An Act to amend the Greenhouse Gas Pollution Pricing Act (qualifying farming fuel)

This bill is from the 43rd Parliament, 2nd session, which ended in August 2021.

Sponsor

Philip Lawrence  Conservative

Introduced as a private member’s bill. (These don’t often become law.)

Status

Second reading (Senate), as of June 23, 2021
(This bill did not become law.)

Summary

This is from the published bill.

This enactment amends the Greenhouse Gas Pollution Pricing Act to extend the exemption for qualifying farming fuel to marketable natural gas and propane.

Similar bills

C-234 (current session) An Act to amend the Greenhouse Gas Pollution Pricing Act
S-215 (43rd Parliament, 1st session) An Act to amend the Greenhouse Gas Pollution Pricing Act (farming exemptions)
C-206 (43rd Parliament, 1st session) An Act to amend the Greenhouse Gas Pollution Pricing Act (qualifying farming fuel)

Elsewhere

All sorts of information on this bill is available at LEGISinfo, an excellent resource from the Library of Parliament. You can also read the full text of the bill.

Bill numbers are reused for different bills each new session. Perhaps you were looking for one of these other C-206s:

C-206 (2021) An Act to amend the National Defence Act (maiming or injuring self or another)
C-206 (2015) An Act to amend the Criminal Code (abuse of vulnerable persons)
C-206 (2013) An Act to amend the Canada Pension Plan (pension and benefits)
C-206 (2011) An Act to amend the Canada Pension Plan (pension and benefits)
C-206 (2010) An Act to amend the Excise Tax Act (no GST on books or pamphlets)

Votes

June 23, 2021 Passed 3rd reading and adoption of Bill C-206, An Act to amend the Greenhouse Gas Pollution Pricing Act (qualifying farming fuel)
Feb. 24, 2021 Passed 2nd reading of Bill C-206, An Act to amend the Greenhouse Gas Pollution Pricing Act (qualifying farming fuel)

Greenhouse Gas Pollution Pricing ActPrivate Members' Business

June 21st, 2021 / 11:10 a.m.

Bloc

Christine Normandin Bloc Saint-Jean, QC

Madam Speaker, I am pleased to rise again to speak to Bill C‑206 today, as I did at second reading. Today, we have come full circle. I propose that we look at the bill by asking five basic questions, which we should ask more often in these cases: who, when, how, what and where. It is very simple.

I will start with who, in other words, those we are proposing this bill for. Unlike other political parties, we in the Bloc Québécois do not tend to give gifts to people who do not need it.

Farmers kept the agriculture sector going in a crisis, which is not easy. We know that farm owners had a very tough time on the labour front. This hurt food security, supply and, in some cases, animal health. Management of issues surrounding the arrival of foreign workers has been problematic, and, a few days ago, assistance from the government in support of quarantine was cut in half.

However, even before the crisis began, our farmers were already struggling. Climate change is causing even greater uncertainty around crops and harvests. Furthermore, it is getting harder and harder to find young farmers to take over, particularly because the price of land keeps going up year after year.

People who grew up on the land and worked with their parents will find it increasingly difficult to take over the farming operation. There are rare occasions when parents can afford to be generous and gift the farm to their children, instead of using the value of the farm business they have built up their entire lives to fund their retirement. In other cases, given the rising cost of land and quotas, it is hard to find young farmers to take over.

Why are we doing this, that is, why are we debating Bill C-206? We must remember that the bill would amend the Greenhouse Gas Pollution Pricing Act, including section three, which lists the products that are not taxed, in particular those for farming purposes. Natural gas and propane were missing from the list of exempt products. Why does Bill C-206 seek to add them to section three?

A carbon tax discourages people from taking a certain action and encourages them to choose a behaviour over another. However, in order for that to happen, people must have options, and that is exactly the problem.

There was an example of this in my riding during the rail crisis. CN just stopped delivering propane for two weeks when farmers had to dry their crops, which was a critical time for them. The moisture level in crops was very high that year, and had farmers not been able to dry them, they would have rotted, which would have resulted in the loss of an entire year's income.

In this particular case, propane was the only option, since any alternatives are still in the pilot-project stage and are not a viable option for large-scale farming businesses. When I asked farmers, who were worried about not getting the propane they needed, they told me that there was no alternative to propane, but that they would like to have one.

The existing power grid would not even have the capacity to generate enough heat for drying grain. It is as though people expected to one day have electric hot air balloons—they are very popular back home—but this is not going to happen overnight. Technologies like biomass are still too new, and there is not enough incentive for us to expect quick changes in carbon pricing.

