Higgs 'not optimistic' he can block federal carbon tax collection
Premier says he won’t put companies in position of violating federal legislation
Premier Blaine Higgs is already acknowledging he may not be able to make good on a threat to defy the federal government's carbon tax legislation by blocking its collection in New Brunswick.
The premier says he expects that legal officials will tell him that any such move would violate federal law, with potentially serious consequences for the province — and for businesses that collect and remit the money.
"I'm not about to break the law on this, obviously, and I don't have the opinion yet but I'm not convinced that we can even do it," Higgs said.
The premier mused in weekend interviews with CBC's The House and Rosemary Barton Live that he was seeking legal advice from government lawyers.
"I've asked the question internally: are we able to do that?" he said.
Saskatchewan Premier Scott Moe has indicated interest in blocking the collection of the carbon tax in his province. (Kirk Fraser/CBC)
Last week, Saskatchewan Premier Scott Moe said he would direct the province's power utility to stop collecting the carbon tax on other forms of home heating.
He was reacting to Ottawa's decision to stop the collection of the tax on home heating oil — which has higher per capita use in Atlantic Canada than anywhere else — but not on other fuels more commonly used in the west.
Higgs said his idea was to go even broader and end all carbon tax collection in New Brunswick, but "I'm not optimistic that we even have the ability to do that."
The province has no role in collecting the federal carbon tax. Companies that collect it remit it directly to Ottawa.
"That's how it works. Unless there's legislation barring us from doing so, we have to do it," said Gilles Volpé, the New Brunswick vice-president of Liberty Gas.
Gilles
Volpé of of Liberty Gas says the company would not want to be faced
with a provincial law requiring they violate a federal law. (CBC )
Volpé says Liberty agrees that the three-year pause on carbon pricing for home heating oil is unfair to people who heat with natural gas, which emits almost 40 per cent less carbon dioxide.
"Because some customers have done exactly what the carbon tax is supposed to do, which is get people to switch to a lower-emitting form of fuel, they're getting penalized now compared to those who haven't," he said.
But he said Liberty would not want to be faced with a provincial law requiring they violate a federal law.
"I don't see how that could happen," he said. "Hopefully we wouldn't get caught in the middle."
The federal Greenhouse Gas Pollution Pricing Act includes fines of up to $40,000 and up to a year of jail time for people who do not remit carbon tax revenue to Ottawa.
The
federal Liberals have been facing a wave of political backlash after
announcing a three-year carbon tax exemption for heating oil. (Toby Talbot/AP)
"It is entirely appropriate, and I think an expectation shared by all Canadians, that everyone in the country should follow the law," federal Finance Minister Chrystia Freeland said last week.
"That's our expectation, and it's our job to ensure that the law is enforced. It will be."
Asked if he was willing to go to jail for Higgs, Volpé said, "No, I don't think any of us are."
Higgs acknowledged that he would not "put a company in a position like that" by requiring them to violate a federal law.
In Saskatchewan, the government has discussed transferring the legal liability for violating the federal law from the provincial power utility to the government.
"I guess if it comes to that point where somebody's going to carbon jail, it likely will be me," said cabinet minister Dustin Duncan.
In
New Brunswick, the tax — 14.3 cents on a litre of regular gasoline this
year — is added to the maximum wholesale price as part of the Energy
and Utilities Board's price-setting formula, and is then passed on to
consumers. (Kirk Fraser/CBC)
N.B. Power spokesperson Dominique Couture said the utility "has not assessed the hypothetical question and cannot assume the wording of any future legislation or directives by executive council" about carbon tax money it collects.
Forcing the end of carbon tax collection at gas pumps is also complicated.
In New Brunswick, the tax — 14.3 cents on a litre of regular gasoline this year — is added to the maximum wholesale price as part of the Energy and Utilities Board's price-setting formula, and is then passed on to consumers.
Gasoline producers and distributors remit the money to Ottawa, not gas stations.
Higgs said that would mean removing it from the EUB formula, another potential conflict with federal law.
