Holt Liberals call on feds to suspend looming carbon tax hike

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Liberal Leader Susan Holt is calling on Justin Trudeau to suspend a looming carbon tax hike for one year, writing in an open letter addressed to the prime minister that it’s “unreasonable” to ask New Brunswickers to pay more amid the skyrocketing cost of living.

Holt released the letter on Friday afternoon as seven premiers, including Liberal Newfoundland and Labrador Premier Andrew Furey, made similar moves over the last few days.

That’s as Trudeau accused Furey earlier in the day of “caving to political pressure” while defending Ottawa’s embattled price on carbon as necessary in the fight against climate change.

Holt’s letter also comes as federal Conservative Leader Pierre Poilievre has planned a series of rallies in New Brunswick over the next few days calling on the tax to be axed completely.

“At a time when so many New Brunswickers are struggling to make ends meet, it’s unreasonable to ask them to pay more for a federal carbon tax increase,” Holt writes in the letter addressed to Trudeau.

“Today, we join our colleagues from across Atlantic Canada in asking that the federal government suspend the scheduled increase of the carbon tax on April 1 until April 2025.”

Holt continued that she’s heard directly from New Brunswickers during a recent tour of the province about how hard it is to keep up with the skyrocketing cost of living.

“They are making difficult choices to afford their family’s basic needs,” Holt said.

The carbon tax currently adds an extra 14.3 cents a litre to the price of gasoline, while also impacting the cost of other carbon emitting fuels, including natural gas.

That amount is again slated to increase to 17.6 cents on April 1.

But Trudeau shot back on Friday that while the cost of the price on carbon is grabbing headlines, “nobody is talking about” the quarterly rebate cheques that Canadians are receiving which he contends pays out more than most Canadians face in added cost.

“It’s about being there to support Canadians during this affordability crisis and the Canada Carbon Rebate helps out 80 per cent of Canadians with more money than they pay in terms of a price on pollution,” Trudeau said.

He later added: “It’s basic math.”

New Brunswickers will receive in April a quarterly carbon tax rebate cheque, just as the tax inches up.

It means $190 for a family of four and $95 for individuals in New Brunswick.

That’s $760 for a family of four over the next year, and $380 for individuals. It’s a figure that increases to $912 for families and $456 for individuals who live in rural areas, which is much of the province.

Trudeau then took direct aim at Furey.

“I think Mr. Furey is continuing to bow to political pressure,” Trudeau said.

“I think Canadians in Newfoundland and Labrador and right across the country expect their governments to do the right thing, and the right thing right now is not just fighting climate change.”

The premiers of New Brunswick, Nova Scotia, Prince Edward Island, Newfoundland and Labrador, Ontario, Saskatchewan, and Alberta all called this week for Trudeau to either pause or completely cancel the looming carbon tax increase.

Holt’s letter also blames the Higgs government for the rising cost of living, and specifically another added cost to the price of gas.

The federal government’s clean fuel regulations came into effect last July, requiring gasoline suppliers to gradually reduce the carbon intensity – or the amount of pollution – from the fuels they produce and sell for use in Canada.

But in New Brunswick, the Higgs government passed legislation that allowed the cost to be passed onto consumers, changing the price-setting formula for gasoline and other liquid fuels to include a “cost of carbon adjustor” in the province’s Energy and Utilities Board formula.

It’s another charge added to the price of gas, currently an extra 3.38 cents per litre, separate from the carbon tax, which Holt said, if removed, would make life affordable for New Brunswickers.

“They could do this immediately by cancelling the clean fuel adjuster, which shelters oil and gas companies from the fuel standard by making hard-working New Brunswickers to bear those costs instead,” writes Holt.

Brunswick News requested comment from the Higgs government but did not receive a reply by press time.