Tories back carbon charge pricing

OTTAWA — Conservative leader Erin O’toole has released a climate platform that puts a $20-per-tonne carbon charge on fuel — a major change of direction for a party that has repeatedly attacked Prime Minister Justin Trudeau’s federal carbon price on fuels.

The climate plan, which the Conservatives say will achieve equivalent emissions reductions to what the federal Liberals are promising, also includes an industrial carbon pricing regime and a package of regulations around zeroemission vehicles, a low carbon fuel standard, and renewable natural gas.

But it is the fuel charge that is certain to draw the most attention and will prompt significant blowback internally for O’toole, who has steadfastly promised to scrap Trudeau’s “carbon tax.”

O’toole insisted on Thursday that his plan does not constitute a consumer carbon tax because the money will go into a personalized “low carbon savings account” that can be spent on environmentally-friendly purchases. The Liberal program, meanwhile, sees the money collected by the federal government and redistributed to consumers through tax rebates.

“Zero dollars go to government,” O’toole said about his plan. “This is not a tax at all, I have said it is a pricing mechanism for consumers. It will be one third the pricing of Mr. Trudeau’s ever-rising carbon tax, but nothing goes to government. It is not a tax.”

However, the Conservative plan sees a fuel surcharge that consumers pay, rising to a maximum of $50 per tonne. That’s lower than the Liberals’ price, which is set to rise to $50 per tonne in 2022, and then jump annually until it reaches $170 per tonne by 2030. But it’s still high enough for some critics to slam O’toole for backtracking on his pledge to scrap the carbon tax.

“It’s outrageous that O’toole is now planning to hammer Canadians with higher fuel bills through his very own carbon tax,” said a statement from Franco Terrazzano, Alberta Director for the Canadian Taxpayers Federation. “When he was running for leader, O’toole pledged to taxpayers that he would fight carbon taxes. If he goes through with this scheme, he will be breaking his promise to Canadians.”

In introducing the plan, O’toole cited his inspiration as coming from former Prime Minister Brian Mulroney, who had called for “innovative Canadian leadership on climate change” in a 2019 speech.

“He reminded us that there is still a place for daring in the Canadian soul when it comes to climate change,” O’toole said. “Daring means that we must take serious action on climate change.”

O’toole’s move to include a carbon charge on fuel was welcomed by Clean Prosperity, a non-profit that advocates carbon pricing.

“I think this is actually a really positive news story because it brings the Conservatives into the conversation around what we need to do in Canada around climate policy,” said Michael Bernstein, the organization’s executive director.