On July 1, 2023, the following federally mandated changes will come into effect in Nova Scotia:
- Fuel charges (Carbon Tax) made under the Greenhouse Gas Pollution Pricing Act (Canada) and
- Clean Fuel Regulations made under the Canadian Environmental Protection Act (Canada).
The “Carbon Tax” is effective July 1, 2023, and will be reflected in the Board’s weekly gas pricing on Thursday, June 29, 2023. The amount to be added on July 1, 2023, as a fuel charge is 14.31 cents per litre for gasoline and 17.38 cents per litre for diesel oil.
The Clean Fuel Costs, effective on July 7, will be reflected in the weekly gas pricing on Thursday, July 6, 2023. At that time 3.74 cents per litre for gasoline and 4.17 cents per litre for diesel oil will be added.
Please see UARB’s press release for more information.
Farmer Exemptions on Carbon Tax
There are current exemptions for farmers and you will need to complete a form to have on file.
- Fuel Charge Exemption Certificate for Farmers: The Act provides exemptions for qualifying farming fuel used in eligible farming activities. Click here for the certificate. Eligible farming activity means the following activities:
- the operation of eligible farming machinery on a farm for the purposes of farming
- the operation of eligible farming machinery for the purposes of going from a location at a farm to another location at a farm
- the operation of eligible farming machinery for the purpose of travelling between a farm and a cardlock facility to obtain qualifying farming fuel
Eligible farming machinery means property that is primarily used for the purposes of farming and that is a farm truck or a tractor.
- Fuel Charge Exemption Certificate for Greenhouse Operators: A greenhouse operator is eligible to obtain relief of 80% of the fuel charge when it receives propane or marketable natural gas and an exemption certificate applies. Click here for the certificate.
For detailed information on exemptions, eligibility criteria, and the process of claiming exemptions, farmers and greenhouse operators can visit the CRA website at Carbon pollution pricing – what you need to know – Canada.ca or consult the CRA’s guidance materials related to the Greenhouse Gas Pollution Pricing Act.
Bill C-234
CFA, as part of the Agricultural Carbon Alliance, has been pushing heavily to have the Senate pass Bill C-234 into law. Bill C-234 is an Act to amend the Greenhouse Gas Pollution Pricing Act to exempt natural gas and propane used on farms for necessary farm practices, such as irrigation, grain drying, feed preparation, and heating or cooling of barns and greenhouses, from the federal carbon price. We will continue to monitor this bill and provide updates!