University
of New Brunswick law professor Nicole O'Byrne says the province can
just design its own policy, it doesn't have to refuse to collect the
tax. (Jacques Poitras/CBC)
University of New Brunswick law professor Nicole O'Byrne says there's no real legal avenue for New Brunswick, given the Supreme Court of Canada upheld the legality of the federal requirements.
She pointed out Higgs insisted that First Nations gas retailers could not refuse to remit provincial taxes after he cancelled revenue-sharing agreements with band governments.
"Anytime you have a provincial government proposing to not follow the law when they're actually legislators themselves, we're facing a very serious problem here," she said.
The premier said he hoped by raising the idea he would draw more attention to what he says is the impact of the carbon tax on the cost of living.
The Trudeau government's retreat on home heating oil just proves the point, he said.
"All of a sudden, carbon tax collection and climate change is not such a big issue. Affordability is the bigger issue," he said.
"What I'm hoping this stirs is, let's look at what the impact of carbon collection has actually done."
O'Byrne says there is one option for Higgs but it's one he has already abandoned.
The federal system allows provinces to design their own carbon pricing systems. Quebec's is a cap-and-trade system that complies with Ottawa's requirement without taxing consumers directly.
Higgs brought in a provincial system in 2020 but he abandoned it earlier this year and let the federal system take effect in New Brunswick.
Rather than engage in sabre-rattling about going rogue, O'Byrne says, the premier could just tailor a system more to his liking, with no direct charge to consumers.
"The province doesn't need to refuse," she said. "They can just design their own policy."
Corrections
- In an earlier version of this story, Dustin Duncan's first name was incorrect.Nov 07, 2023 3:31 PM AT
ABOUT THE AUTHOR
Reply to David Amos
Blaine Higgs's election musings to cost taxpayers up to $1M
Elections New Brunswick leased 48 returning offices for vote that never came
Robert Jones · CBC News · Posted: Nov 08, 2023 6:00 AM AST
Methinks Higgy is confused again N'esy Pas?
She pointed out Higgs insisted that First Nations gas retailers could not refuse to remit provincial taxes after he cancelled revenue-sharing agreements with band governments.
"Anytime you have a provincial government proposing to not follow the law when they're actually legislators themselves, we're facing a very serious problem here," she said."
Too Too Funny
"Cardy says he doesn't care how tough the race is he just wants people to participate in the process. "People have forgotten how incredibly precious these gifts that our ancestors fought for are and were just giving them away. It makes me furious when I talk to people and people just say 'ah there's no point in voting.'"
After election day, Dominic Cardy is flying back home to his wife in Kathmandu, Nepal. He hopes to leave behind a new Member of Parliament for Fredericton"
So why wouldn't anyone want to help by putting their best foot forward...unless you are heavily vested in oil and gas. Are you Blaine? Are you connected to oil and gas profits? Just say it and get it over with.
Is that what we're supposed to maintain?
It is an incorrect assumption when stating or suggesting that those against the carbon tax have no interest in reducing our carbon footprint.
It's ironic that the federal party whose stated goal is separation is also able to effectively determine the outcome of a HOC vote (carbon tax on home heating) that affects all of Canada expect Quebec.
The tax is currently nothing more than the source of funds used for yet another income redistribution program.
CBC Journalist Jacques Poitras and Blogger debate outside the New Brunswick Legislature!!!!
Provincial finance ministers press Freeland on carbon tax changes during CPP meeting
New Brunswick premier says he's seeking legal opinion on whether he can stop collecting the carbon tax
Friday's talks were meant to be about Alberta's proposal to leave the Canadian Pension Plan (CPP); Ontario Finance Minister Peter Bethlenfalvy wrote to Freeland last week requesting a meeting. But a number of finance ministers said the carbon tax was also raised.
Alberta Finance Minister Nate Horner told CBC News Network's Power & Politics that he was frustrated by what he saw as Freeland's unwillingness to discuss the issue on Friday.
"I actually told Minister Bethlenfalvy ... 'Maybe you should write [Freeland] a letter on carbon tax seeing as you got this meeting in a week,'" he told host David Cocrhane.
Saskatchewan Finance Minister Donna Harpauer echoed Horner's frustration.
