FOR IMMEDIATE RELEASE
May 18, 2023
Trudeau’s Second Carbon Tax to hit low-income households the hardest – PBO
Toronto – The Parliamentary Budget Office has released their cost analysis of the Trudeau government’s new Clean Fuel Regulations (CFR), dubbed Canada’s “Second Carbon Tax,” which comes into effect July 1, 2023.
According to CAE President Dan McTeague “This analysis confirms what I have been warning about for years. The Clean Fuel Standard is simply another tax grab by this government that will raise the cost of everything with no benefit to the environment.”
The PBO report notes that the CFR is “regressive for households” and will affect lower income households with less disposable income the greatest, because “lower income households generally spend a larger share of their income on transportation and other energy-intensive goods and services compared to higher income households.”
“It is shocking that this government insists on moving forward with another ineffective tax during a time of soaring household costs,” McTeague added. “Canadians are visiting food banks at record rates, and families are struggling to afford the basic necessities for their home. Can this government be any more out of touch?”
Canadians for Affordable Energy released their own assessment of the Clean Fuel Standard, prepared by LFX Associates. According to that report, the costs will be even higher than predicted by the PBO. Household energy costs will increase by 2.2 to 6.5% a year per household. In real money terms this will mean an extra $1,277 a year per worker.
“The government money grab needs to stop,” said McTeague. “The Clean Fuel Standard piled on top of the Carbon Tax will only further stifle the Canadian economy and make life more unaffordable for Canadians.”
Keeping energy services affordable must be an ongoing public policy priority for all levels of government. Founded in 2016, Canadians for Affordable Energy is a not-for-profit organization committed to speaking out on this issue of so there is an informed debate, and the interests of all Canadians are heard. It is led by Dan McTeague who served as a Member of Parliament for 18 years.
For media inquiries, please contact Dan McTeague at 647-220-0114 or at [email protected]