Some were expecting to see the introduction of a carbon tax in this year’s provincial budget, but Finance Minister Cathy Bennett says the province is not required to implement a carbon pricing plan until next year.
There had been some hints that the carbon tax would replace the Temporary Gas Tax imposed in last year’s budget. That tax is being phased out, with 8.5 cents being cut from the cost of a litre of gasoline come June 1st, and another 4 cents as of December 1st. An announcement regarding the remaining four cents is expected in the fall fiscal update.
The provinces have until January of next year to come up with a carbon tax plan or face stiff penalties on emissions, starting at $10 dollars a tonne.
Bennett says it’s something that will be dealt with in the next budget.