Saskatchewan is ditching the final vestige of carbon tax that’s tacked on to its industries.
In step with the provincial government withholding the carbon tax on on natural gas last year, Premier Scott Moe says from April 1, the government will not submit the tax making Saskatchewan ” the first carbon tax free province in Canada.”
Moe sees the immediate relief for consumers on their power bill and long-term a cost reduction on consumer purchases that have the industrial carbon tax built into their prices.
The Saskatchewan Association of Rural Municipalities (SARM) describes the removal as “a positive step towards fostering economic growth and stability in rural areas.”
“SARM appreciates the provincial government’s commitment to addressing environmental challenges through methods that respect provincial autonomy and support local economic development,” said Bill Huber, SARM President. “We look forward to continuing our collaboration with the government to ensure that our rural communities remain strong and resilient in the face of changing environmental policies.”
The Saskatchewan government is citing the fiscal move as a measure to alleviate the impact of U.S. tariffs.
“Pausing the industrial carbon tax will allow industries to grow and operate sustainably while maintaining our economic competitiveness during these uncertain times,” said Environment Minister Travis Keisig.
The government said it will continue to engage with industry on the future of its Output-Based Performance Standards Program which is a carbon pricing system for large industrial emitters offering federal carbon tax exemptions for industries that are enrolled.