That brings me to my third point: When will it happen? This is the part I find unfortunate, because we are three days out from the end of the parliamentary session and the summer recess. This Parliament could end up being replaced with a new one, based on the election rumours we are hearing.

It is really unfortunate that we are debating a bill this important and necessary at the eleventh hour, knowing that it could end up dying on the Order Paper, just like Bill C‑216, the bill on supply management introduced by my colleague from Berthier—Maskinongé, or the bill on farm succession planning, which the Senate just started studying.

On this third point, I want to say how disappointed we are with the government's management of the legislative calendar, because we are currently debating a great bill that, unfortunately, may never see the light of day.

How is Bill C‑206 being dealt with?

This part is a bit nicer. As I was preparing for my speech on my drive in to work this morning from my riding of Saint-Jean, I listened again to what happened and what my other colleagues said, particularly those who are members of the Standing Committee on Agriculture and Agri-Food. I was very happy to hear how well people are working together on this committee. There is no excessive partisanship since everyone is serving the same cause, that of farmers and those who feed us. It is in that spirit of co-operation that a key amendment was proposed to improve Bill C‑206. This amendment is really worthwhile, because it addresses the concern that some might have about the fact that there is a gap in the bill, the ultimate purpose of which is to try to reduce greenhouse gas emissions.

The amendment sets an end date for the exemption for natural gas and propane. In other words, natural gas and propane will be exempt from taxation for 10 years in the hope that, a decade from now, there will be new technology that will enable us to stop using natural gas and propane. That is our hope, anyway, but the government needs to get cracking because farmers do not want to be passive witnesses to these changes. They want to be part of it, but they need help. Contrary to what some people think, farmers do not wake up in the morning thinking about how great it is that they can go out and pollute. They just want help finding alternatives that are commercially viable, because they operate in a global market and cannot pass costs on to their customers. They would no longer be able to compete internationally, so we have to give our farmers that support.

The final point is, where is that supposed to happen? People might think that it is obvious it should be done in the House of Commons and Parliament, because that is where bills are passed and amendments made. That seems obvious, but nowadays, very few things that should be obvious are.

I would like to take this opportunity to thank everyone who contributed to the parliamentary spirit that has characterized Parliament during the pandemic. I would like to take a few moments to pay tribute to the interpreters, the support staff and the tech support who made it possible for us to function relatively normally, despite COVID‑19.

I also want to express my hope that, despite everything, we will get back to normal quickly, so that we can have accountability, so that there is someone in the House who answers questions, and so that reporters can do their job and ask parliamentarians questions as they leave the House. I also hope that we can go back to normal sooner rather than later so we can get parliamentarians working co-operatively, apart from the occasional stormy question period.

When we parliamentarians are working together face to face, we are able to move files along more efficiently, understand one another better, and remember for whom, why, how, where and when we create bills. It is fundamental to remember that, and that is what we are reminded of when we sit in the House in person.

With that in mind, I want to acknowledge the work of the House, but I also want to take a moment to remember the farmers. I wish Bill C‑206 could have gone forward. I cannot help but think of all the people I have known since I was a little girl growing up in the country. As members can imagine, it has been quite a while since I was “little”.

My thoughts are with our farmers, in the hope that, if not this time, Bill C‑206 can come back sooner rather than later and eventually be passed by the House and the Senate.

Greenhouse Gas Pollution Pricing ActPrivate Members' Business

June 21st, 2021 / 11:20 a.m.

NDP

Matthew Green NDP Hamilton Centre, ON

Madam Speaker, I have had many occasions to rise with privilege to share a bit about my own family history. I have spoken a lot about my father and the African Canadian diaspora, but I have not had the privilege of speaking about my mother's side of the family, a family that settled not far from here, about an hour from here in the South Mountain area. It is a place I have fond memories of, stories of my grandfather with a grade-six education being told by his father that the world and the road ahead is as long as he can make it.

My grandfather, Nelson Scharf, in fact had a cheese factory in Russell and Hulburt. It was a connection we had to the supply chain and the agricultural sector here. My grandmother, Doris Forward, had a family farm in Chesterville. My cousin, Tom Forward, is still on the land and works within the dairy sector today.

I think about those early memories of visiting those farms, visiting the cheese factory, being up close as a child and seeing these hard-working people, folks who often do not get enough credit for the number of hours they work and for what they provide this country.

I rise today with the honour, on our 60-year anniversary as New Democrats, of being from the founding party of the Co-operative Commonwealth Federation, which aimed to alleviate the suffering that workers and farmers felt and endured under capitalism. We are, in fact, the only party that was founded by farmers, so it is an honour and a privilege to be here today with that family background and that party background in support of this bill.

I want to take a moment and thank the hon. member for Northumberland—Peterborough South, a gentleman whom I have gotten to know in my committee work and somebody who I know has brought with him the good intentions of supporting the constituents within his riding.

