Manitoba’s climate plan exempts farm fuel from taxes

Manitoba’s climate plan exempts farm fuel from taxes
Oct 31, 2017

Manitoba Beef Producers pleased with government’s recent announcement

By Kate Ayers

Staff Reporter

Farm fuel will not be subject to carbon tax under the provincial government’s Made-in-Manitoba and Green Plan, as announced on Friday.  

And the Manitoba Beef Producers (MBP) appreciate that the government acknowledges the costs of agricultural production, according to yesterday’s MBP release.  

“As Premier Pallister has noted, and as we have stressed for months, agricultural producers are pure price takers,” Ben Fox, MBP president, said in the release.

Brian Lemon, general manager of MBP, expanded on this challenge.

 “More often than not, we are unable to pass along any additional costs. So, anything that the province can do to try and help in that respect (is welcomed). Certainly, not adding the carbon tax to marked (farm) fuels is going to be a big part of that,” Lemon said to Farms.com today.  

While noting the exemption as a “positive development,” the MBP also “recognizes that the industry will still feel some impact from the (Made-in-Manitoba and Green Plan),” Fox said.

“Our role, as the voice of the province’s beef industry, is to make sure that impact is as little as possible.”

MBP requested investments for research as part of its Carbon Pricing Policy.

One area of research may be created through the construction of a Centre for Sustainable Agriculture, according to the release. Agricultural emission reduction is another an important area for study, according to MBP.

MBP will also diligently consult with the government on the climate plan.

The association, for example, will continue to stress to the provincial government the ecological goods and services that beef producers provide in managing privately-owned and agricultural Crown lands, Fox said. Some of these services include helping to sequester carbon, preserving wetlands and providing valuable habitat for numerous species, he added.

“One of the key parts of our policy was that if the (provincial government), in principle, is going to be charging people who put carbon into the atmosphere, $25/tonne, there should be recognition for those who are actually taking it out of the air and putting it back in the ground,” Lemon said.

“Our producers are keepers of huge (areas) of grassland, natural prairie and forages and pastures. We believe we have a big part to play, in terms of taking carbon out of the air and putting it back into the soil.”