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Alberta pauses collection of provincial fuel tax

By Admin User on March 16, 2022

The Alberta Government is stopping the collection of its provincial fuel tax, starting April 1. This is to provide Albertans some relief from record-breaking fuel prices. It will come at the same time that the Federal carbon tax rate on gasoline will increase by about 3 cents.

Jason Kenney, Alberta’s Premier, says, “We’ve heard Albertans’ concerns about the rising cost of living loud and clear. While the federal government is set to increase the carbon tax April 1, Alberta’s government is taking the opposite approach and stepping up to offer relief. Stopping the provincial fuel tax puts money back in the pockets of Albertans when they need it most.”

Currently, the province collects:

  • $0.13 per litre for gasoline
  • $0.13 per litre for diesel
  • $0.04 per litre for marked gasoline and marked diesel

Additionally, the Alberta government will offer $150 electricity rebates to help Albertans pay their high winter utility bills. Dale Nally, the Associate Minister of Natural Gas and Electricity, explains, “Utility prices are in part due to market conditions, and in part due to punishing policies from the former provincial government and the federal government. As our government works hard to responsibly manage system costs, we are also working tirelessly to increase generation investments to bring new supply on to the market. As this long-term work continues, a rebate to help offset these costs for Alberta families and small businesses will help provide support when they need it most.”

The province expects to give out these rebates to over one million homes, farms, and businesses. They will come as a monthly rebate of $50 for three months.

The Alberta government says they will review the collection of fuel tax quarterly, but they will not start collecting fuel tax again before July 1.



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