For those who are tuning in and trying to get a sense of what this is all about, this bill, Bill C-206, seeks to amend the definition of “qualifying farming fuel” in the Greenhouse Gas Pollution Pricing Act to include natural gas and propane. Of course, this issue is complex. I will not pretend to be an expert, and there is certainly a lot of room for improvement at the committee stage, but this legislation stems from an unseasonably wet autumn in 2019, which was called “the harvest from hell”, when grain farmers were using propane and natural gas heaters to dry their grain. Without these grain dryers, grain rots and becomes worthless as food or as a cash crop contributing to our GDP.

There is currently no viable alternative to the use of propane or natural gas for the operation of these dryers, and because propane and natural gas are currently not covered under the act qualifying for farm fuels, grain farmers are forced into a situation of contributing more CO2 into the atmosphere as a result of carbon taxes on the cleaner fuels. The Grain Growers of Canada has confirmed, as of February of last year, that many of them have turned to higher-CO2-emitting diesel fuel, which is listed, ironically, as qualifying farm fuel in the act, for grain dryers to avoid the higher-taxed propane or natural gas heaters.

As our very learned critic for agriculture, the hon. member for Cowichan—Malahat—Langford, has stated, ultimately what we want is high-CO2-emitting industries to be contributing less carbon dioxide into the atmosphere, and if we penalize the agricultural sector with a higher price for choosing a cleaner fuel option, we are running entirely counter to our ultimate objective of combatting climate change by reducing GHG emissions. Our critic for agriculture, the hon. member for Cowichan—Malahat—Langford, states quite rightly that farmers are not only well aware of what the effects of climate change will be, but they are also one of our greatest tools for fighting climate change.

When we are looking at this bill, I think we have heard this false dichotomy between Liberals and Conservatives about carbon taxes being the defining feature of climate change. The Liberals would suggest this is a market solution and Conservatives would suggest this is yet another tax. As New Democrats, we recognize that reducing greenhouse gas emissions ought to be our objective, and we do not feel that providing this in this particular way meets that objective. While the intent of the bill is sound, making it easier and more affordable for farmers to burn cleaner fuel should be a no-brainer, and using no fuels whatsoever or existing clean technologies is just not a viable option.

I think of my family who are still in this sector. My cousins, the Weagants, sold farm equipment throughout Ontario. I also think about the hard-working farmers in my city. I am a very proud MP representing Hamilton Centre, and many people do not know that while we have close to 600,000 people, the geography of our city encapsulates a very large portion of rural areas in the greenbelt and into some of the tender fruits land.

We are here today hoping to see a better outcome on this particular issue, to ensure that we are not adding to the complexities of the food supply chain and that we are cutting through the noise into a bit of a more intelligent argument about, again, a party founded by the CCF and about supporting our farm workers. Those who are out there across Ontario, Quebec and, indeed, across the country know that the New Democratic Party was founded on those principles.

The Regina Manifesto, right there in our founding documents, says, “The security of tenure for the farmer upon his farm which is imperilled by the present disastrous situation of the whole industry, together with adequate social insurance, ought to be guaranteed under equitable conditions.” It is right there, in the foundation of the CCF, which, 60 years later, would become the NDP of today.

I hold that position, and I support our agricultural sector. I know that farmers are on the front lines of climate change, and I know that they will play a key role in our food security and our ability to adequately adapt to the changing climate, which will have a direct impact first on them, and of course, in the spirit of the hard-working people of my own family, those who continue to this day to work the land and to acknowledge our precious connection to the land, the food that we have and the food supply chains.

In closing, I would like to thank the hon. member for Cowichan—Malahat—Langford who, on the technical aspects of this, has been absolutely incredible for me and our caucus to help us better understand the nuances, because we want to see a just recovery. We want to see a just transition for workers. We acknowledge that farmers are indeed some of the hardest-working people, and that includes the migrant workers who work alongside them in our fields.

I want to take this opportunity to thank the members of the House for allowing me to rise with the deep privilege that I have in the waning days of this Parliament to be able to share a little about myself, my family and our ongoing support for workers as New Democrats.

Greenhouse Gas Pollution Pricing ActPrivate Members' Business

June 21st, 2021 / 11:30 a.m.

Conservative

Karen Vecchio Conservative Elgin—Middlesex—London, ON

Madam Speaker, it is a wonderful Monday morning. After listening to the earlier speeches, I would like to offer my thanks. My thanks to the Liberal Party member, who I just heard speak about the importance of this bill. Then there was my friend from Saint-Jean, and I did not know that she grew up on a farm, so we have a few more things in common. My thanks as well to the member for Hamilton Centre.

