The Canadian Taxpayers Federation (CTF) is urging the federal government to end its corporate welfare for Northvolt’s electric vehicle battery plant after Quebec announced it is walking away from the project.“The federal government should follow Quebec’s lead and pull the plug on this risky corporate welfare,” said Franco Terrazzano, CTF federal director. “The Carney government can save taxpayers billions if it stops the flow of cash to multinational corporations now.”Quebec announced it is pulling the plug on a $7-billion battery project near Montreal and trying to recoup some of its spend, according to the Canadian Press..Ottawa pledged more than $4 billion in subsidies to Northvolt’s plant, while Quebec committed more than $2 billion. Of the federal subsidies, about $3.5 billion is production support and $1.3 billion is for construction and other costs, according to the Parliamentary Budget Officer. None of the federal money has yet been handed out, according to the Globe and Mail..The PBO reports Ottawa has put taxpayers on the hook for up to $31.4 billion in subsidies for battery plants and the electric vehicle supply chain.“The government is broke and it should not give taxpayers’ money to corporations,” Terrazzano said. “The government should be growing the economy by cutting taxes and red tape, not by making risky bets with taxpayers’ money.”