"I am extremely disappointed with the complete disregard from Minister Freeland to speak about the carbon tax crisis," Harpauer said in a media statement.
During a press conference following the meeting, Freeland was asked about provincial ministers wanting to discuss the carbon tax. She said Friday's meeting was meant to discuss the CPP.
"I called a special meeting. Ministers came to attend the meeting specifically because of that invitation to discuss that subject," she said. "I absolutely recognize that there are a lot of different issues that provinces and territories are interested in."
The finance ministers are set to hold an annual meeting in December. Freeland suggested other topics could be discussed there.
The Liberals have been facing a wave of political backlash after announcing a three-year carbon tax exemption for heating oil.
Some opposition parties and premiers have said that exemption isn't fair to those who heat their homes with other fuels such as natural gas and propane.
While the exemption for home heating oil applies across the country, its effects will be felt most in Atlantic Canada.
In Newfoundland and Labrador, almost one in five households use home heating oil. Two in five Prince Edward Island households and one in three Nova Scotia households are heated with furnace oil. In New Brunswick, one in about every 14 households uses home heating oil.
Following Friday's meeting, the finance ministers of Nova Scotia, New Brunswick, Ontario, Saskatchewan and Alberta issued a joint statement calling for an end to the carbon tax.
"We urge the federal government to eliminate the carbon tax to ensure fairness and ease financial pressure on Canadians," the statement said.
When Prime Minister Justin Trudeau announced the exemption last week, he said the Atlantic Liberal caucus had been calling for the change.
On Friday, Ontario Premier Doug Ford wrote an open letter to Ontario MP James Maloney, the head of the Ontario Liberal caucus, calling on him to push for further exemptions.
"It is time for you to do the same as your Atlantic colleagues and advocate for the families you are elected to represent," Ford wrote.
In a separate interview on Power & Politics, Bethlenfalvy said the carbon tax is becoming "an issue of national unity."
"You can't lean in because there's a bigger Liberal caucus in Atlantic Canada and leave the rest of Canada behind," Bethlenfalvy told Cochrane.
New Brunswick exploring options to stop collecting carbon tax
New Brunswick Premier Blaine Higgs told CBC Radio's The House that he is now seeking a legal opinion on whether his province could stop collecting the carbon tax altogether.
"Certainly if I have the legal ability to do that, yes, I would [stop collecting the tax]," he told host Catherine Cullen in an interview airing Saturday.
New Brunswick is the second province to suggest it might not collect the carbon tax.
On Monday, Saskatchewan Premier Scott Moe suggested that SaskEnergy — the provincial Crown corporation responsible for natural gas distribution — would stop collecting the carbon tax in January if an exemption isn't extended to other heating fuels.
When asked on Friday, Freeland wouldn't speculate about the legal penalties provinces could face if they refuse to collect the tax.
"The federal government expects everyone in Canada to obey the law," she said.
On Tuesday, Saskatchewan's minister responsible for SaskEnergy, Dustin Duncan, said the province is preparing for any dispute with Ottawa that might come up if the province stops collecting the tax.
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Canada's premiers united in their criticism of federal housing policy, carbon tax changes
Provincial leaders demand national carbon tax reprieve after some energy consumers get a break
Canada's premiers lashed out at the federal government Monday, saying Ottawa is treading on thin ice by signing bilateral housing deals directly with municipalities while leaving provinces out of the mix.
The premiers also faulted Prime Minister Justin Trudeau for not having convened an in-person first ministers' meeting in five years.
At a time when the country is facing a series of crises — a housing crunch, a stressed health-care system and big changes in climate policy — the country's premiers need face-time with Trudeau, they said.
In the 2015 federal election, Trudeau campaigned on restoring "collaborative federal leadership," something he said was missing during former prime minister Stephen Harper's time in office.
Some premiers said today he hasn't lived up to that promise.
Under intense political pressure to get more homes built to ease an acute shortage, Housing Minister Sean Fraser has been signing deals with cities like Calgary, Hamilton, Halifax and London and Vaughan, Ont. under the Housing Accelerator Fund, which gives money to municipalities that commit to reducing red tape.
