Terminating the consumer carbon tax only 'a step in the right direction,' province says

The Saskatchewan government believes the decision to scrap the federal consumer carbon tax is a "step in the right direction" but wants the entire pricing scheme to be eliminated.

In a brief statement issued Monday, the provincial government said they're calling for the federal government to do more. 

"The Prime Minister still needs to eliminate the other of half of the carbon tax that is charged on industry and indirectly paid by consumers," the statement says. 

On Friday, Prime Minister Mark Carney signed a ministerial directive that the fuel charge be removed effective April 1 and that the month's carbon rebates go ahead as planned. 

Premier Scott Moe has been an opponent of the federal program since it was implement by former prime minister Justin Trudeau in 2019. 

Under Moe, Saskatchewan participated in an unsuccessful challenge of the pricing scheme.

WATCH| Canada developing a 'targeted response' to replace 'divisive' carbon tax: minister

Canada developing a 'targeted response' to replace 'divisive' carbon tax: minister

1 day ago

Duration 14:46

In his first act in office, Prime Minister Mark Carney ordered the controversial consumer carbon tax to be eliminated in April. Now, Conservative Leader Pierre Poilievre says he'd kill the industrial carbon tax, too. Power & Politics hears from Industry Minister Anita Anand on Ottawa's plan to replace the carbon tax — and the idea of slashing the industrial tax.

Since 2024, Saskatchewan has refused to charge the carbon tax on home heating and also chose not to remit those funds to the federal government. The legal dispute over that dispute is still making its way through the federal courts. 

Saskatchewan's Official Opposition greeted the end of the carbon with a simple statement last week. 

"Great. Finally," Carla Beck said. 

On Monday, the Saskatchewan NDP leader expanded even further, saying the writing has been on the wall for the carbon tax for awhile.

Now, Beck said, it's important to focus "on the future, to look to what investments we need to be making in this country to ensure that we're not overly dependent on the United States any longer and also to take advantage of markets beyond beyond North America and to be able to get our goods to markets." . 

Darcy Pawlik, the executive director of the Wheat Growers Association, says the organization has always been opposed to the carbon-pricing scheme implemented by the federal government. 

"Now that it has been suspended for some unknown period of time, we remain suspicious of what could come next since no plan has been shared," Pawlik said. 

Pawlik says the association believes any tax that increases the cost of production will be passed along, eventually raising the cost of food. 

Carbon pricing has "perversely" harmed food producers, Pawlik said, "so at least today we don't see how farmers or anyone else will benefit at all."