The Canadian Trucking Alliance (CTA) has thanked newly appointed Prime Minister Mark Carney for cancelling the carbon tax, and urges him to do more to support the trucking industry.
In his first action after being sworn in, Carney announced the removal of the tax for consumers, effective April 1, through what’s known as an order-in-council. The CTA has been calling for the elimination of the carbon tax on diesel fuel as the trucking industry deals with a years-long freight recession and record high input costs.
“The carbon tax on diesel fuel is currently having zero impact on the environment and is only serving to needlessly drive up costs for every good purchased by Canadian families and businesses,” says CTA president Stephen Laskowski.
CTA estimates the carbon tax translates into extra fuel costs for a longhaul truck operator of between $15,000 – $20,000 per year, per truck.
The CTA has also asked the feds to remove or reduce the federal excise tax on diesel.
And while the CTA says the trucking industry is doing its part to slash its emissions, it points out Canada’s Heavy-Duty Vehicle and Engine Greenhouse Gas Emission Regulations are not at odds with those in the U.S. and the realities of trucking in Canada.
“CTA looks forward to working with the federal government on decarbonization efforts, but we can’t stress enough that the solutions must be discussed comprehensively with industry. We need a practical, measured and tangible pathway for emissions reductions that make sense for Canadian fleets and provide real environmental dividends for Canadians,” Laskowski said in a release.
