Constitution gives Ottawa right to impose carbon price on provinces: McKenna

Constitution gives Ottawa right to impose carbon price on provinces: McKenna

Constitution gives Ottawa right to impose carbon price on provinces: McKenna

"Let me be very clear", McKenna said in the foyer outside the House of Commons.

She said Wednesday she hopes the federal government doesn't have to use its plan and that her office has tried working with the Wall government to develop its own plan.

Saskatchewan Premier Brad Wall calls the federal government's plan to introduce a carbon tax a ransom note and he's renewing his threat to take his argument to court.

She said Ottawa has authority to impose a carbon tax on the provinces because protecting the environment is a federal jurisdiction.

Wall said more research will be done into the federal technical document, before any possible injunction is launched. The exact date will depend on when the legislation, expected this fall, passes.

New Brunswick's largest business - could end up mostly exempt or even profiting from the federal government's national carbon tax plan, according to new details released Thursday. BC returns them to people through income tax cuts.

Kenney criticized Alberta's ruling NDP party, saying that almost 70 per cent of Albertans are opposed to its provincial carbon tax plan. McKenna noted that all of the funds raised this way would be returned to the provinces.

Wall acknowledged his government has thought about whether revenues from a carbon tax could be used to cut other taxes in Saskatchewan, such as the provincial sales tax which his government just hiked by one point this year.

Carbon taxes, whether existing or proposed, mean higher taxes for Canadians and their families, and harm to the Canadian economy, especially if jurisdictions we compete with do not have a carbon tax. The right-of-centre PC and Wildrose parties announced Thursday they are re-uniting to form the United Conservative Party after a decade apart, increasing the likelihood they will put the boot to the NDP in the next election and toss Alberta's climate change agenda out the window. He said it's frustrating so much attention is focused on the carbon tax when no government anywhere has implemented a carbon price high enough to cut emissions as much as they need to be cut.

All other provinces but Saskatchewan have indicated they are preparing to introduce a carbon price, although some have indicated it may be better to let Ottawa bear any political fall-out from a tax. The natural gas heating bill for the average single, detached home would rise by about $264 a year. It doesn't reduce carbon emissions. That could mean using public transit instead of driving, buying a more fuel-efficient vehicle or improving home efficiency with new windows or a better furnace.

If the TransMountain expansion dies in B.C., the new Alberta front would be even more motivated to be hard on carbon policy and maybe even join Saskatchewan in taking the feds to court. Those who exceed their baseline amount will have to pay more or purchase credits from those who came in under the baseline limit.

However, Wall still believes investment in innovations like CCS should be seen as an alternative to a carbon tax.

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