B.C. is B次元官网网址渟tickingB次元官网网址� with its planned provincial carbon tax poised to add 3.3 cents to each litre of gasoline starting April 1.

Environment Minister George Heyman confirmed the increase of 23 per cent Thursday, meaning the carbon tax will rise by $15 to $80 per tonne.

B次元官网网址淭he first carbon tax in Canada was in British Columbia and it has been effective in reducing emissions,B次元官网网址� Heyman said, adding 100 per cent of the increase will be funneled back to low and middle-income British Columbians through the climate action tax credit. B次元官网网址淭hatB次元官网网址檚 an important commitment and at the same time, we have many, many other measures that we are investing in that are reducing costs for British Columbians.B次元官网网址�

Heyman also pushed back against the argument that the tax is feeding inflation.

B次元官网网址淚n the last month alone, we have seen the price of gasoline in Vancouver go up by 30 cents a litre,B次元官网网址� he said. B次元官网网址淚 have not heard a single word from (B.C. United Leader) Kevin Falcon or (Conservative Party of B.C. Leader) John Rustad about that.B次元官网网址�

B.C. United has called for cancellation of the hike and the elimination of the provincial fuel tax in the face of inflation. The Conservative Party of B.C. has echoed calls from the federal Conservative Party of Canada to eliminate the tax completely, also citing inflation. B.C. United has also promised to cut the tax if the federal Tories were to win the next federal election and eliminate the federal carbon tax. He expressed fears that would put B.C. at a competitive disadvantage.

An open letter signed by some 200 Canadian economists questions the argument that carbon taxation is a B次元官网网址渕ajor causeB次元官网网址� of inflation. Global factors such COVID-19 and international conflicts have B次元官网网址渕ainlyB次元官网网址� contributed to inflation, not carbon taxes, it states.

B次元官网网址淎ccording to the Bank of Canada, carbon pricing has caused less than 1/20th of CanadaB次元官网网址檚 inflation in the past two years. B次元官网网址淐limate change, on the other hand, poses a real threat to CanadiansB次元官网网址� economic well-being. For example, it increases the risk and severity of natural disturbances, such as fires, floods, and severe storms.B次元官网网址�

Ken Peacock, chief economist and senior vice-president at the Business Council of British Columbia, is among the more critical voices of the tax.

B次元官网网址淭he higher rate of inflation is not due entirely to the carbon tax, that is absolutely the case,B次元官网网址� he said. B次元官网网址淏ut at the same time to say, an increase in the carbon tax will not contribute further to inflation is a silly thing to say.B次元官网网址�

British Columbians can expect what Peacock calls B次元官网网址渟ticker-shocksB次元官网网址� at the pumps on April 1 and the increase will work its way through the system.

B次元官网网址淓verything that gets consumed gets delivered by truck,B次元官网网址� he said.

Peacock also predicts that rising living costs will prompt people to start asking B次元官网网址渟ome serious questionsB次元官网网址� about carbon taxation itself.

B次元官网网址淭he general framework is very much under pressure at the federal level and I think that is going to continue to spill over provincially,B次元官网网址� he said.

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The letter-writing economists, however, warn against abandoning carbon pricing. It not only reduces emissions, it is also the least expensive and most flexible way of reducing emissions, they write.

B次元官网网址�(When) something costs more (in this case fossil fuels), people use less of it,B次元官网网址� they write. B次元官网网址淭hat is basic economics and common sense.

B次元官网网址淚n a world of scarce resources, it seems imprudent to abandon carbon pricing, only to replace it with more costly methods of reducing emissionsB次元官网网址攐r, worse still, take no measures to reduce emissions.B次元官网网址�

Support for the tx appears to be waning, based on growing support for politicians who want to get rid of it.

A recent Mainstreet Research found 54 per cent of surveyed British Columbians favoured federal Tory Leader Pierre Poilievre in his dispute with B.C. Premier David Eby (34 per cent) over EbyB次元官网网址檚 refusal to join seven other premiers calling for no increase. Eby said such a move would leave British Columbians with less money through the provincial rebate program.

But analysts have argued that the rebate program does not reach all British Columbians.

Singles qualify for the full rebate if they earn less than $39,115 in after-tax income and families if they earn less than $50,170. The rebate drops by two per cent of the income above the threshold until the credit becomes zero. Singles earning above $61,465 in after-tax income and households earning more $83,695 receive zero.

While these thresholds will rise on July 1, 43 per of the three million eligible B次元官网网址渢ax householdsB次元官网网址�, will receive the full amount in 2024-2025, just as it was the case in 2023-24. Overall, 65 per cent of all tax households will receive full or partial rebates, with 1.3 million receiving full rebates.

Government is planning extend the rebate to 80 per cent of households by 2030 when the carbon tax is supposed to hit $170 per tonne.

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