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Source: CPAC

Minister says no more ‘carve outs’ on home heating after carbon tax pause on oil

By Caitlin Snow Oct 31, 2023 | 4:30 PM

The federal government is getting heat on pausing the carbon tax for three years on home heating oil, a move that primarily benefits Atlantic Canada and does not include other forms of heating, such as natural gas.

Natural Resources Minister Jonathan Wilkinson told reporters Tuesday afternoon, there were no more ‘carve outs’ coming, but emphasized that home heating oil is much more expensive than other types of heating.

Wilkinson added that the $10,000 grant was offered to all provinces and territories with the oil to heat pump program, but only three provinces took them up on the offer to co-deliver the program: Nova Scotia, Prince Edward Island and Newfoundland.

He said Ottawa will re-offer the program, but provinces and territories have to match the additional $5,000 that the federal government is willing to put in.

NDP Leader Jaghmeet Singh says an alternative solution to help with home heating, that includes all Canadians, would be to cut the GST.

“If you look at the other GST exemptions it’s for things that we consider essentials. We think that home heating is essential, it’s an immediate relief, it can be done right away and provides that relief for people,” Singh said.

Singh added that putting a cost on pollution makes sense, but that Canadians should not have to pay for it if there is no alternative.

He said alternatives include better help with insulation, heat pumps and making better choices.