EN FR

The Carbon Tax Bribe

Author: Maureen Bader 2008/02/25

Until now, the B.C. government's tax-cutting policies helped push B.C.'s economy to prosperity. The government's 2008 Budget took a U-turn. The only broad-based tax cuts in this budget are meant to offset the new carbon tax - a tax that will supposedly change people's behaviour so that B.C. can reach its greenhouse gas reduction goals. To keep the squealing about the new carbon tax to a minimum, the government is bribing us with a $100 cheque. Just in case we are still unconvinced about what a good idea this tax is, the government will spend another $15 million to educate us about the same.

Why the bribe and sell job For starters, the budget rejected the main recommendation of the legislature's pre-budget consultation committee. A group of MLAs from both parties found that input from 5,800 British Columbians identified a growing economy and debt reduction as priorities, ahead of climate change spending.

Yet in Budget 2008, British Columbians were handed a $1.85 billion carbon tax, $1 billion in climate change spending and a bigger debt. The government forecasts the provincial debt to go up by 13% over the next three years. We are already spending $6 million dollars per day on debt interest payments. In the future, even more money will be paid to bondholders instead of being invested into priority spending areas such as hospitals or allowing for more tax relief.

In an effort to stop any grass-root objections to the carbon tax - especially when gasoline prices may top $1.50 per litre this summer - the government is giving every person in B.C. a one-time payoff of $100. These "Gord Bucks" are like the "Ralph Bucks" handed out in Alberta, except Albertans got 400 of them!

Of course, sending our own tax dollars back to ourselves costs even more tax dollars. The Alberta government paid the Canada Revenue Agency (CRA) $6.5 million to process and mail out Ralph Bucks, or about $1.86 per $400 cheque. That means here in B.C. we can expect to pay about $8.2 million to mail out the $100 cheques. If you are homeless, or for some other reason not on the CRA's list, you won't be getting any Gord Bucks.

So, by just how much is the carbon tax expected to reduce emissions By about three million tonnes from where they would have been in 2020. Three million tonnes is 0.01% of global and 5.5% of B.C.'s current carbon emissions. This three million tonne reduction is only 7.5% of the 40 million tonnes the Campbell government is forcing British Columbians, through legislation, to reduce carbon emissions by. The carbon tax is only the tip of the proverbial iceberg.

The B.C. government has no mandate to implement a carbon tax and spend billions on climate change policies that will have a negligible effect. Let's keep in mind that B.C. accounts for less than one percent of the world's and only 9% of Canada's carbon emissions. This policy will hurt B.C.'s economy, make people poorer through higher energy costs, and ultimately reduce people's ability to make environmentally-friendly decisions.


A Note for our Readers:

Is Canada Off Track?

Canada has problems. You see them at gas station. You see them at the grocery store. You see them on your taxes.

Is anyone listening to you to find out where you think Canada’s off track and what you think we could do to make things better?

You can tell us what you think by filling out the survey

Join now to get the Taxpayer newsletter

Franco Terrazzano
Federal Director at
Canadian Taxpayers
Federation

Join now to get the Taxpayer newsletter

Hey, it’s Franco.

Did you know that you can get the inside scoop right from my notebook each week? I’ll share hilarious and infuriating stories the media usually misses with you every week so you can hold politicians accountable.

You can sign up for the Taxpayer Update Newsletter now

Looks good!
Please enter a valid email address

We take data security and privacy seriously. Your information will be kept safe.

<