Mr. Speaker, I would like to thank the member for Yorkton—Melville for her question, both in question period previously and again today.
I want to correct the record. I know the member has indicated on a number of occasions during her remarks that there is some kind of exemption for big business. That is patently false when we look at the facts. What we have established is an output-based pricing system that specifically applies a price on pollution for large emitters.
With respect to the constituents she referenced, like many Canadians, Jason and Susan run a successful business, and they want to know, quite fairly, how putting a price on pollution is going to affect their business.
On the issue of big emitters, the Province of Saskatchewan, I would note, is actually implementing an output-based pricing system for some of its large industry. The federal output-based pricing system will apply to the electricity and natural gas sectors to fill in the gaps.
Large industrial facilities typically emit significant amounts of greenhouse gas pollution and often face competition in jurisdictions that do not yet have a price on pollution. This system will have a price for industry that will help maintain competitiveness relative to international peers.
Under this kind of system, companies will have to pay for emissions over a sector performance standard. If they perform better than the standard, they will get a credit, and if they perform worse than the standard, they will have to pay based on the exact same price signal that applies across the entire economy. The result is that companies will have a continuous incentive to cut pollution and support clean innovation while minimizing the costs they pay.
This approach is recognized as an international best practice. Quebec and Alberta have variations of this kind of a system in effect today. B.C. is developing a similar one, and Saskatchewan and Newfoundland and Labrador are putting similar systems into effect. California and the EU have included these kinds of policies in their systems as well.
The federal government, and this is the good news for families, is going to return the majority of all direct proceeds collected in Saskatchewan directly to households, including those of Jason and Susan. A typical family of four in Saskatchewan, when they file their taxes, is actually going to receive a climate action incentive of $609. It is curious that the members of the opposition would like to take this money from their constituents.
The government will also use proceeds from the federal fuel charge to support small businesses like Boombata Homes. The government recognizes that small businesses are critically important to the Canadian economy. Providing direct support will help them take climate action and lower their energy costs while keeping them competitive. In Saskatchewan, the government estimates that about $300 million in proceeds will be available over the next five years for small businesses in that province.
Through Canada's climate action and clean growth plan, the government is providing additional financial support to help companies invest in actions that will increase their energy efficiency and reduce their exposure to carbon pricing. For example, since 2016, the Government of Canada has allocated over $336 million for investments in public transit projects in Saskatchewan, such as bus fleet renewals in Saskatoon and Moose Jaw.
Putting a price on pollution is simply a common-sense way to reduce our emissions, invest in a cleaner tomorrow for our kids and grandkids and help Canada compete in the emerging global low carbon economy.
I note in particular that everyone who has equity in this conversation, including the director of policy for former prime minister Stephen Harper, Doug Ford's chief budget adviser, The Economist magazine, the Canadian Chamber of Commerce and virtually everyone who has taken a look at climate economics, says this is exactly the kind of thing we should be doing.
We are moving forward with a plan that is going to reduce emissions and make life more affordable for Canadians.