The first act of Prime Minister Mark Carney’s newly minted majority government was to announce the temporary suspension of the excise fuel tax on gasoline and diesel sales. The tax break is set to come into effect next Monday, April 20th, and last until at least Labour Day, Monday, September 7th.
The federal excise tax on fuel is currently calculated at 10 cents per liter of gasoline and 4 cents per liter of diesel fuel. It’s suspension should reduce the price at the pumps by the same. The tax break also extends to aviation fuels.
As of noon on Tuesday, April 14th, Gasbuddy.com reports the price of regular gas is around $1.89/L in Terrace, near $1.80/L in Kitimat, $1.94 /L in Fort Nelson, $1.79/L in Prince George, around $1.98/L on Vancouver Island, and a little over $2.00/L in Vancouver. Meanwhile the going price of diesel is a little over $2.50/L in the Lower Mainland, around $2.20/L in the northwest, $2.30/L in Fort Nelson, $2.00/L in Prince George.
Prime Minister Carney called the excise tax suspension a ‘responsible’ measure that should offer ‘real relief’ to Canadian families. While announcing the tax break, he also explained that Canada is attempting to focus on what it has the power to control domestically when it comes to the cost of living and stabilizing the Canadian economy, pointing out that conflict and rising tensions around the globe, particularly in the Middle East, have sent fuel prices soaring while supply chains contract.
The Prime Minister framed the tax break, in tandem with other ongoing efforts to rein in the cost of living, as stepping stones of sorts towards energy sovereignty for Canada, as the Carney government continues to push forward on Nation building major projects in electricity, LNG, and nuclear power, critical minerals, and defense.
