Green Party Leader Peter Bevan-Baker used Friday’s Question Period to continue to question the effectiveness of the province’s carbon tax strategy.
On Thursday, the province announced that part of the revenue generated from increases in gasoline taxes would be used to waive the cost of driver’s licensing fees. In addition, the province would offer discounts for vehicle registration – 50 per cent for hybrid vehicles and 20 per cent for all other vehicles – and would offer a 10 per cent reduction in the cost of T3 transit passes. The fee reductions would take effect January 1, 2019.
The measures came in the midst of heated debate over two bills in the legislature: the Climate Leadership Act, which would see an increase in gas and diesel prices by 4.6 cents/litre, and amendments to the Gasoline Tax Act, which would see a 3.6 cent/litre reduction in excise taxes collected by the Province. Both would take effect April 1, 2019.
These measures were announced earlier in the fall and would see drivers pay lower taxes at the pump than consumers in Ontario, New Brunswick, Manitoba and Saskatchewan. These provinces have seen the imposition of a federal carbon price.
In the legislature on Friday Bevan-Baker suggested the levy on fuel would subsidize fossil fuel use instead of providing an incentive to reduce it.
“Why are we debating two bills that are so clearly at cross purposes to each other?” Bevan-Baker asked the Premier.
Premier MacLauchlan said the government’s approach was to create incentives for activities that reduce carbon emissions, as opposed to creating penalties.
“We also believe Islanders will make the right choices. They will respond when the technologies are appropriate, they will drive electric cars when electric cars are available,” MacLauchlan said.
Transportation Minister Paula Biggar said the province’s approach was more cost effective for the government. She said sending dividend cheques to Islanders would be more costly.
"This goes directly against the cost of owning a vehicle as opposed to the administration part of sending out a cheque,” Biggar said.
“We already have that administration in place. If you're going to look at administering cheques to people, then you have to set up a whole new system."
On Thursday, Communities, Land and Environment Minister Richard Brown accused the Green Party of acting like “big brother” and of being a party “for the rich.”
Brown was criticizing the Green proposal to establish a carbon tax at a similar price to that of the Federal government.
Brown also suggested the Green Party was being disrespectful of past efforts by Islanders to reduce carbon emissions.
In response, Green Party MLA Hannah Bell suggested members of the government side demonstrated an “unwillingness to respond reasonably to criticism.”
