House of Commons Hansard #83 of the 44th Parliament, 1st Session. (The original version is on Parliament's site.) The word of the day was inflation.

Topics

Opposition Motion—Measures for Immediate Financial ReliefBusiness of SupplyGovernment Orders

12:50 p.m.

Conservative

Larry Maguire Conservative Brandon—Souris, MB

Madam Speaker, I just indicated to my colleague from Winnipeg North that these oil companies already pay $20 billion in tax to Canada, and that goes a long way to help us have the health, education and social programs that we have in this country.

I want to say how ironic I find it that both the NDP and the Bloc today are saying they are against lowering the GST and carbon tax. Why are we asking to do that? It is put dollars in people's pockets. They say they do not want to do it that way; they think that we should instead raise the OAS and CPP to put money in people's pockets. It is a difference in view on how to help people in this country. I get where they are coming from, but this is a very quick way of doing it. It could be done with a stroke of a pen. We are in the middle of a crisis right now, at a time when this measure would be most helpful.

Opposition Motion—Measures for Immediate Financial ReliefBusiness of SupplyGovernment Orders

12:50 p.m.

NDP

Lori Idlout NDP Nunavut, NU

Uqaqtittiji, The North West Company is a multinational Canadian grocery and retail store, which, according to its reports in October, said its profits were 57.6% higher than at prepandemic levels. Does the member agree that taxing the windfall pandemic profits of big corporations is a better way to help Canadians?

Opposition Motion—Measures for Immediate Financial ReliefBusiness of SupplyGovernment Orders

12:50 p.m.

Conservative

Larry Maguire Conservative Brandon—Souris, MB

Madam Speaker, I had the opportunity of being in my colleague's home city in Nunavut in a previous provincial life due to my responsibilities there.

I do agree that companies should not be taking advantage of a situation that we had with COVID. There is no doubt about that, but as I said earlier, while a lot of these corporations are making money, they are paying huge amounts of tax back into our Canadian coffers and we need to make sure that we are looking at the whole tax system and not just one specific region.

Opposition Motion—Measures for Immediate Financial ReliefBusiness of SupplyGovernment Orders

12:50 p.m.

Liberal

Julie Dzerowicz Liberal Davenport, ON

Madam Speaker, I will be sharing my time with the member for Winnipeg North.

On behalf of the residents of my riding of Davenport, it is absolute honour for me to speak on today's opposition day motion regarding inflation and taxation.

Our federal government understands that Canadians are being hit hard by rising prices and, more importantly, we are taking effective action to meaningfully support Canadians so that they can deal with this challenge.

Inflation is a global phenomenon that is being driven by unprecedented supply chain disruptions resulting from the COVID-19 pandemic, not to mention the severe commodity disruptions arising from Russia's brutal and illegal invasion of Ukraine. It is a complex and multi-faceted problem, and with today's motion for debate, the hon. opposition is offering what appears to be simple solutions.

Unfortunately, the proposed solutions are not simple. Rising prices are the product of market forces, and these market forces are powerful. Taxes on gasoline and diesel, for example, represent only a very small portion of the total price that Canadians pay at the pump. Cutting them, as the opposition is proposing, would be ineffective in protecting consumers from these powerful global market forces.

Even if our federal government were to cut gas prices in Canada by 5% today by removing the GST on gasoline and diesel, the benefits to consumers would be completely wiped out by market forces within a matter of days. The federal government would then be in an uneasy position of having spent tens or hundreds of millions of dollars trying to unsuccessfully fight powerful market forces over which it has completely no control.

Instead of proposing unrealistic and ineffective solutions, our federal government is focused on implementing realistic measures to help families make ends meet, and we have been doing so since we were first elected in late 2015. Our government has already cut taxes for the middle class while raising them on the wealthiest 1%. We have also increased support for families and low-income workers through programs such as the Canada child benefit and the Canada workers benefit.

Thanks to the Canada child benefit, nine out of 10 Canadian families have more money to help with the cost of caring for their children than they did with previous benefits, and our expanded Canada workers benefit, which provides support to low-income workers and also encourages many to enter the workforce, will support an estimated one million additional Canadians, which could mean $1,000 more per year for a full-time minimum-wage worker.

