Manitoba backs out of planned carbon tax, says Ottawa not respecting provinces
WINNIPEG — Manitoba Premier Brian Pallister did an about-face on carbon taxes Wednesday, abandoning plans to start charging a levy in December and joining other conservative leaders in flat-out opposition to federal plans.
Pallister announced a year ago he would enact a $25-a-tonne carbon tax and keep it at that rate. That would have increased the price of gasoline by 5.3 cents a litre and raised other energy costs.
The federal government has said provinces have to enact a cap-and-trade system or a carbon tax that would start at $10 a tonne this year and rise to $50 a tonne by 2022.
Pallister has long said his approach was legally sound, would help the environment and strike a middle ground.