Debates of February 28, 2011 (day 47)
MEMBER’S STATEMENT ON IMPACT OF PROPOSED NWT CARBON TAX ON SMALL COMMUNITIES
Mahsi cho, Mr. Speaker. I am very concerned about the discussion of our proposed carbon tax in the NWT, especially the impact it could have on small and remote communities. As the MLA with the smallest communities, I am not convinced that a carbon tax is in the best interest of my constituents. A carbon tax is implemented by taxing the burden of fossil fuels, coal, petroleum products such as gasoline, aviation fuel, diesel, including heating diesel. This is the very thing that we in the small communities use every day to make a living and have a living. We will certainly pay more and I cannot support that. We live where we live because we love it and we should not be penalized for it.
Increasing fuel prices are already occurring. Then, now we want to add an additional 8 cents a litre, like in B.C. who has a carbon tax. The majority of people in remote communities generally have low or no income. The proposal is contrary to the GNWT goal to reduce the cost of living. Carbon tax would increase the price of goods and services where people cannot even afford to pay 2 cents more. The proponents talk of it being revenue neutral. That means more in other areas like personal taxes.
Mr. Speaker, this tax rebate would not do much to ease the burden, especially when there is no taxation benefit with those of low income. Carbon tax is best targeted in large developed economies where alternatives to fossil fuels exist or to provide incentive to initially develop alternatives. In the most part, we are working towards reducing greenhouse gases in our own way. We are looking at hydro investment, proposed transmission lines and hopefully we can consider the smaller communities as well, studying other potential hydro areas. Before we implement a carbon tax, we need to look at the full picture and understand what it will achieve. The reality of the situation is that our larger communities are already on hydro, Mr. Speaker. They will not have to pay that tax portion. We in the small communities will be doing the paying. Our own government’s assessment in the 2008 revenue option paper stated a carbon tax would increase the cost of living to NWT residents and the cost of doing business in the NWT. I wholeheartedly agree. I believe we should concentrate on what matters: health, education and housing. That is first things first. Let’s take care of our people, Mr. Speaker.
Thank you, Mr. Menicoche. The honourable Member for Weledeh, Mr. Bromley.