Press Release – Hon. Pierre Poilievre, P.C., M.P. (Battle River—Crowfoot)
Since the Iran War began over a month ago, global oil prices have surged, leading to gas prices rising by 35 per cent across Canada.
But while the war explains the sudden rise in prices around the world, it doesn’t explain why Canadians pay so much more for gas than Americans.
On the first day of April, the average price for gas in the US was just $1.50 a litre, even after converting to Canadian dollars.
North of the border, the average price across our country was $1.78 per litre. That’s almost 20 per cent more.
Global factors don’t explain this difference; instead, it’s the result of Liberals taxing Canadians again and again and again for fuel.
There’s the Fuel Excise Tax that adds 10 cents per litre and the Clean Fuel Standard that adds 7 cents per litre.
Worst of all, you’re taxed on top of these taxes with the GST adding another 8 cents per litre.
These taxes add up to an additional 25 cents per litre in taxes alone that you’re paying for gas.
That’s why I put forward a plan to have zero federal tax on gas and diesel by removing the excise and sales tax for the rest of the year, and eliminating the fuel standard tax and industrial carbon tax permanently.
Conservatives want our seniors to be able to fill their tanks to go and visit their wonderful grandchildren worry-free.
We want our farmers and agricultural producers to grow affordable food with affordable diesel and gasoline to fill up their tractors, combines, and trucks.
Other countries have already taken action to reduce their taxes on fuel and lower prices for consumers: Australia cut their excise tax in half for three months, Spain cut their sales tax on gas and fuel, and Ireland cut its excise duty on diesel by 20 cents and by 15 cents per litre on gasoline.
The best part is that the government can cut the tax without losing revenue.
Former Liberal top economic adviser, Tyler Meredith, estimated that for every $10 increase in the price of a barrel of oil, the federal government receives roughly $2 billion in additional revenue.
With oil trading roughly $45 to $50 higher than before the Iran war, the federal government is projected to collect $9 to $10 billion in additional revenue.
Using just $5.25 billion of this additional revenue could remove all federal taxes on gas and diesel and deliver relief at the pumps for you.
Suspending these taxes would lower your costs by about 25 cents per litre on gasoline and 21 cents per litre on diesel.
That’s a savings of roughly $20 every time a parent fills up a minivan, and more than $1,200 for a family of four by the end of the year, and savings would be even more for families in rural Canada.
That won’t just lower your cost at the pumps, but also lower everything else shipped by a truck or train that uses fuel.
Cutting the fuel tax will lower the cost of everything and make your paychecks go further.
That’s how Conservatives are continuing to bring national leadership to the local issues that matter so farmers can grow more, oil producers can sell more and you can keep more money in your pockets.
I will keep fighting to help you get ahead and make Canada affordable at home, safe at home and strong at home.
If you have any questions or concerns regarding this column, or if you require assistance regarding a Federal Government program, you are encouraged to send an email topierre.poilievre@parl.gc.ca or call 1-800-665-4358.
