Alberta’s government is seeking public input on a proposal to phase out marked fuel and instead apply the same tax exemption to clear fuel, in a move aimed at reducing red tape and cutting costs for producers and fuel sellers.The consultation, which runs from August 1 to 31, invites feedback from marked fuel purchasers and sellers through an online survey. Recommendations based on the responses will be presented to government this fall for consideration.Currently, marked fuel is sold at a reduced tax rate of four cents per litre for farming and off-road industrial use in sectors such as agriculture, oil and gas, and forestry. Though the fuel tax exemption rate will remain unchanged, officials say switching to clear fuel could simplify the process and offer savings..“We’re committed to supporting Alberta’s agricultural and resource sectors with practical, cost-saving solutions,” said Finance Minister Nate Horner. “This proposal could reduce red tape and put more money back into producers’ pockets.”Agriculture and Irrigation Minister RJ Sigurdson emphasized the government’s focus on listening to producers. “We’ll ensure this farm fuel tax break continues in a way that makes sense for those who need it most: the farmers and ranchers who work tirelessly to put food on tables across Alberta and around the globe.”Marked fuel, which is dyed to distinguish it from taxed clear fuel, is currently available to eligible producers with an Alberta Farm Fuel Benefit exemption number and to certain commercial or government users with a valid Tax Exempt Fuel User certificate.
