Carbon pricing in Canada: What it is, what it costs and why you get a rebate – Barrie360

Nov 2nd, 2023

Canada has had a national price on pollution since 2019, but the policy remains a political battleground — and Opposition Conservatives made clear Wednesday they intend to fight the next election over it.

Here is a brief overview.

1. What is the carbon price?

In 2018, Parliament passed the Greenhouse Gas Pollution Pricing Act, which established the legal mechanism under which the federal government requires provinces and territories to either establish a levy on greenhouse gas emissions or adopt the federal system. The legislation was first applied as of April 1, 2019.

There are two components to the policy. The first, the “fuel charge,” applies to all purchases of 21 different fuels (including combustible waste like asphalt shingles or tires) that are burned to produce heat or electricity. The distributor of the fuel typically pays the levy, with the cost passed down through the supply chain to consumers when they gas up their car, pay the household gas bill or fill a propane tank. It can be felt indirectly in the price of goods.

Read More: https://barrie360.com/carbon-tax-explained/