In exchange for commitments to increase housing density, Fraser has agreed to cut cheques for municipalities. The issue for the premiers is these deals have been made without provincial involvement — except in Quebec, where the province brokered a $900-million deal with Ottawa on behalf of all its cities and towns.
Every Quebec municipality will have access to funds, while others across the country will have to meet Ottawa's terms to get money through a bilateral deal, said Alberta Premier Danielle Smith.
The other premiers are now intent on getting what Quebec got — and they are threatening to enact legislation to stop Ottawa from going around provincial leaders when brokering such funding arrangements.
"We need fairness, we need equity and we're not seeing that with the current model," Smith said. "If defending our jurisdiction by passing legislation similar to Quebec assists us in getting fair treatment, then that's what we're going to do."
Left
to right: Ontario Premier Doug Ford, Nova Scotia Premier Tim Houston
and Quebec Minister Responsible for Canadian Relations and the Canadian
Francophonie Jean-Francois Roberge attend a meeting of Canada's premiers
in Halifax on Monday, Nov. 6, 2023. (Kelly Clark/Canadian Press)
Nova Scotia Premier Tim Houston said the "lack of collaboration" on housing has "created duplicate processes" and it "risks pitting provinces and territories against each other."
"If people continue to be excluded, it's really hard to talk about unity," added P.E.I. Premier Dennis King. "We're working at breakneck speed and we need to all be pulling at the same end of the rope here."
The Canada Mortgage and Housing Corporation (CMHC) estimates the country needs to build 3.5 million more housing units by 2030 to meet explosive demand as the country's population expands, thanks in part to record immigration.
To solve this problem, the federal government needs to work hand-in-hand with the provinces, Houston and King said.
Ontario Premier Doug Ford said the federal Liberal government has been "surprising" premiers by popping up in municipalities unannounced and splashing cash around "when it's not their jurisdiction." He said Ottawa needs to put an end to the practice.
"Housing is a massive issue, not just in Ontario but right across the country," Ford said.
"All premiers would agree with this — you can't have the federal government going into a certain town or city and dumping funding and not even discussing it with the province. That's unacceptable. We call it jurisdictional creep. Obviously, they don't want to work collaboratively when they do that."
The final communique of the Council of the Federation meeting in Halifax demands that Ottawa ensure "predictable and flexible federal funding flows exclusively through provinces and territories."
Speaking to reporters before question period, Fraser said he will press ahead with a housing plan that's working.
"We have seen real progress as a result of the change in approach that we have adopted," he said. "I would hate to take a tool off the table in the middle of a crisis, particularly one that's proving its utility with the success we've had in cities across the country.
"My next move is getting more homes built in every corner of the country."
Premiers demand carbon tax reprieve
In addition to their criticism how Ottawa doles out housing funds, the premiers raised concerns about the carbon tax.
Trudeau announced last month that home heating oil would be exempt from the carbon tax for a three-year period while the federal government ramps up a program to subsidize the purchase of heat pumps, which generally run on electricity.
While the carbon tax exemption is national in scope, Atlantic Canadians will disproportionately benefit from the program because residents there are more likely to use oil to heat their homes.
That has prompted claims that the pause is unfair because other energy consumers are left paying the carbon tax.
Some premiers said the carbon tax is punitive because it imposes costs on people even when their provinces are working to reduce emissions in other ways.
Manitoba Premier Wab Kinew said carbon pricing is not a 'silver bullet' to end climate change. (John Woods/The Canadian Press)
"The carbon tax is not the silver bullet when it comes to climate change," said Manitoba Premier Wab Kinew. He said the province has a low-carbon electricity grid and it's doing more to make it cleaner and greener.
The carbon tax exemption should be extended to people in his province, he said.
"During this inflationary period, people are suffering. In light of that, we do think there should be similar considerations given to the people of Manitoba to get us through this period of economic pain," Kinew said.
"The carbon tax is not effective. They should just get rid of it," Houston added. "There are much more efficient ways to protect the planet."
B.C. Premier David Eby said the carbon tax has worked well in his province — B.C. has had its own carbon tax in place for years — but he said he supports "fair treatment for all Canadians" on the issue.