Our financial support for Canadians does not stop there. In budget 2021, our federal government laid out an ambitious plan to provide Canadian parents with, on average, $10-a-day regulated child care spaces for children under six years old. In less than a year, we have reached agreements with all provinces and territories. This means that by the end of this year in 2022, families across Canada will have seen their child care fees reduced by an average of 50%. That is huge. That is an average of $6,000 in savings per child for families in provinces like Ontario, where my riding of Davenport is located.

These are not savings that will appear in five or 10 years; these are savings that are going to occur by the end of this year. Over the past weekend, I had the chance to meet many parents across the riding, and they were very excited about the national child care plan and very much appreciated the additional dollars that are going into their pockets to help cover their living costs. By 2025-26, our national child care plan will mean an average child care fee of $10 a day for all regulated child care spaces across Canada, meaning thousands of dollars in savings for families across Canada.

To support vulnerable Canadians at the other end of the demographic spectrum, we have increased the guaranteed income supplement top-up benefit for low-income single seniors. We have enhanced the GIS earnings exemption and we are increasing old age security for Canadians aged 75 and older in July of this year. This 10% increase will provide more than $766 in additional benefits to full pensioners over the first year. About 3.3 million Canadian seniors will benefit, and no action will be required on their part. They will automatically receive the payment if they are eligible. This is the first permanent increase to the old age security pension since 1973, other than adjustments due to inflation.

Seniors in my riding of Davenport are really happy to hear this. They have been struggling with their fixed incomes and struggling with rising costs, and they are so happy to hear of this significant increase, which will have an impact on affordability in their lives.

Seniors and Canadians who receive federal government support or benefits will also be happy to note that most of our federal government programs are indexed to inflation in order to protect Canadians from its impact. The government indexes the Canada child benefit to inflation, as well as the Canada pension plan, old age security, the guaranteed income supplement, the goods and services tax credit and other benefits for the most vulnerable Canadians.

To further offset the impact of inflation and make life more affordable for Canadians, we have increased the basic personal amount that Canadians can earn before paying federal income tax. To ensure the support is targeted at the middle class, the benefits of the increased basic personal amount are phased out for high-income taxpayers. When this measure is fully implemented next year, single individuals will pay $300 less in tax each year and families will pay $600 less each year. There are a number of measures that our federal government is enacting and implementing in order to support families and support Canadians in dealing with the affordability crisis that is currently under way in Canada.

Our federal government is also returning the direct proceeds from the federal carbon pollution pricing system to their province or territory of origin, with most of these proceeds going to families in those jurisdictions. In fact, in jurisdictions that do not have their own pricing system consistent with the federal benchmark criteria, those being Ontario, Manitoba, Saskatchewan and Alberta, approximately 90% of direct proceeds from the fuel charge are being returned to residents in those provinces through the climate action incentive payments. In 2022-23, these increased payments mean that a family of four will receive $745 in Ontario, $832 in Manitoba and $1,079 in Alberta. In addition, families in rural and small communities are eligible to receive an extra 10%.

The reality is that as a result of these climate action incentive payments, most households are getting back more than what they are paying in increased costs as a result of the federal carbon pollution pricing system. What is more, the remaining fuel charge proceeds are being used to support small businesses, farmers, indigenous groups and other organizations. Going forward, the federal carbon price will continue to be revenue-neutral for the Government of Canada.

At the same time, we are ensuring that taxes are appropriate and fair. Our federal government knows that those who can afford to buy expensive cars, planes and boats can also afford to pay a bit more. Canadians agree. Our government campaigned on this promise in 2019 and 2021, and we were elected to enact this measure. To that end, we are following through on this commitment to introduce a tax on the sale of new luxury cars and aircraft with a retail price of over $100,000 and on new boats priced over $250,000. The revenues raised by this tax can be used to offset costs for Canadians and invest in a strong economic recovery that supports their highest priorities.

Another example of our government's commitment to tax fairness is our proposed tax on non-resident, non-Canadian-owned residential real estate that is considered to be vacant or under-used. This tax would become effective as of January 1, 2022. While this tax would not be paid by individual Canadian homeowners, it would definitely benefit Canadians. That is because the recent and rapid rise in housing prices has made finding an affordable place to call home increasingly difficult, and the under-used housing tax would help support investments in housing affordability so that all Canadians could have a safe and affordable place to call home.

Our recent budget introduced what may be the most ambitious plan to build new housing that Canada has ever seen, putting Canada on the path to double the number of new homes we build over the next 10 years.

