First act to scrap cap-andtrade system

Doug Ford to give notice of withdrawal

TORONTO — Doug Ford said Friday he will scrap Ontario’s capand-trade system and fight a federal carbon tax as soon as his Conservative cabinet is sworn in later this month because the measures hurt families and do nothing for the environment.

To that end, the incoming premier said he will give notice of Ontario’s withdrawal from the carbon pricing market it shares with Quebec and California when he takes office on June 29.

Ford, whose party won a majority in last week’s election, said the government will provide clear rules for an “orderly wind down” of cap and trade, but did not specify when the legislature will be recalled to implement the bill needed to dismantle the system put in place by Kathleen Wynne’s Liberal government.

“Today, I want to confirm that in Ontario the carbon tax’s days are numbered,” he said. “In fact, upon the swearing in of my new cabinet, at the top of our agenda the very first item will be to pass an order to cancel the Liberal cap-and-trade carbon tax.”

Ford also said he would challenge the federal government’s rules requiring provinces to have carbon pricing in place.

“I will (be) directing my attorney general to use all available resources, to use every power at the government’s disposal, we will officially challenge the federal government carbon tax on Ontario families,” he said. “Because the cap-and-trade and carbon tax does nothing for the environment.”

During the spring election campaign, Ford’s team estimated challenging the federal carbon tax in court would cost taxpayers $30 million over four years.

A spokesperson for federal Environment Minister Catherine McKenna said the federal government’s jurisdiction is clear when it comes to implementing a carbon price on provinces.

“Ontario’s current pollution pricing system meets the federal standard,” Caroline Thériault said in response to Ford’s statement. “If the new government changes or eliminates its system, that assessment may change and the federal price on pollution would apply.”

Eliminating cap and trade will help deliver on a campaign promise to cut gasoline prices by 10 cents per litre, Ford said, while adding that he was putting gas distributors “on notice” about price fluctuations ahead of holiday weekends.

The cap-and-trade system aims to lower greenhouse gas emissions by putting caps on the amount of pollution companies in certain industries can emit. If they exceed those limits they must buy allowances at quarterly auctions or from other companies that come in under their limits.