Canada, a Tax!

British Columbia unveils carbon tax

Posted at 5:57 AM on 20 Feb 2008

The Canadian province of British Columbia has announced it will implement a carbon tax beginning in July that could lead to a cut in greenhouse-gas emissions of about 3 million tons in the next five years. The tax is expected to bring in as much as $1.8 billion over the next three years by increasing the price of almost all fossil fuels in the province, though it's designed to be revenue neutral and won't raise funds for clean energy like Quebec's carbon tax. Instead, to enhance its appeal to consumers, B.C.'s carbon tax is being paired with a $100 rebate as well as a range of tax cuts. Officials hope to change consumers' habits for the better. "If you start to change your lifestyle even modestly ... you will have extra dollars in your pocket," said B.C. Finance Minister Carole Taylor. Critics stressed that industrial emissions from oil, gas, and cement production will not be taxed under the plan and that carbon prices will be relatively light at $10 per ton beginning in July and increasing to $30 per ton by 2012.

sources: The Globe and Mail, The Vancouver Sun, The Globe and Mail

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Comments: (4 comments)

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I Guess B.C. Is Not As Progressive As Quebec

Who would have thought? Go Habs!

by Wolverine at 11:49 AM on 20 Feb 2008

Neutrality

...though it's designed to be revenue neutral and won't raise funds for clean energy like Quebec's carbon tax.

I think being "revenue neutral" is a great move. It sends a message that carbon taxes can play the role of ordinary taxes, except that they discourage greenhouse gases, not profits.

That being said, there it would be a bit of stretch to say the proposed carbon tax is revenue neutral.

by pcarbo at 3:39 PM on 21 Feb 2008

More harm than good

This is NOT a carbon tax, but it gives the impression that it is one. People are going to fill up their tanks thinking that the new tax is offsetting their emissions, when it's actually going straight back to them in tax credits (minus administrative costs, of course).

This is a well-intended but poorly-implemented pigovian tax, and its only result will be to increase the cost of products on store shelves everywhere--because commercial truckers, who will be hardest hit, will pass the cost on to their customers.

geobeck

by geobeck at 10:28 AM on 26 Feb 2008

missapropriated tax revenues

The Citizens whom pay this tax, do not wish to subsidize existing fossil fuel technologies.

The only ethical use of this money is as Quebec does, othewise its just theft.
dennis baker
penticton BC

because I think what you are doing is very essential for the survival of the planet, and anybody who is hindering that needs to be pushed aside.

by dbaker at 4:55 PM on 08 Mar 2008

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