In conclusion, the federal government has been seized, and will continue to be seized, with how we can make life more affordable for Canadians and provide offsets to the impact of inflation.

On behalf of the residents of Davenport, I want to express my thanks for the opportunity to speak today on this important opposition motion.

Opposition Motion—Measures for Immediate Financial ReliefBusiness of SupplyGovernment Orders

1 p.m.

Conservative

Warren Steinley Conservative Regina—Lewvan, SK

Madam Speaker, I am so happy the member for Davenport got to her feet today to take part in this debate.

The member said it was a fact that eight out of 10 households are getting money back from the carbon tax. I would like to quote the PBO, who said in a report from March 24, 2022:

Most households in provinces under the backstop will see a net loss resulting from federal carbon pricing.

That is a direct quote from the PBO from the March 24, 2022, report. Are Canadians and the constituents of Regina—Lewvan supposed to trust what the PBO says or the misinformation this member is peddling?

Opposition Motion—Measures for Immediate Financial ReliefBusiness of SupplyGovernment Orders

1:05 p.m.

Liberal

Julie Dzerowicz Liberal Davenport, ON

Madam Speaker, I would say to the hon. member that I am very big on making sure that I stick to the facts, and I do not like to be accused of anything to do with misinformation or disinformation because that is never my intention.

The climate action incentive is going to be increased in 2022-23. I do not have the exact number for Regina, but I know that in Manitoba a family of four will receive $832.

I would also say to the member that, if Manitoba or any of the provinces that receive the climate action incentive now want to put their own decarbonization plan in place, they can choose to do so, and then the price on pollution would not apply to those respective provinces.

Opposition Motion—Measures for Immediate Financial ReliefBusiness of SupplyGovernment Orders

1:05 p.m.

Bloc

Mario Simard Bloc Jonquière, QC

Madam Speaker, I agree with my colleague. Carbon pricing is certainly a worthwhile way to fight climate change. However, given what we have learned today and what I read in Le Journal de Montréal on the huge profits that oil companies like Suncor will be making—to the tune of almost triple the profits—I think the Conservatives' proposal is shameful. I also think it is shameful that the government is still agreeing to provide funding for carbon capture strategies and has allocated $2.6 billion in the budget for that.

It is going to be you, me and all Quebec and Canadian taxpayers who will be paying for oil companies to produce net-zero oil, which many people feel is completely outrageous.

Does the member agree with me that we need to put an end to oil and gas subsidies as quickly as possible?

Opposition Motion—Measures for Immediate Financial ReliefBusiness of SupplyGovernment Orders

1:05 p.m.

Liberal

Julie Dzerowicz Liberal Davenport, ON

Madam Speaker, I would say a couple of things.

First, I am hoping the oil and gas companies are going to use some of those profits to start decarbonizing and help Canada move to a low-carbon economy. We need the private sector to be stepping up. The private sector has not been stepping up in recent years, and we really need it to do so.

Second, with respect to the federal investment in carbon capture technologies, I would say that our federal government needs to be investing in as many technologies as possible in order to decarbonize, reduce our overall carbon emissions and meet our overall target of net zero by 2050. We all play a role. We have to look at all of the technologies and employ as many of them as possible.

Opposition Motion—Measures for Immediate Financial ReliefBusiness of SupplyGovernment Orders

1:05 p.m.

NDP

Lindsay Mathyssen NDP London—Fanshawe, ON

Madam Speaker, I certainly agree with the essence of what the Conservatives are trying to bring forward in this motion with respect to addressing inflation and Canadians suffering. I know we are all feeling that. Our constituents are feeling that, and we know we need to address it. However, the way they are going about it is not the way the New Democrats would.

As the hon. member mentioned in her speech, it does not appear she agrees with it either, but I know that she is a huge proponent of long-lasting solutions, such as a guaranteed basic livable income and how that would address the poverty issues people are facing. I would like for her to maybe expand on not only how she believes a guaranteed basic livable income could help Canadians in all of our ridings, but also if she would be supporting it and if her government would be bringing that forward as we go forward in this session.

Opposition Motion—Measures for Immediate Financial ReliefBusiness of SupplyGovernment Orders

1:05 p.m.

