Ottawa—The Senate has again snarled passage of a bill to exempt farmers from paying the carbon tax on propane and natural gas used in grain drying and heating and cooling of livestock buildings and greenhouses.
By a one vote margin, the Senate passed an amendment to the bill from Huron-Bruce Conservative MP Ben Lobb to remove the exemption from it despite hearing from thousands of farmers and numerous agriculture groups about the hefty costs their action ensures producers have to keep paying even though there are no viable alternatives to those two fuels and are expected to be for another decade.
The bill had already been approved by the Commons and passed second reading in the Senate and had finished favourable study by the Senate agriculture committee.
The Agriculture Carbon Alliance (ACA) said it was profoundly disappointed by the Senate’s action. “While the Senate is supposed to be the chamber for sober second thought, Canadian farmers are bearing the brunt of political delays driven by partisan interests,” said ACA co-chair Dave Carey. “The reintroduction of a previously defeated amendment weeks later is unprecedented.”
The Senate’s action means “hundreds of thousands of farmers, growers and ranchers will be left behind and won’t receive much-needed financial relief at a time when they need it most.” ACA is also very disappointed that several supportive Senators were not in the chamber to vote against what amounted to a procedural amendment.
Scott Ross, the other ACA co-chair, said that, “If the government is truly concerned about supporting a sustainable Canadian food system that people can count on, then they need to enact practical policies that benefit all Canadians.
“Farmers are seeing historic levels of debt and costs that continue to rise. Expecting producers to pay tens of thousands of dollars in carbon pricing annually will only delay investments in sustainability while waiting for technology to catch up. This is not a workable solution.”
Carey said, MPs “face a critical opportunity to not only support farmers and ranchers but rural communities and food affordability. We urge them to stand by their decision and prioritize the best interests of all Canadians by maintaining the bill in its original form and passing it without further delays.”
The amended bill will now be voted on at third reading. If passed the legislation returns to the House of Commons, where its fate remains uncertain. The ACA urges all members of Parliament to swiftly restore the bill to its original form, as passed by the House.
Jan VanderHout, President of the Fruit and Vegetable Growers of Canada, said the Senate’s action significantly undermined intended relief for his members. "This decision disregards the immediate and pressing needs of growers contending with escalating costs and carbon tax burdens. It's crucial that our sector sees tangible, impactful measures that sustain the competitiveness and viability of Canadian growers in a challenging economic landscape."
Kyle Larkin, Executive Director of Grains Growers of Canada, said “MPs from every political party passed C-234 in the Commons due to the fact that no viable alternatives exist for the use of propane and natural gas for on-farm activities. We are deeply disappointed that the Senate amended the legislation.”
The bill “has been years in the making, while grain farmers across Canada have unfairly had to pay this tax without any way of avoiding it. We are now asking MPs to debate and pass the bill unamended as soon as possible. It’s time for the government to give our food producers a well-deserved break.” Larkin said.
This news report was prepared for National Newswatch.