The Canadian Taxpayers Federation is urging the federal government to scrap what the CTF calls the second ‘carbon tax’. Federal Director, Franco Terrazzano explains that the second tax is embedded within federal fuel regulations which took effect in the summer of 2023. The regulations require producers to reduce the carbon content of their fuels and if they don’t meet the requirements, they must purchase carbon credits, which Terrazzano believes will then be passed onto Canadians when they buy their gas or diesel

The Parliamentary Budget Officer estimates the regulations will cost the average household between $384 and $1,157 in 2030, depending on the province. The PBO also estimates this second ‘carbon tax’ will increase the price of gas by up to 17 cents a litre and the price of diesel by up to 16 cents a litre by 2030.