Liberal

Julie Dzerowicz Liberal Davenport, ON

Madam Speaker, I do indeed support a guaranteed basic income or a guaranteed livable income. The world of work has changed. We have a social welfare system that was set up in the 1940s that does not easily meet the current needs of Canadians in the 21st century. I think a guaranteed basic income is something we need to look at very seriously as a new foundation to our social welfare system.

I thank the member for the opportunity to allow me to speak to that today.

Opposition Motion—Measures for Immediate Financial ReliefBusiness of SupplyGovernment Orders

1:05 p.m.

Winnipeg North Manitoba

Liberal

Kevin Lamoureux LiberalParliamentary Secretary to the Leader of the Government in the House of Commons

Madam Speaker, it is a pleasure to rise and speak to this particular motion, even though I will be voting against it.

Often, the Conservatives are pretty good at using their imagination, which, at times, can be confusing and possibly even misleading in a number of the things they try to put on the record.

If we listen to the Conservative Party of Canada, we would think that it is just Canada that is experiencing inflation. What they fail to recognize is that there are things happening around the world that have had an impact on the cost of living for all of us, whether it is coming out of a pandemic or what is taking place in Europe with Russian aggression and the illegal invasion of Ukraine. All of this plays a significant role, which is why I think that, at least in part, for fairness, when we talk about the inflation rate in Canada, we also need to take into consideration what is happening around the world.

The inflation rate is higher in the United States than in Canada. In many European countries, the inflation rate is higher than it is in Canada. Relatively speaking, with the G7 or the U.S. and many of those European countries, we will find that Canada's inflation rate is actually lower. Does that mean that our communities are not impacted? Of course they are impacted.

I do not like to see inflation any more than any other person, let alone for my constituents. They want the government to do what it can with the tools and levers we have in government to try to minimize the harm of inflation, and we have seen that in many ways. The Conservatives will talk about supporting Canadians during these times, but members opposite know that things such as our guaranteed income supplement for seniors, the old age supplement for seniors and the Canada child benefit program are indexed according to inflation.

When the Conservatives say, “Well, give some tax breaks here and give some tax break there”, we see there is a Conservative mindset on tax breaks, and that is what they like to say to Canadians. However, we know that the Conservatives have been afforded the opportunity to support tax breaks. Members will recall the first budget that we brought in and the legislation that provided a tax break to middle-class Canadians. The Conservatives actually voted against it.

The Conservatives have come up with a motion today, and this is their policy, their alternative to the budget. However, I would suggest that there are significant flaws in what they are suggesting.

They say, “Let us reduce the tax on gas.” Yes, let us continue with all the government expenditures to support Canadians, as I just finished citing, but let us reduce the price of gas by lowering it from the consumption tax or from the price on pollution. However, there is absolutely zero guarantee that this price decrease would actually be passed on to consumers. The Conservatives cannot guarantee that price saving.

Earlier today, I asked a question of my Conservative friends. When Alberta was experiencing a significant decline in economic activities, we were being criticized by the Conservatives because the price of oil was too low. They were saying that gas prices were too low, and it was damaging the Alberta economy. We were being criticized for that. Now we are being criticized because the price of gas is too high.

Opposition Motion—Measures for Immediate Financial ReliefBusiness of SupplyGovernment Orders

1:05 p.m.

Some hon. members

Oh, oh!

Opposition Motion—Measures for Immediate Financial ReliefBusiness of SupplyGovernment Orders

1:10 p.m.

NDP

The Assistant Deputy Speaker NDP Carol Hughes

I want to remind members that it is not time for questions and comments yet, but the official opposition will have the first question. I would ask individuals to be mindful of this point until the hon. member has finished his speech.

Opposition Motion—Measures for Immediate Financial ReliefBusiness of SupplyGovernment Orders

1:10 p.m.

Liberal

Kevin Lamoureux Liberal Winnipeg North, MB

Madam Speaker, the world price on oil and gas is not set by the Conservative Party of Canada. I would suggest there is no way the Conservative Party can guarantee any sort of savings by cutting a consumption tax or a price on pollution. There is no guarantee of that.

The motion talks about the housing market. At the end of the day, and we have had discussions about the housing market in Canada, the national government does have a leadership role to play. There is absolutely no doubt of that. We have done that, whether it be in the fall economic statement, which the Conservatives voted against, or within this budget, which the Conservatives are voting against.

