Evidence of meeting #207 for Finance in the 42nd Parliament, 1st Session. (The original version is on Parliament’s site, as are the minutes.) The winning word was money.
A video is available from Parliament.
12:35 p.m.
Conservative
Pierre Poilievre Conservative Carleton, ON
Could you give some examples for the record of what kinds of payments might come out of this?
12:35 p.m.
Director General, Corporate Finance, Natural Resources and Environment, Economic Development and Corporate Finance, Department of Finance
That's not specifically defined here. What is defined here is that the Minister of Finance would have the ability to set terms and conditions for the nature of the payments.
I would point to the October announcement of the government's intent to provide payments to the target sectors of the economy that I listed a moment ago. The payments could be in relation to supporting those entities to increase the efficiency of their operations, for example, in order to further reduce greenhouse gas emissions.
12:35 p.m.
Conservative
Pierre Poilievre Conservative Carleton, ON
There is a ceiling but not a floor in this bill for this money. Do I have that right? You mentioned that there's a cap, but you didn't mention that there was a floor. A cap holds things down. A floor holds things up. Is there a minimum amount the minister must expend, or just a maximum?
12:35 p.m.
Director General, Corporate Finance, Natural Resources and Environment, Economic Development and Corporate Finance, Department of Finance
There's only a maximum. Again I draw your attention to subclause 129(4), which includes a somewhat complicated algebraic formula. In plain language, the maximum is set by the amount of the proceeds from the fuel charge. Subtracted from that are any rebates the government provides, related to those proceeds, through other means such as the climate action incentive to individual taxpayers.
12:35 p.m.
Conservative
Pierre Poilievre Conservative Carleton, ON
Is the rebate formula in law, or is it subject to discretion of the minister?
12:35 p.m.
Director General, Corporate Finance, Natural Resources and Environment, Economic Development and Corporate Finance, Department of Finance
Do you mean the formula that I just mentioned?
12:35 p.m.
Conservative
Pierre Poilievre Conservative Carleton, ON
No, I mean the formula by which the rebates are determined. I know the minister is authorized to provide rebates to people in backstop provinces, but does the law require it?
12:40 p.m.
Director General, Corporate Finance, Natural Resources and Environment, Economic Development and Corporate Finance, Department of Finance
If I understand your question, Mr. Poilievre, you're asking really about provisions of the Income Tax Act and of the Greenhouse Gas Pollution Pricing Act. I'm not familiar with those.
Perhaps my colleague, Ms. Meltzer—
12:40 p.m.
Liberal
12:40 p.m.
Director General, Corporate Finance, Natural Resources and Environment, Economic Development and Corporate Finance, Department of Finance
We could also undertake to provide exactly the reference in those two pieces of legislation.
May 2nd, 2019 / 12:40 p.m.
Judy Meltzer Director General, Environmental Protection Branch, Department of the Environment
I can confirm that under Greenhouse Gas Pollution Pricing Act, there is a requirement to return all direct proceeds from the application of the federal system to the jurisdiction of origin.
12:40 p.m.
Conservative
Pierre Poilievre Conservative Carleton, ON
Is the share of that return dedicated to rebates defined in statute?
12:40 p.m.
Director General, Environmental Protection Branch, Department of the Environment
To the best of my knowledge, it's not defined in the Greenhouse Gas Pollution Pricing Act. It talks about the proceeds, the direct proceeds from the application of the federal system, but as my colleague mentioned, we can certainly follow up to confirm.
12:40 p.m.
Conservative
Pierre Poilievre Conservative Carleton, ON
The question for which I'm asking you to return an answer is the following: Is the rebate to residents in backstop provinces defined in statute or subject to government discretion?
12:40 p.m.
Liberal
The Chair Liberal Wayne Easter
You can get back to us on that through the clerk as quickly as possible.
12:40 p.m.
Conservative
Pierre Poilievre Conservative Carleton, ON
Do you have a rough time frame to get back to me on that?
12:40 p.m.
Director General, Corporate Finance, Natural Resources and Environment, Economic Development and Corporate Finance, Department of Finance
That can be done very quickly.
12:40 p.m.
Director General, Corporate Finance, Natural Resources and Environment, Economic Development and Corporate Finance, Department of Finance
Today.
12:40 p.m.
Conservative
Pierre Poilievre Conservative Carleton, ON
Excellent. Thank you, Mr. Millar.
Thank you, Ms. Meltzer.
12:40 p.m.
Liberal
Francesco Sorbara Liberal Vaughan—Woodbridge, ON
Mr. Chair, I have a quick question. It's something I'd like to put on the record.
Are any of you aware of or have any of you read the PBO report that came out on the pricing of pollution?