A man pumps gas in Montreal, on Friday, March 4, 2022. THE CANADIAN PRESS/Graham Hughes.
While one province opts to alleviate the burden on motorists by temporarily halting the gas tax, another is resuming it. The Manitoba government has announced a six-month suspension of the 14 cents per liter fuel tax, effective from Monday, with the intention to assist drivers amidst inflation concerns.
Conversely, the Alberta government is reintroducing the gas tax after a nearly two-year hiatus. Starting Monday, Alberta motorists will face a tax of nine cents per liter at fuel stations. This rate is notably lower than the pre-pause 13 cents, according to Alberta Finance Minister Nate Horner. He emphasized that the tax rate is linked to the average oil price, and if the West Texas Intermediate maintains a US$80 per barrel average, Albertans could see a reduction or complete exemption from the fuel tax.
Horner justified the reintroduction, stating that Alberta's fuel tax serves as a reliable provincial revenue source, mitigating the impact of revenue source volatility. He mentioned plans to provide a further update on the fuel tax in the spring.
Meanwhile, in Ontario, the provincial government has extended the gas tax break until June, allowing motorists to continue paying nine cents per liter. In contrast, British Columbia and Saskatchewan have faced calls from opposition parties for gas tax relief, but both provinces have opted against such measures.