This is something that we have to recognize, as it is so important to our farmers. They are the ones who produce our food. They are the ones who, throughout this entire pandemic, have been working to support Canadians. Looking at this bill, I think it is absolutely exceptional.

I would really like to thank my great friend, the member for Northumberland—Peterborough South. I actually drove through parts of his riding yesterday on my return to Ottawa from Elgin—Middlesex—London. The one thing I see in southwestern Ontario is beautiful agricultural land. There are lots of different commodities and sectors, but it is a big farming community. There are some big pockets of cities, but surrounding all of those big cities are acres and acres of great farmland where they are producing necessary commodities and food.

I am going to start with a very simple quote, which actually comes from the member for Northumberland—Peterborough South. He said this at committee, and I want to put it in the record of the House of Commons because this is a very valuable debate.

These are things that are very, very important to my riding, so I appreciate having the opportunity to speak to this bill for the farmers who are living in Elgin—Middlesex—London. I can tell members that, according to Statistics Canada, in 2016 there were 1,930 farm operators in Elgin and 3,260 farm operators in the county of Middlesex. These are things that are very, very important to my riding, so having the opportunity to speak to this bill is an honour.

To quote my good friend, at the agriculture committee he said:

The greenhouse gas pollution pricing currently allows qualifying farmers an exemption on certain farm fuels such as gasoline and diesel; however, it fails to extend that exemption to other fuels such as natural gas and propane. This is challenging on many different fronts, as farmers quite often don't have other options and their only option for their particular industrial equipment may be natural gas and propane.

The science says that natural gas and propane are often cleaner fuels than diesel or gasoline. Why would we not include them in this exemption? Farmers, after all, are stewards of our land and, along with our indigenous people, were some of the first environmentalists standing up for the land and also for the animals and plants located on their properties.

That is why I wanted to talk about propane. I have quite a bias, to be honest. The former chair of the Canadian Propane Association is a resident of Elgin—Middlesex—London. He is also the CFO for Dowler-Karn, which is probably one of the biggest distributors of gasoline and fuel products to multiple farmers in the southwestern Ontario region. I can sit down with him, and when I call Dan Kelly with a question, he will answer. If he does not have the answer, he will find it, because he is out there working for Canadian farmers.

He brought this to my attention as well. He said that Bill C-206 is excellent and what we need to do. He was actually hoping that we would not have to put through Bill C-206, and that the Liberal government may recognize the issue and put it in the budget, but we did not see that. The government does not recognize that it is going to take more than just two or three years for farmers to transition to greener fuels.

I was really happy to see this bill continuing on to third reading, but as the member for Saint-Jean indicated, these are the final days, so I hope that today we can get through this. After we return to Parliament, hopefully this is a bill that the Senate will look at very quickly. This is what our farmers need and what they are asking for.

Continuing on to the Canadian Propane Association, I would like to read a statement I received from it. I am sure everybody has received it as well. It explains why we should support this bill and the importance of the exemption that would come to our farm operators.

This statement, I believe, was put out after the vote on second reading of Bill C-206, a vote of 177-145. All opposition parties actually agreed and recognized that this is something that needs to be done. We saw that the Liberal government was not good with that, yet it may have had to do with it coming from an awesome Conservative. We may never know. However, I will read out the Canadian Propane Association's statement, which says:

“Discouraging the increased use of carbon-intense fuels such as gas and diesel in favour of low-emission energy like propane for agriculture applications would be a win-win for the environment and for farmers’ bottom line,” said Nathalie St-Pierre, President of the Canadian Propane Association....

“The principle of the GGPPA is intended to encourage a reduction in the use of carbon-intense fuels,” said St-Pierre. “By exempting gas and diesel but not allowing the same exemption for propane, the law actually encourages the increased use of gas and diesel – this is environmental nonsense.”

Just moments ago, we heard my friend from Hamilton Centre say the exact same thing, which is that, because of this, people are beginning to use diesel. The government has established the carbon tax, but it is actually giving an exemption to a dirtier fuel. We have an option here. The statement continues:

St-Pierre said that CPA members are also hearing from their customers in the agriculture sector about the significant added cost due to the federal carbon tax. According to an estimate provided by the Parliamentary Budget Officer last December, over the next five years about $235 million will be collected from farmers for using natural gas and propane.

I will note that statistic. I was speaking to Dan about this. On behalf of the farmers in our area, he sent a cheque for over $1 million for just a few months for carbon tax collection. That $1 million that could have been used for so many other things, perhaps new technology, workers or new things on farms, but instead, that money is paid to the government.

