The Saskatchewan government has officially refused to send Ottawa federal carbon levy funds from natural gas after promising taxpayers relief.
SaskEnergy Minister Dustin Duncan said on a video posted to X by Saskatchewan Premier Scott Moe that he was standing in Ottawa, where 40 years ago, Pierre Trudeau took a walk in the snow and decided to resign as Prime Minister.
“Today, I took a walk in the rain and made an important decision about the carbon tax. After the cold start that we’ve had to the week, we’re all well aware that it’s still winter in Saskatchewan. And Justin Trudeau continues to leave Saskatchewan people out in the cold,” said Duncan.
Duncan said that the carbon tax has always been unaffordable, and up until the Liberals implemented an exemption on home heating oil, primarily benefiting Atlantic Canada, it has been applied fairly. The exemption gave a cold shoulder to Saskatchewan, said Duncan.
“When asked what it would take to extend similar affordability relief to families in Western Canada, a Liberal minister suggested that we should elect more Liberals. That’s no way to run a country,” said Duncan.
Saskatchewan’s premier posted on X saying that when Trudeau gave a carbon tax exemption on heating oil to Atlantic Canada, he called it “relief amid soaring costs of living” and “the right outcome.”
“When our government does the same by taking the carbon tax off natural gas for Saskatchewan families, the Trudeau government calls it ‘anarchy.’ Has there ever been a more divisive federal government?”
Moe said that Saskatchewan would not accept this unfair treatment, leading the province to stop collecting the carbon tax on residential bills. The cessation of collection will save the average household in Saskatchewan $400 this year, according to Duncan.
Speaking after Saskatchewan’s announcement on Thursday, Minister of Energy Jonathan Wilkinson said that the government of Saskatchewan was attacking its people’s wallets.
“I’m very disappointed for two different reasons. The first is that the decision not to remit essentially is going to hurt people in Saskatchewan. They will no longer get the rebate. The rebate actually provides more money for most families in Saskatchewan,” said Wilkinson.
He added that Duncan said it would save people $400, but the rebate for a family of four is $1,500, and in rural areas, it’s $1,800.
The Canadian Taxpayers Federation called on the government last year after the Parliamentary Budget Officer’s report showed the carbon tax cost families more than they got back in rebates.
After showing the total cost minus the rebates, the carbon tax cost the average family $710 in 2023 after rebates. The average cost in Saskatchewan was $410. For 2024-25, the PBO report shows this amount increases to $525 and increases every year thereafter to the final date calculated of 2030-31, which would cost Saskatchewan families $1,723 after rebates.
Duncan said that this is not a decision the province takes lightly and understands that it may come with consequences. Last December, the Saskatchewan legislature unanimously passed a law giving the province exclusive responsibility for compliance with the federal carbon tax on home heating.
“This is also about fairness and our government refusing to allow Trudeau to treat Saskatchewan people like second-class citizens,” said Duncan.
However, SaskEnergy is breaking federal emissions law by choosing not to remit the carbon levy, which could result in fines or potential jail time for executives, according to Global News.
In addition to no longer collecting the carbon tax on SaskEnergy bills, the government of Saskatchewan will not be remitting the federal carbon tax on natural gas that Saskatchewan families have used to heat their homes.
“The Trudeau-NDP carbon tax has been a disaster, driving up the cost of almost everything while doing nothing to reduce emissions. The real solution would be for Trudeau to scrap the carbon tax on everyone and everything,” said Duncan.
Until that happens, Saskatchewan families will not pay Ottawa for their household SaskEnergy bill. The federal government will not receive those amounts from the government of Saskatchewan.