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B.C. aims to axe the carbon tax, effective April 1

There was a scheduled increase for the tax, which will no longer go ahead if the legislation passes
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B.C. Premier David Eby at a town hall at the Simon Fraser University's Surrey campus on March 14, 2025.

The carbon tax is set to be eliminated in B.C. as of April 1, with the NDP set to table the legislation the day prior.

A release from the Finance Ministry Tuesday (March 25) says the the government is "not only halting the scheduled tax increase, it is tabling legislation Monday, March 31." The carbon tax was set to increase to $95 per tonne from $80 per tonne on April.

The province says it's notifying fuel sellers and natural gas retailers now so they can take action to stop collecting the tax from consumers as of April 1.

"While the Government of B.C. understands that eliminating the tax requires changes, the Province expects fuel sellers and natural gas retailers to make every effort to ensure their customers are not charged the carbon tax on purchases as of April 1," the release reads.

March 31 will be the first sitting in the legislature since rising for spring break on March 13.

The release adds that the provincial government will "continue to act on the commitment to battle climate change by ensuring people in British Columbia have affordable options to make sustainable choices by encouraging industry to innovate." 

"Incentivizing industry to adopt lower-carbon technologies while maintaining their competitiveness is critically important in the province. While government removes the carbon tax on people, the Province of B.C will continue to ensure big industrial emitters pay their fair share through the output-based carbon pricing system. The system holds large industrial emitters accountable and offers cost-effective ways to cut emissions."

Premier David Eby said March 14 the province would get "rid of the carbon tax entirely" after the federal Liberal government said it would be repealing the requirement for the tax. 

""The carbon tax has been an important tool in British Columbia," Eby said in the statement that same day. "For over a decade and a half, a price on pollution has been an effective part of our efforts to tackle climate change. However, with cost-of-living pressures facing households and the imminent removal of federal carbon pricing, there is no longer support for the measure."

Following Eby's initial announcement, B.C. Greens interim Leader Jeremy Valeriote said the B.C. NDP's decision to end the carbon tax and associated rebates "leaves many questions unanswered."

"The province had budgeted billions in carbon tax revenue over the coming years. If this revenue source is eliminated, what is the plan to make up the shortfall? What programs or services will be cut to fill the gap?"

Mark Carney, who was sworn in as prime minister on March 14, made it his first order of business to cancel the carbon tax.

"The consumer carbon tax is not working. It’s become too divisive — at a time when Canada needs to be united," Carney said on X. 

– With files from Wolf Depner



Lauren Collins

About the Author: Lauren Collins

I'm a provincial reporter for Black Press Media's provincial team, after my journalism career took me around B.C. since I was 19 years old.
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