We're finally told what Trudeau's carbon tax will cost us. Are you sitting down?
Far from being painless as advertised, the costs to households will be significant.
Three provinces — Alberta, Saskatchewan and Nova Scotia — will be hit with more than $1,000 of carbon tax per year to comply with the $50-per-tonne carbon tax Ottawa has mandated for 2022. Nova Scotia ($1,120) and Alberta ($1,111) will have the highest bills, followed by Saskatchewan ($1,032), New Brunswick ($963), Newfoundland ($859) and Prince Edward Island ($788 ). The average household in Ontario will pay $707 a year to comply with the carbon tax once its fully implemented.
Who gets the lowest bill? British Columbia ($603 per year), Quebec ($662) and Manitoba ($683). Simply put, households in provinces with the lowest bills will pay just a bit more than half compared to households in the hardest-hit provinces.
But it gets worse, since most experts say carbon prices must continue to increase sharply to effectively lower emissions. At $100 a tonne, for example, households in Alberta will pony up $2,223, in Saskatchewan they’ll pay $2,065 and in Nova Scotia, $2,240. In fact, at $100 a tonne, the average price for households in all provinces is well north of $1,000 per year.
Already across Canada, particularly in the Maritimes, a significant number of households fit the definition of “energy poverty” — that is, 10 per cent or more of household expenditures are spent simply procuring the energy needed to live (to power the home and transportation). In 2016, the Fraser Institute measured energy poverty in Canada and found that when you add up the costs to power the home and cars, 19.4 per cent of Canadian households devoted at least 10 per cent or more of their expenditures to energy.
Revenue neutral, eh?? Nope, just another tax grab.