Canadian government to impose carbon tax on defiant Alberta

The federal government’s move was expected, since it has imposed the tax on four other provinces without a carbon pricing scheme in line with the Greenhouse Gas Pollution Pricing Act.

Alberta’s government has yet to officially respond. However, it will likely challenge the tax in court, as has Ontario and Saskatchewan.

The Alberta government, echoing the position of other conservative provincial leaders, has argued that the tax hurts businesses and consumers with higher costs, while failing to curb pollution.  

McKenna noted that all of the revenue would be returned to the province.

Whether the carbon tax will affect Alberta will depend on the outcome of October’s federal elections. A Conservative defeat of Justin Trudeau’s Liberals would likely bring an end to carbon pricing in Canada through a repeal of the legislation.