Freeland would ditch consumer carbon tax if chosen leader: source
Former finance minister Chrystia Freeland is considering dropping the consumer carbon tax, a key environmental policy of the Liberal government, if she is elected leader, according to a source close to her campaign. The source, who requested anonymity, revealed to CBC News that Freeland is prepared to make tough decisions to meet emissions targets and hold major polluters accountable.
However, the source emphasized that Freeland is attentive to public sentiment and will not push forward with a policy that Canadians have clearly indicated they do not support. Instead, she plans to replace the consumer carbon price with a new system that will be developed collaboratively with provinces and territories to ensure effective environmental action within the federation.
While Freeland has not officially announced her candidacy for the Liberal leadership, sources suggest that she will launch her campaign before the inauguration of U.S. president-elect Donald Trump. In a recent social media post, Freeland hinted at forthcoming announcements, indicating her readiness to step into a prominent role in the party.
As a well-known figure in the Liberal Party who has held significant cabinet positions over the past eight years, Freeland is seen as a formidable contender in the race to succeed Prime Minister Justin Trudeau. The leadership contest is scheduled for March 9, with the winner set to assume the role of prime minister.
Another front-runner in the leadership race, former central banker Mark Carney, has been ambiguous about his stance on the carbon tax. During an appearance on The Daily Show, Carney evaded a direct answer when asked about the policy’s potential impact on a general election campaign against Conservative Leader Pierre Poilievre. While emphasizing the importance of enhancing Canada’s competitiveness, Carney refrained from explicitly defending or committing to retaining the carbon tax.
The carbon tax, initially set at $20 per tonne in 2019, has gradually increased over the years and is slated to rise by $15 annually until it reaches $170 per tonne by 2030. This incremental escalation aims to incentivize individuals and businesses to reduce their reliance on fossil fuels and transition to more sustainable energy sources. Residents in provinces subject to the carbon tax receive rebates as part of the program.
Poilievre has consistently opposed the carbon tax and called for a dedicated election on the issue. Many provincial premiers have also voiced opposition to the federal initiative, urging Trudeau to reconsider the scheduled annual increases due to concerns about the cost of living.
As the leadership race unfolds, both Freeland and Carney will need to navigate the complexities of environmental policy while balancing the expectations of Canadians and industry stakeholders. The future direction of Canada’s climate action agenda hinges on the decisions made by the next Liberal leader, who will inherit the responsibility of guiding the nation towards a more sustainable future.
