For example, when faced with the carbon tax, a company may choose to innovate and change the way it delivers goods and services, transition to different types of production or reduce emissions. The key, though, is that individuals — not government bureaucrats — make these decisions.
According to a 2021 report by the Biden administration, the social cost of carbon in 2030 will be between US$19 and US$89 per tonne of CO2. This suggests that Canada’s ultimate tax of $170 per tonne by 2030 is far too high, meaning the tax will discourage emissions, but at an economic cost that exceeds the economic benefit.Article content
And there are more than a handful of federal regulations and policies that work against the effectiveness of the carbon tax including new regulations on automobile fuels, single-use plastics, infrastructure projects and oil exporting off the West Coast.Article content