It’s unfair to make Canadian companies pay carbon taxes if their foreign competitors don’t, says Prime Minister Justin Trudeau..Blacklock’s Reporter says the Liberals have endorsed in principle a proposal to impose carbon tariffs on inexpensive imports from coal-powered China manufacturers..“It’s not fair that Canadian industries are producing, to take an example, some of the cleanest aluminum in the world that are competing against people who are using coal-fired energy plants to produce aluminum that can offer a lower price for their aluminum than we can even though we’re protecting the planet with ours,” said Trudeau on Wednesday..“We have to look at making sure we are all working on the same competitive field.”.The federal carbon tax is targeted to reach at least $170 per tonne by 2030, the equivalent of an extra 27¢ per litre of propane, 34¢ more per cubic metre of natural gas, 40¢ more per litre of gasoline, 44¢ for aviation fuel and an extra 47¢ per litre for diesel..Speaking at the Woodrow Wilson Centre in Washington, D.C., Trudeau called the tax “one of the strongest broad-based prices in the world,” adding: “It is no longer free to pollute anywhere in Canada..“There has been lots of talk about carbon tax and carbon pricing,” said Trudeau..“You know, some countries have moved forward with a little bit. But we have a price on pollution that is going to rise to $170 a tonne by 2030..“People need to walk the talk on the fight against climate change and one of the best ways to do that is to actually bring in a price on pollution.”.A minimum carbon tax worldwide “is the next big step we should take to make sure it is fair and that we’re rewarding those companies, those consumers, those countries that are doing the right thing on reducing pollution and pricing it so it doesn’t happen as much.”.The Department of Finance in an August 5 discussion paper said it was wary of “disparities between Canada’s climate actions and those of key trading partners” that do not charge a carbon tax..The Department of Environment has researched carbon tariffs for five years..“Border carbon adjustments ‘level the playing field,’” said a 2016 department memo. Staff noted no country in the world had implemented carbon tariffs..“Border carbon adjustments can reduce the impacts on competitiveness of higher carbon costs and avoid carbon ‘leakage’ where production and emissions shift from a jurisdiction with a high carbon cost to a jurisdiction with a lower cost,” said the memo..The memo said any Canadian carbon tariff would likely be challenged by foreigners under World Trade Organization rules, and that cabinet could achieve the same result by exempting exporters from paying the Canadian carbon tax..“Providing free emissions or rebates to trade-exposed activities to address impacts on competitiveness can help domestic producers compete internationally,” the memo said.
It’s unfair to make Canadian companies pay carbon taxes if their foreign competitors don’t, says Prime Minister Justin Trudeau..Blacklock’s Reporter says the Liberals have endorsed in principle a proposal to impose carbon tariffs on inexpensive imports from coal-powered China manufacturers..“It’s not fair that Canadian industries are producing, to take an example, some of the cleanest aluminum in the world that are competing against people who are using coal-fired energy plants to produce aluminum that can offer a lower price for their aluminum than we can even though we’re protecting the planet with ours,” said Trudeau on Wednesday..“We have to look at making sure we are all working on the same competitive field.”.The federal carbon tax is targeted to reach at least $170 per tonne by 2030, the equivalent of an extra 27¢ per litre of propane, 34¢ more per cubic metre of natural gas, 40¢ more per litre of gasoline, 44¢ for aviation fuel and an extra 47¢ per litre for diesel..Speaking at the Woodrow Wilson Centre in Washington, D.C., Trudeau called the tax “one of the strongest broad-based prices in the world,” adding: “It is no longer free to pollute anywhere in Canada..“There has been lots of talk about carbon tax and carbon pricing,” said Trudeau..“You know, some countries have moved forward with a little bit. But we have a price on pollution that is going to rise to $170 a tonne by 2030..“People need to walk the talk on the fight against climate change and one of the best ways to do that is to actually bring in a price on pollution.”.A minimum carbon tax worldwide “is the next big step we should take to make sure it is fair and that we’re rewarding those companies, those consumers, those countries that are doing the right thing on reducing pollution and pricing it so it doesn’t happen as much.”.The Department of Finance in an August 5 discussion paper said it was wary of “disparities between Canada’s climate actions and those of key trading partners” that do not charge a carbon tax..The Department of Environment has researched carbon tariffs for five years..“Border carbon adjustments ‘level the playing field,’” said a 2016 department memo. Staff noted no country in the world had implemented carbon tariffs..“Border carbon adjustments can reduce the impacts on competitiveness of higher carbon costs and avoid carbon ‘leakage’ where production and emissions shift from a jurisdiction with a high carbon cost to a jurisdiction with a lower cost,” said the memo..The memo said any Canadian carbon tariff would likely be challenged by foreigners under World Trade Organization rules, and that cabinet could achieve the same result by exempting exporters from paying the Canadian carbon tax..“Providing free emissions or rebates to trade-exposed activities to address impacts on competitiveness can help domestic producers compete internationally,” the memo said.
