Budget Officer consistently made it clear the rebates don’t cover all of the costs. But at least you could spend the money on the things you need most.
But under Carney’s “affordability” plan, you don’t get cash to pay down your credit card or buy groceries. You can only use the credits to buy things like e-bikes and heat pumps.
Here’s how Carney explained it.
“We will have the big polluters pay for climate incentives by developing and integrating a new consumer carbon credit market into the industrial pricing system,” Carney told a Halifax crowd. “While we still provide price certainty for households when they make climate smart choices.”
Translation: Carney would still make Canadians pay, but he’ll only help them with affordability if they’re making “smart” choices.
Sound familiar? This is a lot like the scheme former opposition leader Erin O’Toole ran on. And it ended his political career.
Carney’s carbon tax plan is terrible for two reasons.
First: it’s sneaky. Carney wants to hide the cost of the carbon tax. A powerplant running on natural gas is not going to eat the cost of Carney’s carbon tax; it will pass that expense down to ordinary people who paying the bills.
Second: as anemic as the Trudeau government rebates are, at least Canadians could use the money for the things they need most. It’s cash they can put it towards the next heating bill, or buy a pair of winter boots, or pay for birthday party decorations.
That kind of messy freedom makes some central planning politicians twitchy.
Here’s the thing: half of Canadians are broke and a discount on a new Tesla probably won’t solve their problems.
About 50 per cent are within $200 each month of not being able to make the minimum payments on their bills.
With the cost of groceries up $800 this year for a family of four, people are watching flyers for peanut butter. Food banks have record demand.
Yet, Carney wants Canadians to keep paying the carbon tax while blindfolded and then send thank-you cards when they get a few bucks off on a solar panel they can’t afford.
Clearly the architects of Carney’s plan haven’t spent many sleepless nights worrying about paying rent.
One of Carney’s recent gigs was governor of the Bank of England where he was paid $862,000 per year plus a $449,000 housing allowance.
With ermine earmuffs that thick, it’s hard to hear people’s worries.
About a thousand Canadians recently posted home heating bills online.
Kelly’s family in Northern Ontario paid $134 in the carbon tax for December’s home heating. Lilly’s household bill near Winnipeg was $140 in the carbon tax.
The average Alberta household will pay about $440 extra in the carbon tax on home heating this year.
After the carbon tax is hiked April 1, it will add an extra 21 cents to a litre of gasoline and 25 cents per litre of diesel. Filling a minivan will cost about $15 extra, filling a pickup truck will cost about $25 extra, and a trucker filling a big rig will have to pay about $250 extra in the carbon tax.
Trudeau’s carbon tax data is posted online.
Carney’s carbon tax would be hidden.
Carney isn’t saying the carbon tax is an unfair punishment for Canadians who are trying to drive to work and heat their homes.
He says the problem is “perception.”
“It has become very divisive for Canadians,” Carney told his Halifax crowd about the carbon tax. “It’s the perceptions of the negative impacts of the carbon tax on households, without fully recognizing the positive impacts of the rebate.”
Carney isn’t trying to fix the problem. He’s trying to hide it. And he wants Canadians to be happy with discount codes on “smart” purchases instead of cash.
Kris Sims is the Alberta Director for the Canadian Taxpayers Federation.
Business
Federal Heritage Minister recommends nearly doubling CBC funding and reducing accountability
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The Canadian Taxpayers Federation is calling for the CBC to be completely defunded in the wake of the federal Liberal government’s recommendation to nearly double the state broadcaster’s cost to taxpayers and hide its budget reporting.
“It is outrageous for the government to try to hide the cost of the CBC from the taxpayers who are paying its bills,” said Franco Terrazzano, CTF Federal Director. “This government is totally out touch if it thinks it can nearly double CBC’s cost to taxpayers and try to hide its costs.”
Heritage Minister Pascale St-Onge said the government should nearly double the amount of money the CBC takes from taxpayers every year.
The CBC will cost taxpayers about $1.4 billion this year.
