Manitoba’s provincial government introduced its made-in-Manitoba green plan Friday and knocked down Ottawas plans for carbon pricing for the country in the process.
The made-in-Manitoba plan introduced what the government called a ‘prairie price’ in comparison to Ottawa’s carbon pricing plan. It proposed a carbon tax that would be $25 per tonne. This would be half the price of what the federal government is asking for by 2022.
Prime Minister Justin Trudeau responded Friday afternoon claiming that the federal government will step in if a province doesn’t move in an “appropriate” way.
“If any province doesn’t move forward in an appropriate way the federal government will ensure that the equivalent price on carbon is applied to the specific jurisdiction,” Trudeau said from just outside Montreal.
Last year, the federal government said it wanted the provinces to start with a $10 per tonne tax in 2018 that would increase by $10 per year to $50 a tonne by 2022.
The province asked for an independent legal opinion on this federal plan from a Manitoban scholar.
READ MORE: Manitoba premier trying to fight federal carbon pricing plan
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It was concluded through the review that the federal government has the constitutional authority to impose its carbon pricing scheme in Manitoba in the absence of its own plan. The province said it has no problem with carbon taxing but has a plan that will speak to the people of Manitoba specifically.
A document provided by the province states “Manitoba is already clean given our hydroelectricity system with 98 per cent of electricity generated from non-carbon emitting sources.”
The document also explained Manitobans have already invested billions of dollars in the clean energy system and continue to do so.
“Adding a $50 per tonne carbon price on Manitobans at the same time Hydro rates are rising is neither fair nor sensible,” the document said.
GALLERY: View pages of the government’s newly proposed green-plan
If the made-in-Manitoba plan were to be implemented, the levy would start at – and stay at – $25 a year. This would mean a higher starting rate than what the federal government is proposing, but overall less money being put in for the carbon price.
“Over the next five years, the average Manitoba household will save an estimated $240 under the made-in-Manitoba plan compared to the federal plan,” the document said.
Carbon pricing refers to mechanisms that put a price on carbon with the goal of reducing greenhouse gas missions. It helps with the conservation of fuel and also promotes the adoption of clean alternatives.
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