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Federal Carbon Price Increasing on April 1

The Canadian Trucking Alliance (CTA) is reminding the trucking industry that the federal carbon price on diesel is set to increase to $0.1073 per litre (about 10 cents) on April 1, 2021.

Based on diesel fuel consumption in Canada and the estimated miles travelled by Canadian trucks through domestic trips (in all provinces), CTA estimates the trucking industry will pay $538 million in carbon pricing this year. By 2023 this figure will increase to $1.2 billion and by the end of the proposed carbon tax pricing schedule, increasing by $15 per tonne until 2030, will escalate to $3 billion.

CTA does not support the introduction of carbon pricing because it fails to produce desired outcomes or any new meaningful policy changes for our sector. CTA has continued to ask the federal government to allocate all revenues generated from our sector towards a green truck fund, to encourage both a faster and broader scope of investment in GHG-reducing equipment and technologies in the trucking sector.

CTA is once again recommending that all trucking companies in Canada and members of the supply chain continue to discuss the impact of carbon pricing with their customers so they can understand the operational realities and concerns the sector is facing due to the system.

To help educate the public and the supply chain on the impact of carbon pricing on the trucking industry, CTA prepared a document and infographic for the industry. Click here: Carbon Charge on Diesel Fuel.

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