Federal Conservative Leader Pierre Poilievre stated on Thursday that he is in favor of Manitoba’s request to be excluded from the carbon price imposed by the federal government.
Poilievre explained to reporters after meeting with Premier Wab Kinew at the legislature that Manitoba generates a large amount of green energy through hydroelectric power, and expanding this energy would have a much greater environmental benefit than a carbon tax.
Kinew’s NDP government has not publicly joined Poilievre and some other provincial governments in calling on Ottawa to cancel the scheduled increase of the carbon price by $15 per tonne on Monday.
The increase will result in a 3.3 cent rise in gasoline prices and a 2.9 cent rise in natural gas prices. Additionally, the carbon rebates sent to households every three months will also be increased.
Kinew’s approach has been more discreet.
Earlier this month, he told reporters that he believes Manitoba has a strong case to be exempt from the federal carbon price due to the presence of hydro power. He also mentioned that Manitoba was preparing a formal submission to the federal government on the issue, but did not provide any details, timelines, or evidence to suggest that Ottawa might agree.
Manitoba has long argued that it should receive credit for its significant investment in hydroelectric generating stations and transmission lines. While almost all electricity in the province is from hydro, most home heating systems use imported natural gas.
The previous Progressive Conservative government in Manitoba attempted to avoid the federally imposed levy by implementing its own flat tax of $25 per tonne, but the federal government deemed this amount too low. Manitoba eventually abandoned the flat tax and initiated a court challenge, which it lost in 2021.
Kinew was not available for comment following Thursday’s meeting.
Poilievre visited the Manitoba capital to participate in an “axe the tax rally,” a similar event to those held by him throughout the country.
Prime Minister Justin Trudeau has criticized political leaders who oppose the carbon policy for not acknowledging and informing Canadians about the rebates designed to offset consumer costs.
Trudeau has stated that most families in federal backstop jurisdictions receive more rebate money than they pay.