We are talking about $235 million. I have heard people say that the government is going to lose $235 million. To me, the government should not be taking that $235 million in the first place, so it would not be losing revenue. This is revenue it should not be taking, so we have to look at this as not being a loss of revenue for the government.

The government had no business taking the $235 million in the first place because, at the end of the day, who pays for it? It is going to be the farmers. After the farmers, who pays for it? It is going to be people sitting at their tables, eating their cornflakes or their eggs from the local chicken farm. These are the people who, at the end of the day, are going to be impacted.

Yes, this bill is good for farmers, but it is also good for Canadian consumers who want to support the agricultural industry in Canada, especially that in Elgin—Middlesex—London, which is so important to me.

We have talked about inflation. In the last few weeks, inflation has been really key. We have talked about how much the price of wood and lumber have gone up. Housing is a big issue. In my riding of Elgin—Middlesex—London, there has been a 46% increase since last April in the cost of a two-storey home. Inflation is an issue, and the government is adding more costs to our goods.

If we talk about poverty reduction strategies, we need to see what we are doing that is creating more barriers. I look at not giving this exemption as just another barrier to reducing the high cost of our goods right now. Farmers know that, when they are paying all this money, it affects their bottom line.

I am so fortunate to work with Scott at the Grain Farmers of Ontario in my area. He is the zone manager there. I thank Scott, who always works with me. The Grain Farmers of Ontario is the province's largest commodity organization, representing over 28,000 barley, corn, oats, soybean and wheat farmers, and it has been very supportive of Bill C-206, an act to amend the Greenhouse Gas Pollution Pricing Act regarding qualifying farming fuel.

The Grain Farmers of Ontario is supporting this bill because of its exemption of the carbon tax for on-farm fuel and calls on all MPs to consider the tax on grain drying and its impact on the agriculture system in Canada. It is quite simple. The government should not be making money off a tax that negatively impacts a farmer's ability to market viable grain. The carbon tax does not make that happen.

Brendan Byrne was the chair of the Grain Farmers of Ontario on February 22, 2021. There are a lot of AGMs going on, so that may not be his position now.

As we have always indicated, farmers have been doing great work in our communities. They are the stewards of our land. I think of some of the great projects that have been done in the back of farmers' fields with wetlands conservation. Those settlements are being taken back.

I love farmers, so I am very supportive of Bill C-206, and I thank the member for Northumberland—Peterborough South for bringing this bill forward.

Greenhouse Gas Pollution Pricing ActPrivate Members' Business

June 21st, 2021 / 11:40 a.m.

Conservative

Garnett Genuis Conservative Sherwood Park—Fort Saskatchewan, AB

Madam Speaker, it is great to be back in the House. It is great to have a vast audience across the way to hear what I am about to say, although the member for Kingston and the Islands may not entirely agree with it.

I appreciate the opportunity to speak to this excellent private member's bill, Bill C-206, from my colleague for Northumberland—Peterborough South, and in particular to talk about the significant failures in environmental policy on the part of government and how it is imposing costs on Canadians without a real plan to help us achieve our environmental objectives vis-à-vis climate change.

I will start briefly by congratulating the member for Northumberland—Peterborough South on his excellent work on this bill and so many other issues. He serves as the shadow minister for revenue in our caucus. When I hear “shadow minister of revenue”, I think it sounds exciting, but he really has grabbed this position by the horns. It has been a pleasure to work with him on a number of revenue issues, including trying to bring about reforms to the direction and control system.

This member has been a great champion of the charitable sector, trying to push the government to reform various aspects of the regulatory and legislative environment around revenue, especially direction and control, to really empower our charitable organizations and help them move forward. I want to congratulate the member for all his work, particularly in this bill, on behalf of farmers in his riding and elsewhere.

Bill C-206 seeks to change the definition of a qualifying farm fuel to include certain fuels not currently included, and that is a step forward in terms of allowing any fuel a farmer would use to be qualified as a qualifying farm fuel, and therefore not having the carbon tax applied to it. Right now, while natural gas and propane are not identified as qualifying farm fuels, gas and diesel are. Not only does this impose additional costs on farmers, but it also gives farmers an incentive to move away from using natural gas and propane and toward using relatively more gas and diesel.

In all likelihood, this is sort of perverse incentive that encourages greater greenhouse gas emissions, so this member is rationalizing the system through this bill in a way that would reduce costs for farmers and help our environment by removing this artificial incentive to use fuels that pollute to a greater extent.

One would think this is a no-brainer on that basis. If this is going to reduce costs for farmers, but is also going to help our environment by providing more of an incentive for farmers to use cleaner fuels, why would it not just be automatic that everyone in this House supports it? The Liberals are stubbornly clinging to their position that the way they did it was fine.

