Saskatchewan farm group ‘disappointed’ with federal carbon tax
The federal government’s carbon tax rebate program announced on Tuesday, received a thumbs down from at least one group representing Saskatchewan farmers, who claim it won’t do much to save the bottom line for producers.
Todd Lewis, President of the Agricultural Producers Association of Saskatchewan, said the farm fuel exemption is welcome, but added so many more costs will rise because of the carbon tax including transportation.
“All our materials are trucked in and those truck costs are going to rise. Rail freight rates will certainly rise too because of it,” he said.
According to a federal website detailing the pricing scheme, there will be a 4.42 cent per litre charge on gasoline starting in April 2019 in Saskatchewan, alongside a fuel charge of 3.91 cents per cubic metre for natural gas used in home heating. Gas and diesel used on farms will be exempt. These rates will increase over time. Lewis said costs for agricultural plastics, chemicals, fertilizer and even tires will all be impacted.