A Memorial University political science assistant professor says the research has borne out that carbon pricing is an effective way to reduce carbon emissions.
Starting in July, the federal government is imposing the carbon tax on a number of provinces including Newfoundland and Labrador. That means a tax will be added to fuels including gas, home heating fuel, and diesel.
Elizabeth Schwartz says carbon pricing has been shown to be an effective way to address carbon pollution.
She says until now, there was no cost associated with the amount of pollution caused by the purchases we make. The idea says Schwartz, is that when you have to pay the full price of something, then you’re likely to use less of that thing.
Schwartz says the federal government is not only taxing those who use non-reusable fuel but providing a rebate that acts as an added incentive to transition off of fossil fuels, the theory being that someone who moves away from gas, diesel, and heating oil will make more money because the rebate is there whether you transition or not.