The big problem with these Liberals on so many aspects of their environmental policy is they do not understand the way in which perverse incentives can lead to worse outcomes for the environment, and they are not willing to look critically at the impact of those incentives on behaviour.

One of the issues we have talked about a lot in the Conservative caucus in terms of the failures of the Liberals' environmental policy is this issue of border adjustments. The Liberal approach is to impose carbon taxes on Canadian producers, Canadian farmers and Canadian consumers, but not to apply those same requirements on people outside of Canada who are producing products and then selling those products in the Canadian market.

The effect of this is that it is artificially creating an advantage for foreign producers, the people manufacturing goods and growing crops outside the country who are trying to then sell those products in Canada. One is creating an advantage for those outside Canada who are selling their products to Canada over Canadian producers. This obviously does not make any sense, in terms not only of protecting our own economic interests, but also of responding to the environmental challenges we face.

When one makes it more expensive, and in the case of this particular bill, it relates to farming, and when one imposes more costs on Canadian farmers and therefore tilts the field against our farmers and in favour of people involved in agriculture production outside of the country, that is not helping the environment. It is simply hurting our own economy at no environmental benefit.

We understand, in this caucus, that the challenges we face in terms of climate change are global challenges. Canada has to do its part, but it also has to put in place policies that recognize that emissions can happen outside of the country, and when they happen they impact us. We need to have a structure that integrates an appreciation for the global impact of climate change.

That is why the Conservative environmental plan, for the first time from any party, proposes a strong policy around border adjustment tariffs. There has to be an equivalency between the burden imposed on Canadian producers and the import adjustments that are taking place. We should not be creating a tilted playing field in which we are actually creating an advantage for those producing greenhouse gas emissions outside of the country.

We have raised this issue of perverse incentives: incentives in the policy that actually encourage the wrong kind of behaviour. In the case of border adjustments, we are talking about an incentive that the government has created, in its approach to environmental policy, to move production outside of the country.

If someone is making products for the Canadian market right now in Canada, that person is paying carbon tax. If someone is producing those products outside of Canada in a jurisdiction that does not have a carbon tax and then selling them into Canada, they are in an economically advantageous position, at least vis-à-vis the carbon tax.

This should be fixed so that we have a fair environmental policy that encourages improvements to environmental performance, but does not encourage the wrong kinds of adaptation, such as moving work outside of the country. As other colleagues have talked about as well, in the case of this bill we are talking about another case of perverse incentive. In imposing the carbon tax on certain kinds of fuel and not others, as the system is currently structured, there is an incentive for farmers to use fuels that may be more expensive and that may produce more in the way of emissions.

I think we can do better. The member for Northumberland—Peterborough South has quite rightly seen the opportunity to do better and has thus put forward a bill that seeks to adjust the incentive environment. That is why I am very supportive of this bill. I would encourage all members to be supportive of it and to push the government to recognize something. It has been a talking point of the Liberals for a long time. They say the environment and the economy go hand in hand, yet they impose restrictions and taxes that hurt our economy and provide no benefit to the environment.

It does not make any sense that they would impose obligations on Canadian producers and not have the corresponding adjustments happening at the border. It does not make any sense from an environmental standpoint. If they really believed that there was a unity of objective that could be pursued between the environment and the economy, they would be supportive of the plan that we have put forward, which includes these kinds of border adjustment measures.

In general, in our environmental plan as announced by our leader, the money that is gathered through the deductions paid when people purchase products that emit carbon is put back into their pockets to also pay for adaptation. Our plan is not just about taking money away from people who are producing: It is about giving those resources back to them to invest in adaptations that improve their environmental performance. Our plan is very different from what we see from the Liberal government. The government is trying to use the environment often as a way to raise extra revenue. Our approach is to target measures that are going to improve the environment, while also supporting our industry.

On this side of the House, we recognize the important role of our farmers. We recognize the value of having agricultural production in Canada. We want to strengthen farming communities. We recognize that from a basic security, food security and well-being perspective, it is important to have strong agricultural production happening here in Canada.

We have championed this position, as a party, from the very beginning. We understand that it is not enough to just say it. Within every party we hear members saying flowery words about the agricultural sector, but the Conservative Party has always been there to stand with our farmers, and Bill C-206 is another example of that.

Greenhouse Gas Pollution Pricing ActPrivate Members' Business

June 21st, 2021 / 11:50 a.m.

