Arab Canada News
News
By Omayma othmani
Published: January 1, 2024
While one Canadian province is suspending the fuel tax to save money at gas stations, another province is reinstating it.
The government of Manitoba announced that starting from today, Monday, drivers will not have to pay 14 cents per liter as a fuel tax for the next six months.
The province said it took this measure to help drivers cope with inflation.
At the same time, the government of Alberta is reinstating the fuel tax after it was suspended for about two years.
Starting Monday, drivers in Alberta will have to pay a tax of nine cents per liter at gas stations.
The province explained that this amount is cheaper than the 13 cents that drivers were paying before the suspension.
For his part, Alberta's Minister of Finance, Nate Horner, said the tax rate depends on the average oil price.
He said that if the average price of West Texas Intermediate (WTI) crude oil reaches $80 per barrel, Albertans can expect to save some or all of the fuel tax.
Horner also said in a press release last December that “the fuel tax in Alberta is a predictable source of provincial revenue, helping to offset the volatility of other revenue sources.”
He added that the province plans to provide an update on the fuel tax next spring.
In Ontario, the provincial government will extend the fuel tax exemption until June, so that drivers continue to pay nine cents per liter.
Opposition parties in British Columbia and Saskatchewan have also called for easing fuel taxes, but the governments of these two provinces have refused to do so.
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