Under fire for carbon tax stance pivot, Manitoba NDP seek ‘balancing act’ By: Carol Sanders and Danielle Da Silva Posted: 6:12 PM CST Tuesday, Nov. 7, 2023

Hey there, time traveller!
This article was published 07/11/2023 (1045 days ago), so information in it may no longer be current.

Premier Wab Kinew and his NDP government are under attack from across the political spectrum for their recent carbon tax flip-flop, with the Opposition saying it doesn’t go far enough and environmentalists saying it sabotages plans to fight climate change.

On Monday, after a Council of the Federation meeting in Halifax, Kinew made it clear for the first time he would join fellow Prairie premiers and NDP and Conservative MPs in asking the federal Liberal government for a carve-out on natural gas — after it granted a carbon tax exemption on home heating oil used mainly in Eastern Canada — citing fairness and affordability issues.

Prior to the meeting, Kinew had said his government wanted to work with the federal government on energy-saving programs, such as heat pumps and geothermal heating systems, but did not join in calls for Ottawa to “axe the tax.”

On Monday, however, the premier said Manitobans are experiencing “economic pain,” the carbon tax “is no silver bullet” to fight climate change and the provincial NDP would ask for an exemption on natural gas used by most Manitobans to heat their homes.

“Everybody who’s serious about (climate change) realizes that a carbon tax is part of a portfolio of necessary policies,” University of Winnipeg biology Prof. Scott Forbes said Tuesday. “This is sabotaging Canada’s attempts to deal with the most serious issue of our time.

“If we don’t move on it, there’s no chance of persuading the big greenhouse gas emitters to reduce their emissions,” said Forbes, a behavioural ecologist and former president of the Manitoba Organization of Faculty Associations.

“Conservatives just seem to be doing everything they can to sabotage that. And now, what we had assumed would be a progressive (NDP) government, has joined them, which is just appalling.”

“Disappointing” was the reaction on social media from former federal environment minister Catherine McKenna.

“Everybody who’s serious about (climate change) realizes that a carbon tax is part of a portfolio of necessary policies … This is sabotaging Canada’s attempts to deal with the most serious issue of our time.”–UofW Prof. Scott Forbes

A day earlier, McKenna, who now heads a climate advisory firm, had applauded Manitoba for electing a “government that understands climate change, that believes in climate change and that takes it seriously and is willing to name it.”

On Tuesday, the Opposition Tories seized on the NDP’s about-face, promising to push the new government to stop charging the carbon tax on natural gas outright.

“While we’re surprised that the Manitoba NDP government has flip-flopped, it is good to see that they’ve finally come around and they’ve agreed with the PCs here in Manitoba and across Canada that the carbon tax should be removed,” said PC finance critic Obby Khan (Fort Whyte).

When the session begins later this month, the Tories will introduce a resolution calling for Manitoba Hydro to stop collecting and remitting the carbon tax on natural gas on behalf of Ottawa.

Khan said the Tories expect unanimous support from the NDP following the premier’s comments in Halifax. “Manitobans need relief right now with the ongoing affordability crisis that everyone is facing.”

If adopted, the resolution would signal the Legislative Assembly of Manitoba’s position on the matter. It would not, however, compel the provincial government to follow through and axe the tax.

Spruce Woods MLA and Hydro critic Grant Jackson said the Opposition is seeking clarity on the premier’s position on the carbon tax.

“He’s flip-flopped on his opinion, and he is now going to hope to receive a carve-out from the federal government,” Jackson said. “And so we’re just a little bit concerned that the premier may get back to Manitoba and not want to keep his word — he may want to flip-flop again.”

The PCs had campaigned on a promise to remove the levy from natural gas on Hydro bills. The Tory government were reduced to Opposition and 22 seats in the Oct. 3 general election.

Deputy Opposition leader Kelvin Goertzen said the NDP government could issue a directive to the Crown corporation, instructing it stop charging the carbon tax on natural gas.

Manitoba Hydro collected $146 million in carbon tax in the 2022-23 fiscal year.

Goertzen (Steinbach) acknowledged such a move could invite retaliation from Ottawa, but said it is the premier’s job to stand up for Manitobans, even if it means getting in a “tussle” with the feds.

Manitoba Environment and Climate Change Minister Tracy Schmidt said her government’s approach is a “balancing act.”

“I think that it’s possible to prioritize climate change initiatives but also to prioritize affordability, which we heard during the campaign is a really high priority for Manitobans,” Schmidt said Tuesday. “I think we need to make a lot of changes to address the existential threat that is climate change.

“The previous government’s approach was simply to fight the federal government; our government is not here to fight the federal government. We’re really here to collaborate on this issue and for more climate initiatives, like our… plan to really expand geothermal home heating here in our province.”

carol.sanders@freepress.mb.ca

danielle.dasilva@freepress.mb.ca