After the province announced plans to introduce legislation on Monday to eliminate the consumer carbon tax, the MLA for Peace River North—who campaigned on a platform to axe the tax—is sharing his reaction.
“Interesting that the NDP are finally now starting to think about the taxpayers,” says Jordan Kealy, arguing that the NDP “couldn’t run a lemonade stand properly.”
Speaking with CJDC, Kealy expressed concern about the $1.5-billion gap in the provincial budget, questioning where the funds will come from to fill the void.
“There’s going to be a decrease in that tax revenue, and they now have to try and fulfill their budget, so where is that money going to come from,” questioned Kealy. “And I think that’s where it leaves me very speculative.”
The MLA also warned of a potential increase in hydro rates as a consequence.
“Even though we’re seeing a reduction here in the carbon tax, the consumer carbon tax, we’re probably going to see a rate hike from B.C. hydro twice over,” said Kealy.
Earlier this month, the province announced in a media release that they will be submitting a rate stability direction to the B.C. Utilities Commission to set BC Hydro’s rate increases for the next two years – averaging 2.75% or an additional $3.75 per month.
However, they say these increases are staying below the cumulative inflation – nearing the lowest in North America and “about half” of what neighbouring Alberta pays.
Premier David Eby recently announced the province will eliminate the consumer tax following Prime Minister Mark Carney’s decision to scrap the federal tax. While B.C. plans to remove the carbon tax for individuals, it will continue to hold major industrial emitters accountable through the carbon-pricing system.
“On the industrial side, they’ll just keep on increasing the rates on that, and it’ll trickle down throughout our systems, so then the taxpayers pay it anyways,” said Kealy.
The Ministry of Finance acknowledged that removing the tax would require ‘change’ but expects fuel and gas retailers to ensure customers are not charged.
“I think it definitely is something that has to be regulated by the government. So then these retail outlets -- that’s where people are going to buy fuel, that need the fuel at a lower price point, that they’re not just getting gouged,” said Kealy.
It follows a significant overnight surge in gas prices at some Fort St. John Shell stations hitting $174.9 per litre, while just a short drive away, prices remained at $156.4.
“I think that’s completely wrong for them to abuse their consumers that way,” added Kealy.
Kealy also expressed frustration with excessive taxation, suggesting that the government relies too heavily on taxes as a source of revenue, and is advocating for exploring alternative revenue streams that could benefit the government without burdening citizens further.
“They just want to tax us to death -- we need to look at ways of bringing into the government new revenue streams that help, rather than just encourage more taxation,” said Kealy.
The province says they remain committed to battle climate change by ensuring people have affordable options to make “sustainable choices” and encouraging industries to innovate.