Pierre Poilievre says he will scrap the industrial carbon tax if elected PM. Bloomberg
Conservative Leader Pierre Poilievre has promised to eliminate the industrial carbon tax if he becomes prime minister. During a press conference in Ontario, he said there would be "no taxes on consumers or Canadian industries." Instead, provinces would have the freedom to decide how they want to handle the issue without federal interference.
Poilievre’s announcement came just days after Prime Minister Mark Carney revealed plans to remove the consumer carbon tax on fuel, including gasoline and natural gas. However, Carney intends to keep the industrial carbon levy in place, which Poilievre criticized as a “trick” and a “shadow carbon tax.”
Poilievre vowed to abolish the carbon pricing system entirely, including the federal rule requiring provinces to impose industrial taxes. Currently, only four regions — Manitoba, Nunavut, Prince Edward Island, and Yukon — follow the federal carbon pricing system. The remaining provinces have their own.
The Conservative leader also shared his plan in a video on social media. He promoted his party’s "Canada First Plan," which outlines their policies, including the complete removal of the carbon tax.
Carney recently signed an order to cancel the consumer carbon tax starting April 1, just before it was set to increase. However, Poilievre accused Carney of using a "fake executive order" to delay the tax only temporarily before the upcoming election.
"The tax is still in place," Poilievre said. "It’s scheduled to increase by 300% over five years. Hiding it for a few weeks won’t change that."
Poilievre’s “axe the tax” message has been a key part of his campaign for two years. Meanwhile, Carney, during his Liberal leadership campaign, promised to get rid of the unpopular consumer carbon tax.
Poilievre claims his environmental plan will focus on "incentives, not punishment" to reduce emissions. He plans to expand tax credits for clean technology and manufacturing while rewarding industries that lower emissions.
When asked if he would set specific emissions targets, Poilievre avoided giving a clear answer. Instead, he emphasized the need to focus on technology over taxes and prioritize economic growth.
"My emissions plan? It’s a global problem," he said. "By bringing production home from high-polluting foreign countries, we can cut global emissions while boosting our economy."
Meanwhile, Carney, speaking from London, defended the industrial carbon tax. He said it is necessary for Canada to stay competitive in global trade. According to Carney, having a carbon price is a requirement to access key markets like the European Union and the United Kingdom.
Experts, however, raised concerns about Poilievre's plan. Chris Ragan, an economist at McGill University, argued that relying only on technology incentives may not be enough to reduce emissions. He warned that scrapping the industrial tax could make it harder for Canada to meet its 2030 and 2050 emissions goals.
Ragan believes the industrial tax pushes big polluters to cut emissions while keeping them competitive. He pointed out that removing it would reduce the financial incentive for industries to become cleaner.
