Carbon tax will increase price of natural gas by 31%, gasoline pump price by 8% by 2021
Canadians for Affordable Energy: British Columbia’s carbon dioxide emissions tax is already costing taxpayers money out of their pocket, but a new study shows that suburban families and those using natural gas are being punished the hardest.
A consumer and household report on energy affordability from Canadians for Affordable Energy shows that delivered natural gas – the largest single source of energy used in British Columbia households – is set for a large price increase thanks to the provincial government’s carbon tax.
Approximately 1 million British Columbia homes use natural gas for their heating and appliances. Those natural gas costs will jump by 31 percent by 2021. This increase is of particular concern because natural gas represents about 53 percent of a household’s total spending on energy over the course or a year.
“British Columbia home owners should be prepared for an increase on their energy bills as the carbon tax is slowly ratcheted upwards," said report author Richard Laszlo. “The increase will be most heavy on families living in suburban areas like Burnaby. Those families tend to be larger, drive greater distances and use more natural gas to heat their homes.”
B.C. residents currently pay a carbon tax of $35 per tonne of carbon dioxide equivalent emissions. It will increase by $5 per tonne every year until 2021.
Natural gas is not the only energy source that will see costs going up. The carbon tax will also increase B.C. gasoline prices – already among the highest in Canada – by another eight percent.
A copy of the full report can be found HERE