Yukon finance minister calls for end to carbon tax, cancellation of April 1 hike

With the federal consumer carbon tax likely to be removed by whoever wins the next election, Yukon Finance Minister Sandy Silver says the federal government should do away with the planned April 1 increase and begin “winding down” the program.

 

The Canadian Press / Justin Tang

Yukon's finance minister is calling on the federal Liberals to bring about an end to the carbon tax in the territory ahead of a change in government. 

“It is highly unlikely that a carbon price will be in place following the next federal election,” said Finance Minister Sandy Silver, noting the four candidates campaigning to succeed Justin Trudeau, along with the Conservatives and New Democrats, all oppose the consumer carbon tax.

Silver delivered the remarks in a letter to Ottawa and a public statement, as reported by CBC.

Writing to federal Finance Minister Dominic LeBlanc and Environment Minister Steven Guilbeault, the Yukon minister encouraged the Liberals “to begin winding down the federal carbon levy in the Yukon.” He also urged the government to cancel the upcoming April 1 hike in the carbon tax.

Because of the way the tax is implemented in the territory — and because it is likely to be removed in the near future — Silver said the government was seeking “certainty” so it could prepare for changes to how its rebates are distributed.

As the state broadcaster explains:

The federal carbon levy is applied in the Yukon at the point-of-sale for fuels like gasoline and diesel, with the money then returned to the territorial government. The Yukon rebates that cash to local residents, businesses, First Nations and municipal governments every year, with the promise that they'll get back more than what they paid in.

The federal government, however, declined to respond to Silver's letter.

“It would be inappropriate for the department to speculate on any potential or prospective changes on the federal carbon pollution pricing system,” a Department of Finance spokesperson told CBC in an email.

Silver, part of the territory's governing Liberals, said he was “deeply disappointed” to see the policy coming to an end.

The opposition Yukon Party celebrated the change, with leader Currie Dixon saying the tax “was not the right policy for Canada and especially not the right policy for the Yukon.”

“We'd like to know what's going to happen with that money," Dixon said, wondering how the loss of an anticipated $30 million in rebates will “affect Yukoners and their pocketbooks.”

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COMMENTS

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  • bruce bark
    commented 2025-03-03 22:36:00 -0500
    So Sandy Silver has started campaigning has he. The Yukon must have an election by early November. Just another lying liberal. This territorial liberal government are just a bunch of environmentalist, it’s almost impossible to get a permit to cut down a single dead tree for firewood these days. They have destroyed the Yukon.
  • Bruce Atchison
    commented 2025-03-03 19:43:36 -0500
    My idea is better. Axe all taxes north of 60 degrees and let the north boom. And don’t believe Liberals. Carney wants to make the carbon tax invisible to us consumers so he can hike it even higher.