Saskatchewan Premier Scott Moe, a long-time opponent of the carbon levy, reiterated his plan to instruct the provincially owned SaskEnergy to stop collecting the carbon tax on power until there's a nationwide reprieve.
"The Canadian government needs to extend fairness to all Canadian families," he said.
Trudeau has said there will be no more carve-outs to the carbon tax.
ABOUT THE AUTHOR
François Legault
- Member for L’Assomption
- Coalition avenir Québec
- Premier
Political, Parliamentary and Ministerial Offices
Reelected as Member for L'Assomption in the general election held on October 3, 2022
- Premier since October 20, 2022
Current Offices
Reelected as Member for L'Assomption in the general election held on October 1, 2018
- Minister Responsible for High-Speed Internet and Special Connectivity Projects from December 16, 2020 to October 20, 2022
- Premier from October 18, 2018 to October 20, 2022
- Minister Responsible for Youth Issues from October 18, 2018 to October 20, 2022
- Minister Responsible for Relations with English-Speaking Quebecers from October 18, 2018 to October 20, 2022
Reelected as Member for L'Assomption in the general election held on April 7, 2014
- Leader of the Second Opposition Group from April 23, 2014 to August 23, 2018
Elected as Member for L'Assomption in the general election held on September 4, 2012
- Leader of the Second Opposition Group from September 11, 2012 to March 5, 2014
Reeleceted as Member for Rousseau in the general election held on December 8, 2008
- Member of the Committee on the National Assembly from January 15, 2009 to June 25, 2009
- Chair of the Committee on Transportation and the Environment from January 15, 2009 to June 25, 2009
- Official Opposition critic for Economy and Finance from January 9, 2009 to June 25, 2009
Reeleceted as Member for Rousseau in the general election held on March 26, 2007
- Member of the Committee on Public Finance from May 23, 2007 to November 5, 2008
- Second Opposition critic for finances and economic development from April 25, 2007 to November 5, 2008
Reeleceted as Member for Rousseau in the general election held on April 14, 2003
- Official Opposition critic for economic development and finance from February 23, 2005 to February 21, 2007
- Member of the Committee on Public Finance from June 5, 2003 to February 21, 2007
- Official Opposition critic for economy and finance from May 1, 2003 to February 23, 2005
Elected as Member for Rousseau in the general election held on November 30, 1998
- Minister responsible for the Lanaudière region from February 20, 2002 to April 29, 2003
- Chair of the Comité ministériel du développement social from February 6, 2002 to April 29, 2003
- Minister of State for Health and Social Services from January 30, 2002 to April 29, 2003
- Minister of Health and Social Services from January 30, 2002 to April 29, 2003
- Member of the Comité ministériel spécial pour la région Gaspésie-Îles-de-la-Madeleine from December 19, 2001 to February 6, 2002
- Member of the Comité ministériel à la jeunesse from November 21, 2001 to February 6, 2002
- Member of the Comité ministériel du développement social from November 21, 2001 to February 6, 2002
- Minister of State for Education and Employment from November 13, 2001 to January 30, 2002
- Minister responsible for Employment from November 13, 2001 to January 30, 2002
- Member of the Comité ministériel de l’emploi, du développement économique et de la recherche from May 23, 2001 to April 29, 2003
- Chair of the Comité ministériel à la jeunesse from May 23, 2001 to November 21, 2001
- Member of the Comité ministériel des affaires régionales et territoriales from March 8, 2001 to November 28, 2001
- Minister responsible for the Laurentides region from March 8, 2001 to November 28, 2001
- Vice-chair of the Comité ministériel de l’éducation et de la culture from March 8, 2001 to February 6, 2002
- Member of the Comité ministériel de la région de Montréal from March 31, 1999 to April 29, 2003
- Member of the Comité ministériel de la recherche, de la science et de la technologie from February 10, 1999 to May 23, 2001
- Member of the Comité des priorités from December 15, 1998 to April 29, 2003
