Federal Carbon Taxes Higher While Greenhouse Gas Emissions Increase: Government Data

Federal Carbon Taxes Higher While Greenhouse Gas Emissions Increase: Government Data
Highway traffic heads into Calgary in a file photo. (Jeff McIntosh/The Canadian Press)
Marnie Cathcart
4/19/2023
Updated:
4/19/2023

Greenhouse gas (GHG) emissions on a national level have increased, despite the federal government’s carbon tax, according to government data.

Environment Canada, in a National Inventory Report statement, said “emissions increased by 12 million tonnes,” which, according to Blacklock’s Reporter, contradicts Environment Minister Steven Guilbealt’s claim that “our plan is working.”

Emissions across Canada have only lowered in one province—Newfoundland and Labrador—and remain the same in British Columbia, Manitoba, Nova Scotia, and Prince Edward Island.

Alberta, Saskatchewan, Ontario, Québec, and New Brunswick have recorded an increase in emissions. Guilbealt said, “Our progress on climate change and lowering emissions is still ramping up.”

The April 2023 report covers the time frame of 1990 to 2021, and was submitted to the United Nations Framework Convention on Climate Change.
The report states, “Canada accounts for approximately 1.6% of global GHG emissions.”

Tax

On April 1, the federal government increased the carbon tax by 30 percent on the cost of fuel, from $50 to $65 per tonne. The Canadian Taxpayers Federation (CTF) estimated the jump will increase the price for consumers filling their gas tanks from 11.05 cents to 14.31 cents per litre, and the price of natural gas will go up 12 cents per cubic metre.

Under the Liberal government’s climate plan, the carbon tax, after rising to $65 per tonne starting April 1, will gradually go up by $15 every year until 2030, by which time it will cost $170 per tonne. A report by the Parliamentary Budget Officer estimates that by 2030, the net cost of carbon tax will hit $1,513 on average for Nova Scotian households, $1,512 in P.E.I., and $1,316 in Newfoundland and Labrador.

Alberta households will pay on average $2,773 by 2030–31, while those in Saskatchewan will pay $1,723, those in Manitoba will pay $1,490, and those in Ontario will pay $1,820.

As to how those carbon taxes have affected GHG, in 2020, government data indicates emissions overall were at 659 million tonnes and increased to 670 million tonnes in 2021.

According to the National Inventory Report, emissions from transport from 2005 to 2019 “have generally increased,” except in 2020, when countrywide lockdowns meant less traffic on the road and a decrease in air traffic. Guilbeault said the decrease was “an anomaly” due to COVID-19, in testimony before the House of Commons Environment Committee on May 3, 2022.

“What was a result of the economic slowdown that was obviously a result of the pandemic and what was a result of measures that we have been deploying in Canada over the last few years?” Guilbeault said.

“What the experts tell me is that it is very difficult to discern what comes from the plan and what would be more pandemic related,” he added.

Emissions

The government document indicates that the “majority of transport emissions in Canada are related to road transportation which includes personal transportation and heavy duty vehicles. The general growth trend in road transportation emissions is largely due to an increase in driving.”

In the House of Commons on June 22, 2022, Guilbealt said the carbon taxes were the reason emissions were down. “We have a plan. Our plan is working. Pollution levels in Canada are down. We will keep doing what we are doing,” he said.

Rural Development Minister Gude Hutchings echoed Guilbealt. “Our plan is working,” he told the House of Commons on March 30. Earlier, on Feb. 7, Winnipeg Liberal MP Kevin Lamoureux, parliamentary secretary to the Government House Leader, said, “It is working.”

Lloyd Longfield, Liberal MP for Guelph, Ontario, said the same thing on Feb. 7. “Our climate plan is working,” he said.

“Putting a price on pollution is the best market mechanism to fight the existential threat to our planet which is climate change. It is working,” stated Associate Finance Minister Randy Boissonnault in the House of Commons on Oct. 7, 2022.