Kinew should make ‘history’ again with tax relief, beleaguered Manitobans say

Premier Wab Kinew’s suggestion that the 2024 gas tax holiday was “the most important thing that a provincial government ever did in the history of Manitoba” is no comfort to residents facing even higher prices now, critics say.

“If the premier truly thinks that… he should cut the gas tax again and keep Manitoba families saving,” said Gage Haubrich with the Canadian Taxpayers Federation.

Kinew made the remark at the NDP national convention in Winnipeg Sunday while speaking with reporters.

He said the 14-cent per litre gas tax holiday in 2024 was “the most important thing that a provincial government ever did in the history of Manitoba because it gave power back to the middle class and to the lower income” people.

In 2025, the province imposed a reduced tax of 12.5 cents per litre.

Kinew was not made available to comment Tuesday but his press secretary Ryan Stelter said the premier stands by the remark.

Before the province suspended the tax in 2024, Winnipeg motorists were paying about $1.25 for a litre of gas. On Tuesday afternoon, the average price at the pump was about $1.50, according to price-tracking website GasBuddy.com.

Winnipeg motorist Mehari Ogubadebriel said Tuesday he’d welcome a return of the tax holiday.

“We would be happy for that, if they will do it,” said Ogubadebriel, 64, who waited in a long line for $1.41 gas at a McPhillips Street Mobil station.

“(Prices are) just sky-high. We just can’t afford it. A lot of people are getting ready to ride bikes now. It’s hard.”

Harry Hawryshko, 82, was also waiting to fill up.

“They’re crazy,” he said, referring to gas prices in the city. “People are suffering.”

Hawryshko, a pensioner, said he frequently shops around for the best prices.

Haubrich said a two-car family filling up once every two weeks is paying about $550 in provincial gas tax every year, and that money could be used to help afford groceries, a car payment or a portion of rent.

“Manitobans are having trouble dealing with the cost of everything right now,” he said.

Finance Minister Adrien Sala blamed United States President Donald Trump’s decision to attack Iran for the rising price at the pumps.

“We know the fastest way to bring down gas prices is to end the war in Iran,” said Sala, who last week unveiled a budget projecting a $498-million deficit. “It’s very difficult to see Manitobans paying the price for Trump’s war…

“We are bringing in targeted measures focused on reducing costs everywhere we can.”

The yearlong tax holiday in 2024 cost the province an estimated $340 million in lost revenue, said Sala.

“That was an unbelievably important measure to have taken at a time when we were facing record-high inflation,” he said.

Manitoba’s 1.1 per cent inflation rate in 2024 was Canada’s lowest. But last year’s 2.7 per cent rate was the country’s highest.

He wouldn’t say if the province is now considering another gas tax holiday.

“We’re not going to rule anything out,” he said.

University of Winnipeg economics Prof. Philippe Cyrenne said a gas tax holiday would help at a time when food, energy and housing prices are rising.

“Gasoline and any energy costs are a key input into lots of businesses — anybody who has to deliver stuff or pick up stuff or get stuff delivered — any of those costs are always passed on to the businesses. That’s why a lot of the costs have been high… anything that lowers those costs will help,” Cyrenne said.

Progressive Conservative deputy leader Jeff Bereza said a fuel tax holiday helps only people who drive.

The Tories say the province should hike the basic personal income tax exemption to $30,000, giving individual Manitobans an extra $1,500 and families $3,000 to spend how they see fit.

“That would benefit every Manitoban,” Bereza said. “I think it’s a way to stimulate the economy, too.”

Critics say that plan would cost the province close to $1 billion in lost revenue.

Bereza (Portage la Prairie) said Kinew’s boast Sunday was “an insult to Manitobans” that doesn’t come close to true historic improvements such as achieving voting rights for women and First Nations people, and construction of the Red River Floodway, which has saved the province from billions of dollars in destruction.

The author of Everything Manitoba, the ultimate book of lists laughed when she learned of the premier’s remarks.

Christine Hanlon cited several weightier achievements, including the two mentioned by Bereza, along with expanding French-language services and defeating the Meech Lake Accord’s failed constitutional amendments.

carol.sanders@freepress.mb.ca

tyler.searle@freepress.mb.ca