- Member of the Comité ministériel de l’emploi et du développement économique from December 15, 1998 to May 23, 2001
- Minister of State for Youth from December 15, 1998 to November 13, 2001
- Minister of Education from December 15, 1998 to January 30, 2002
- Chair of the Comité ministériel de l’éducation et de la culture from December 15, 1998 to March 8, 2001
- Vice-chair of the Conseil du trésor from December 15, 1998 to March 8, 2001
Named Minister on September 23, 1998
- Minister of Industry, Trade, Science and Technology from September 23, 1998 to December 15, 1998
Contact Information
Department
Conseil exécutifÉdifice Honoré-Mercier
835, boulevard René-Lévesque Est
3e étage
Québec (Quebec) G1A 1B4
Telephone: 418-643-5321
Fax: 418-646-1854
Conseil exécutif
770, rue Sherbrooke Ouest
4e étage
Montréal (Quebec) H3A 1G1
Telephone: 514-873-3411
Fax: 514-873-1763
Electoral division
831, boulevard de l'Ange-Gardien NordBureau 208
L'Assomption (Quebec) J5W 1P5
Telephone: 450-589-0226
Fax: 450-589-3457
Utilisez l'adresse de courriel ci-dessous uniquement pour les demandes relatives à la circonscription de l’Assomption ou à la région de Lanaudière
Quebec
Jean-François Roberge
Minister Responsible for the French Language
Minister Responsible for Canadian Relations and the Canadian Francophonie
Minister Responsible for Democratic Institutions
Minister Responsible for Access to Information and Privacy
Minister Responsible for Secularism
Married with two children, Jean-François Roberge has long been involved in the world of education. After 17 years as an elementary school teacher, he made the leap into politics during the 2014 elections, running under the Coalition avenir Québec banner. When elected to the National Assembly of Quebec in the riding of Chambly, he became the critic for education, a responsibility he kept until 2018, the year he took office as Minister of Education and Higher Education. He served as Minister of Education for the entirety of his government’s first term. In October 2022, Premier François Legault appointed him Minister of the French Language, Minister Responsible for Canadian Relations and the Canadian Francophonie, Minister Responsible for Democratic Institutions, Minister Responsible for Access to Information and the Protection of Personal Information and Minister Responsible for Laicity.
Committed, idealistic and pragmatic, Mr. Roberge has always been socially involved in one way or another, whether in politics or education. He has been involved in the Fédération étudiante universitaire du Québec, the Commission de l’éducation préscolaire et de l’enseignement primaire du Conseil supérieur de l’éducation, the Association de défense des jeunes enseignants du Québec and Force Jeunesse.
Mr. Roberge has published two novels for youth, Francis perdu dans les méandres and Francis l’intrépide, both published by Éditions Pierre Tisseyre. In 2016, he also published an essay titled Et si on réinventait l’école?, in which he detailed his ideas for improving the Quebec education system.
Contact information
Department
Ministère de la Langue française875, Grande-Allée Est
3e étage, secteur 500
Québec (Quebec) G1R 4Y8
Telephone: 418-644-7600
ministre@mlf.gouv.qc.ca
Electoral division
2028, avenue BourgogneChambly (Quebec) J3L 1Z6
Telephone: 450-658-5452
Jean-Francois.Roberge.CHMB@assnat.qc.ca
Secrétariat du Québec aux relations canadiennes
875, Grande-Allée Est – 3e étage
Québec, Québec G1R 4Y8
ministre.sqrc@mce.gouv.qc.ca
Ministers from other provinces and territories
Newfoundland and Labrador
The Honourable Sarah Stoodley
Minister Responsible for Francophone Affairs
Yukon
The Honourable John Streicker
Minister responsible for the French Language Services Directorate
Canada
The Honourable Randy Boissonnault
Minister of Employment, Workforce Development and Official Languages
Ontario
The Honourable Caroline Mulroney
Minister of Francophone Affairs
Manitoba
The honourable Glen Simard
Minister of Sport, Culture, Heritage and Tourism
Minister responsible for Francophone affairs
Minister responsible for the Manitoba Liquor and Lotteries Corporation
Prince Edward Island
The Honourable Gilles Arsenault
Minister responsible for Acadian and Francophone Affairs
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