Conservative

Dan Albas Conservative Central Okanagan—Similkameen—Nicola, BC

Madam Speaker, it is certainly an honour to rise on behalf of the good people of Central Okanagan—Similkameen—Nicola to speak to my colleagues about Bill C-206, brought by the MP for Northumberland—Peterborough South, who has done an excellent job of finding an issue that resonates not just within his riding but right across the country. I will make a few short points about this, because I believe that Private Members' Business provides the opportunity for members, such as the member for Northumberland—Peterborough South, to bring up issues they are hearing locally to see if they are salient. The adoption of this bill through second reading to committee and now to third reading shows there is a consensus in this country. The Liberals were the only party to vote against it. Every other party recognizes that Canada's future is, in great part, due to agriculture. Many may argue that Canada's past was formulated on that, and I would say that is true, but so is the fact we can do more.

In fact, in the majority government the current ambassador to China, Dominic Barton, put forward the Barton report and said that Canada could do so much more by working with agriculture. It could expand exports and feed people not just across our country but around the globe. It seemed for a while that the report might go somewhere. Most farmers thought it was great to have a government that was focused on that. Unfortunately, the government was not. Rather, it was focused simply on ideology and not on helping to connect the dots to make it work for farmers.

As the MP who sponsored the legislation said, the Grain Farmers of Ontario stated, “there are no readily available grain drying technology replacement alternatives that are cost effective. Drying grain is essential for marketing grain.” This points out that when the input costs are too high, grain farmers will lose traction to other areas that have better prices. Unfortunately, it is a commodity market and we cannot just say, “Buy Canadian because Canada is great.” People in other countries also need to feed their families. If the rate for our grain is too high because of input costs, these people will simply go to another cost provider.

The member of Parliament for Sherwood Park—Fort Saskatchewan previously mentioned the concept of carbon leakage, which is where adding extra regulations or taxation beyond that of another jurisdiction eventually makes it difficult for a place with a carbon tax, such as Canada's, to compete. I should know this. A B.C. Liberal government was the first to introduce a carbon tax in British Columbia. It found out quite quickly that the farming community would not be able to be competitive. Therefore, along with cement, it ended up having to subsidize many of those activities.

I am grateful the MP for Northumberland—Peterborough South has brought forward something that will help with that competitiveness. The bill has received broad agreement, with the exception of the Liberal government and its backbenchers. I am sure there was a whipped vote on this, so I know many Liberal members probably felt very sympathetic and wanted to vote alongside the Conservatives, the Bloc and the NDP to support our farmers, but unfortunately it seems many on that side do not question the government's position as much. In fact, some seem to want to carry it on all day long, but enough about the member for Kingston and the Islands.

I just have a few more things to say. The Conservatives believe we should be working with agriculture. The government has put out a clean fuel standard that is so complicated that farmers do not know what opportunities are there. They are worried about getting lost in the paperwork. It is the same government that is making it more difficult for farm operations to use small amounts of propane. The government is basically encouraging them, through red tape, to move to diesel. We know it is not as clean, as easy to store or as manageable. The current government seems to always be at odds with what farmers need and want.

I will say this. Members like the member for Northumberland—Peterborough South and our Conservative caucus will be standing up for our farmers. We will put forward solutions, and we will have a meaningful impact on our greenhouse gas emissions while growing the economy, especially for our farmers.

Greenhouse Gas Pollution Pricing ActPrivate Members' Business

June 21st, 2021 / 11:55 a.m.

Conservative

Philip Lawrence Conservative Northumberland—Peterborough South, ON

Madam Speaker, it is absolutely my pleasure to rise on my private member's bill, Bill C-206. To me, it is a fantastic wrap-up for the year, if we go to an election.

A couple of weeks into being an MP, I was in Ottawa and my staffer came to me and said, “You won the lottery”. I did not think I had bought a ticket. What did that mean? I had gotten number 16 on the private member's bills, which then put in place a large canvass of issues: ones that affect people across Canada and in my wonderful riding of Northumberland—Peterborough South. One issue that kept coming up was the impact of the Greenhouse Gas Pollution Pricing Act on the agricultural sector.

I am a very proud advocate for and supporter of the agriculture sector and rural Canada in general. I had been told that dirtier fuels like diesel and gasoline were exempt from the Greenhouse Gas Pollution Pricing Act but propane and natural gas were not, and of the impact this was having on our local farmers. When I had the opportunity, I was compelled. This was something I had to bring forward for the residents of Northumberland—Peterborough South and for our farmers across the country.

I have enjoyed this process. It has been an iterative process and it has been collaborative. In fact, this whole hour has been an island of its own in a sea of partisanship. This has been full of non-partisanship. We had the member for Glengarry—Prescott—Russell stand up for my private member's bill and for a commitment he made to a couple of constituents. That is the very epitome of what it is to be from rural Canada and rural Ontario. When we give our word in rural Ontario and in rural Canada, we stand by it. That is exactly what this member did, and I salute him.

