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Farm, business groups disappointed with carbon tax decision

Those that represent Saskatchewan’s farmers and businesses are disappointed with the Supreme Court of Canada deciding the carbon tax is constitutional because they say the tax causes hardship on its members.
SaskToday
Steve and Todd
Steve McLellan, left, the CEO of the Saskatchewan Chamber of Commerce, and Todd Lewis, right, the president of the Agricultural Producers Association of Saskatchewan, both said they are disappointed with the Supreme Court's decision on the carbon tax. Photos by Saskatchewan Chamber of Commerce, Agricultural Producers Association of Saskatchewan

Those that represent Saskatchewan’s farmers and businesses are disappointed with the Supreme Court of Canada deciding the carbon tax is constitutional because they say the tax causes hardship on its members.

“There is a better way forward,” said Steve McLellan, the CEO of the Saskatchewan Chamber of Commerce. “The federal government’s pan-Canadian approach to pollution pricing has not recognized the unique challenges present in Saskatchewan, putting undue hardship on our residents and businesses. It is unfortunate that they will continue this approach.”

Todd Lewis, the president of the Agricultural Producers Association of Saskatchewan (APAS), said they are concerned about the carbon tax’s impact on producers’ financial sustainability.

“As producers, we don’t set the prices for our products, and can’t pass those extra costs along the value chain, so it comes right out of our pockets.”

APAS has estimated the cost of producing an acre of wheat will increase by $12.50 by the time the carbon tax is fully implemented in 2030. These cost increases will include trucking, rail freight and grain drying.

The Chamber said it supports a policy where innovation is championed, and where recognition is given to the fact that some specific regions and economic segments have a larger challenge before them.

“Driving corporate investments and production to jurisdictions where greenhouse gas (GHG) emissions are not regulated does not help mitigate the impact of global climate change, the Saskatchewan people, nor the Canadian economy,” McLellan said.

“We really need climate change policy where emission intensive and trade-exposed industries, the foundation of Saskatchewan’s economy, are not penalized by one-size fits all carbon pricing. Many of these industries have made substantial world-leading improvements in environmental performance.”

APAS said it is now up to the federal government to address the concerns of producers.

“The Court has upheld the federal government’s jurisdiction, and now the government must act to resolve the outstanding issues faced by our industry.”