The Honourable Steven Guilbeault
Minister of Environment and Climate Change
House of Commons
Ottawa, Ontario K1A 0A6
{Via email}
November 30, 2022
Re: Federal Backstop Imposed in Newfoundland and Labrador, Nova Scotia, and Prince Edward Island.
Dear Minister,
The Atlantic Chamber of Commerce is concerned with the additional financial burden being placed on businesses and residents of our region with the implementation of the federal carbon tax backstop in Newfoundland and Labrador, Nova Scotia, and Prince Edward Island. Our concern is that without provincial accommodations, Atlantic Canada will be disproportionately impacted by the implementation of the federal carbon plan.
We agree that urgent action is needed to address climate change and protect our environment. The answer to reducing emissions is not found in punishing people for heating their homes or fueling their vehicles, it is found in supporting development of green technologies and innovative solutions to reduce the use of fossil fuels. Advancements in technologies such as carbon capture, utility-scale energy storage, mainstreaming of electric vehicles and other innovations are some of the effective options available for safeguarding the planet and slowing climate change. We must work on making energy technology more accessible and thus encourage consumers to transition rather than penalizing them.
The federal carbon pricing plan rewards individuals who are able to walk, bike, or take public transit, but these options are not available to the more than 40% of Atlantic Canadians who live in rural communities. Life will become more expensive for them, and an annually escalating carbon tax will unjustly penalize many rural families. The carbon tax will also drive up the cost of goods and services, including the necessities of life, hurting both businesses and their customers. Supply chain issues, inflation, and international conflicts have all recently spiked the cost of doing business, the carbon tax will further intensify the economic burden.
Canada’s Parliamentary Budget Officer is already estimating the majority of residents in Ontario, Manitoba, Saskatchewan, and Alberta are worse off under carbon pricing than if the policy did not exist. If a plan to reduce carbon emissions is to be imposed, it should reflect the environmental and economic realities in each of our provinces. The one size fits all approach of the federal carbon tax will have an inordinate impact on Atlantic Canadians. With inflation at 40-year highs and Atlantic Canadians and businesses absorbing the increased costs, now is not the time to further increase the burden on them.
The Government of Canada should hit pause on the planned imposition of the federal backstop and future carbon tax increases until inflation and interest rates both stabilize. Exploration and investments in reducing emissions through technological advancement should be the current priority for government as we transition to net-zero.
Sincerely,
Sheri Somerville
CEO, Atlantic Chamber of Commerce
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Letter to The Honourable Steven Guilbeault Re: Federal Backstop Imposed in Newfoundland and Labrador, Nova Scotia, and Prince Edward Island.
Thursday, December 1, 2022
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Business Truth & Reconciliation
The Atlantic Chamber of Commerce takes proactive steps to promote reconciliation and respect for Indigenous rights within the corporate sector. In response to the Truth and Reconciliation Commission's Call to Action 92, the Chamber urges its members to embrace the United Nations Declaration on the Rights of Indigenous Peoples as a guiding framework.
Recognizing the importance of education, the Chamber encourages businesses to provide comprehensive training for management and staff on the history of Indigenous peoples, including the legacy of residential schools, Indigenous rights, and Aboriginal-Crown relations. Emphasizing intercultural competency, conflict resolution, and anti-racism, these efforts aim to foster a more inclusive and harmonious corporate environment rooted in mutual understanding and respect.
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