One of the issues he brought to attention in his discussion was that things may change, and that very well may be. That is why the member for Cowichan—Malahat—Langford made a wise amendment to my private member's bill, which was to timeline it and have it go for only 10 years. If technology evolves and, in a decade, we can get to a point where there are biofuels or some other way, we are all for it, but as of now there is no other solution. Climate change is 100% real, and we are all in the House to fight climate change.

In the absence of exemption, we are pushing our farmers out of competitiveness because they are dependent on worldwide markets and on trade boards for pricing. When a cost is increased, such as with the carbon tax, it is put directly on the tables of our farmers. Farmers work so hard. Especially through this pandemic, they have not stopped for a moment, and because of that they have kept our food supply the best in the world. We produce the best grain, the best poultry and the best beef right here in Canada, and we need to make sure that our farmers stay competitive because when we increase input costs, those come directly from the farmers.

These costs not only affect our farmers, but entire rural communities because farmers are largely the ones who drive our economies. They are the ones who go to tractor dealerships and buy tractors. They are the ones who go to local restaurants, and there may be only a couple of restaurants in their towns. They are also the ones who support our local grocery stores, so we need to support and protect our farmers.

As I said, we are at the end of the session. I would like to take a moment to thank all the wonderful members of my constituency of Northumberland—Peterborough South and thank the farmers for this wonderful piece of legislation that I have been able to work with. Particularly, I would like to thank Brandon from the Grain Farmers. I would like to thank my staffer Hailey, who was fantastic and critical to doing this. Most important, I would like to thank all the members of the agriculture community who worked so hard to get this on board. We will have a vote on Wednesday and we will get this across. Hopefully, we will be back in session so we can get this bill passed and help our farmers.

I thank everyone out there so much. It has been a great pleasure to hear all the interventions. Some of my best friends, across the aisle and otherwise, have spoken. The member for Hamilton Centre is even wearing a blue suit for us, if I am allowed to acknowledge that he is in the chamber. I really appreciate that. I thank everyone for their learned interventions and their contributions. It is a great day for farmers.

Greenhouse Gas Pollution Pricing ActPrivate Members' Business

June 21st, 2021 / noon

The Assistant Deputy Speaker (Mrs. Alexandra Mendès) Alexandra Mendes

It being two minutes past noon, the time provided for debate has expired.

Accordingly, the question is on the motion.

If a member of a recognized party present in the House wishes to request a recorded division or that the motion be adopted on division, I would invite them to rise and indicate it to the Chair.

Greenhouse Gas Pollution Pricing ActPrivate Members' Business

June 21st, 2021 / noon

Conservative

Bernard Généreux Conservative Montmagny—L'Islet—Kamouraska—Rivière-du-Loup, QC

Madam Speaker, I am pleased to request a recorded division.

Greenhouse Gas Pollution Pricing ActPrivate Members' Business

June 21st, 2021 / noon

The Assistant Deputy Speaker (Mrs. Alexandra Mendès) Alexandra Mendes

Pursuant to order made on Monday, January 25, the recorded division on the motion stands deferred until Wednesday, June 23, at the expiry of the time provided for Oral Questions.

The House resumed from June 21 consideration of the motion that Bill C-206, An Act to amend the Greenhouse Gas Pollution Pricing Act (qualifying farming fuel), be read the third time and passed.

Greenhouse Gas Pollution Pricing ActPrivate Members' Business

June 23rd, 2021 / 4:25 p.m.

The Speaker Anthony Rota

Pursuant to order made on January 25, the House will now proceed to the taking of the deferred recorded division on the motion at third reading stage of Bill C-206, under Private Members' Business.

(The House divided on the motion, which was agreed to on the following division:)

Vote #184

Greenhouse Gas Pollution Pricing ActPrivate Members' Business

June 23rd, 2021 / 4:40 p.m.

The Speaker Anthony Rota

I declare the motion carried.

(Bill read the third time and passed)

Greenhouse Gas Pollution Pricing ActPrivate Members' Business

June 23rd, 2021 / 4:40 p.m.

Liberal

Mélanie Joly Liberal Ahuntsic-Cartierville, QC

Mr. Speaker, I was having technical problems, not with the vote we just had, but with the previous vote on the motion moved by the member for Sherwood Park—Fort Saskatchewan. I would like to change my vote and vote in favour of the motion.

Greenhouse Gas Pollution Pricing ActPrivate Members' Business

June 23rd, 2021 / 4:40 p.m.

The Speaker Anthony Rota

All those opposed to the hon. minister's moving the motion will please say nay.

I hear no dissent. The House has heard the terms of the motion. All those opposed to the motion will please say nay.

There being no dissenting voice, the vote has been changed accordingly.