With the election of Scott Moe as the leader of the Saskatchewan Party, we finally have, for the first time, a premier that comes from north of Saskatoon.
Having the premier from Shellbrook, an area that’s not too different from the Northeast, should mean that we have someone in power that’s got some idea what the issues are here.
What I’m concerned about is the new premier is going to focus his energy on a battle that can’t be won.
During his victory speech, Moe said he’d fight tooth and nail to fight against a federally-imposed carbon tax.
“Justin Trudeau, if you’re wondering how far I’ll go, just watch me,” he told the crowd, cribbing from what is perhaps the most well-known quote of Pierre Trudeau.
Here’s the thing. The federal government has told the provinces that it must put a price on carbon dioxide that’s produced.
Now the provinces have a choice: they can come up with their own system. That could either be a carbon tax or a cap-and-trade system, where each company is given a carbon allowance it cannot exceed. If a company produces less carbon than its allowance, it can sell the rest to a company that’s over its allowance. The allowance go down each year.
B.C. and Alberta have carbon taxes. Ontario and Quebec have cap-and-trade system.
If a province doesn’t come up with its own system, then the federal government will impose a carbon tax. According to a legal opinion given to the Manitoban government, the federal government can do this based on its taxation powers in the constitution, so don’t count on the provincial government winning a case in the Supreme Court.
Look, I’m not a fan of carbon taxes. I’m not sure they work for rural people – who can’t just hop on a bus instead of driving. But at the same time, if we’re going to be forced to do something, we might as well have it built in Saskatchewan, designed to protect our agriculture industry and exports, instead of letting Ottawa have all of the power.
Fighting against the carbon tax may be popular. I’m not sure if it’s the best use of a premier’s limited time.