“The average funding for public broadcasters in G7 countries is $62 per person, per year,” St-Onge said. “We need to aim closer to the middle ground, which is $62 per year per person.”
Canada’s population is about 41.5 million people. If the government funded the CBC the way the minister is recommending, the CBC would cost taxpayers about $2.5 billion per year.
That amount would cover the annual grocery bill of about 152,854 Canadian families.
St-Onge also recommended the annual taxpayer funding for the CBC be removed from the government budget report and instead be entrenched in government statutory appropriations.
“I propose that it be financed directly in the legislation instead of in the budget through statutory appropriation,” St-Onge said.
“Canadians have told this government that the CBC costs them too much money, that it is not accountable to taxpayers and they don’t watch it, and now the government wants to double down on all those problems,” said Kris Sims, CTF Alberta Director. “The CBC is an enormous waste of money and journalists should not be paid by the government.
“The CBC must be defunded.”
Business
New climate plan simply hides the costs to Canadians
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From the Fraser Institute
Mark Carney, who wants to be your next prime minister, recently released his plan for Canada’s climate policies through 2035. It’s a sprawling plan (climate plans always are), encompassing industrial and manufacturing emissions, vehicle emissions, building emissions, appliance emissions, cross-border emissions, more “green” energy, more “heat pumps” replacing HVAC, more electric vehicle (EV) subsidies, more subsidies to consumers, more subsidies to companies, and more charging stations for the EV revolution that does not seem to be happening. And while the plan seeks to eliminate the “consumer carbon tax” on “fuels, such as gasoline, natural gas, diesel, home heating oil, etc.” it’s basically Trudeau’s climate plans on steroids.
Consider this. Instead of paying the “consumer carbon tax” directly, under the Carney plan Canadians will pay more—but less visibly. The plan would “tighten” (i.e. raise) the carbon tax on “large industrial emitters” (you know, the people who make the stuff you buy) who will undoubtedly pass some or all of that cost to consumers. Second, the plan wants to force those same large emitters to somehow fund subsidy programs for consumer purchases to offset the losses to Canadians currently profiting from consumer carbon tax rebates. No doubt the costs of those subsidy programs will also be folded into the costs of the products that flow from Canada’s “large industrial emitters,” but the cause of rising prices will be less visible to the general public. And the plan wants more consumer home energy audits and retrofit programs, some of the most notoriously wasteful climate policies ever developed.
But the ironic icing on this plan’s climate cake is the desire to implement tariffs (excuse me, a “carbon border adjustment mechanism”) on U.S. products in association with “key stakeholders and international partners to ensure fairness for Canadian industries.” Yes, you read that right, the plan seeks to kick off a carbon-emission tariff war with the United States, not only for Canada’s trade, but to bring in European allies to pile on. And this, all while posturing in high dudgeon over Donald Trump’s plans to impose tariffs on Canadian products based on perceived injustices in the U.S./Canada trade relationship.
To recap, while grudgingly admitting that the “consumer carbon tax” is wildly unpopular, poorly designed and easily dispensable in Canada’s greenhouse gas reduction efforts, the Carney plan intends to double down on all of the economically damaging climate policies of the last 10 years.
But that doubling down will be more out of sight and out of mind to Canadians. Instead of directly seeing how they pay for Canada’s climate crusade, Canadians will see prices rise for goods and services as government stamps climate mandates on Canada’s largest manufacturers and producers, and those costs trickle down onto consumer pocketbooks.
In this regard, the plan is truly old school—historically, governments and bureaucrats preferred to hide their taxes inside of obscure regulations and programs invisible to the public. Canadians will also see prices rise as tariffs imposed on imported American goods (and potentially services) force American businesses to raise prices on goods that Canadians purchase.
The Carney climate plan is a return to the hidden European-style technocratic/bureaucratic/administrative mindset that has led Canada’s economy into record underperformance. Hopefully, whether Carney becomes our next prime minister or not, this plan becomes another dead letter pack of political promises.
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