Things like the annual tax on homes that are not being used as residences or the freeze being put into place through the budget on foreign ownership related issues are all having an impact. Most importantly, for the first time in a generation, we have a government that has been very proactive on the housing file. We have invested far greater amounts of money into housing and providing supports to the non-profit sector, to provincial and territorial governments and to indigenous communities. We are talking about hundreds of millions, going into billions, of dollars that has been incorporated into the national housing strategy, which is something that did not exist prior.

We have the intergenerational housing credit within this particular budget to encourage families to build onto homes or have something built on their property. This is an excellent program. We have encouraged community members to look at ways in which they can make their homes more energy efficient. For the first time in many, many years, we have a government that has been spending a great deal of resources and efforts at improving Canada's housing stock.

It takes more than a national government to deal with this problem, whether it is municipalities in the areas of zoning and making accessible properties or individuals who want to purchase property. If someone is a normal resident, it is very difficult to buy an individual building lot, especially in urban centres.

We can take a look at the amount of administration provinces are ultimately responsible for when it comes to housing. The federal government provides hundreds of millions of dollars on an annual basis to support low-income housing, not to mention the rapid housing program and other housing projects the Minister of Housing has put into place.

The Conservatives will criticize the housing file, but when they were in office, they absolutely failed in comparison to some of the initiatives we have put into place. We can take a look at the speech that was given by the leader of the Conservative Party. Unlike the Conservatives, the Government of Canada and the Prime Minister will continue to focus our attention on the real issues that are facing Canadians every day of the week. It is why we are concerned about housing, inflation and many other issues, such as the pandemic. We will continue to do what we can to assist Canadians from coast to coast to coast.

Opposition Motion—Measures for Immediate Financial ReliefBusiness of SupplyGovernment Orders

1:20 p.m.

Conservative

Pat Kelly Conservative Calgary Rocky Ridge, AB

Madam Speaker, I listened to the member's speech and heard him say something we heard earlier today. I would like him to very clear about it. Is he telling the House that the reason the Liberals cannot eliminate, even temporarily, the GST on fuel and the carbon tax, or even just on fuel, is they believe retailers would collude to prevent the tax savings from going to consumers? Yes or no, is that the reason you cannot do this?

Opposition Motion—Measures for Immediate Financial ReliefBusiness of SupplyGovernment Orders

1:20 p.m.

NDP

The Assistant Deputy Speaker NDP Carol Hughes

I just want to remind the hon. member that he is to address questions and comments through the Chair.

The hon. parliamentary secretary.

Opposition Motion—Measures for Immediate Financial ReliefBusiness of SupplyGovernment Orders

1:20 p.m.

Liberal

Kevin Lamoureux Liberal Winnipeg North, MB

Madam Speaker, I think we need to recognize, when we talk about consumption taxes, that there is absolutely no guarantee, and the Conservatives cannot guarantee, that any sort of savings could be passed on in that direction.

I would suggest to the member that there are other things the government does. For example, a GST rebate and a price-on-pollution credit are given out so that individuals in the most need are receiving benefits. Those are the types things that I believe a government could be more focused on, as opposed to the simple solutions the Conservatives like to put on paper while they say to get rid of this or get rid of that. It is a populist attitude, and is much like when the leader of the Conservative Party says he will fire, banish or punish the Bank of Canada governor, or makes irresponsible statements of that nature. We are not going to do that on this side of the House.

Opposition Motion—Measures for Immediate Financial ReliefBusiness of SupplyGovernment Orders

1:20 p.m.

Conservative

Frank Caputo Conservative Kamloops—Thompson—Cariboo, BC

Madam Speaker, I rise on a point of order. I do not know if the member did it deliberately or not, but referring to the leader of the Conservative Party as somebody who is a leadership contestant is offside. He should refrain from doing that.

Opposition Motion—Measures for Immediate Financial ReliefBusiness of SupplyGovernment Orders

1:20 p.m.

NDP

The Assistant Deputy Speaker NDP Carol Hughes

That is debate.

The hon. member for Berthier—Maskinongé.

Opposition Motion—Measures for Immediate Financial ReliefBusiness of SupplyGovernment Orders

1:20 p.m.

Bloc

Yves Perron Bloc Berthier—Maskinongé, QC

Madam Speaker, as my colleague opposite so often says, “at the end of the day”, knowing that no other parties are going to support this omnibus Conservative motion, not much is going to change. “At the end of the day”, nothing will change.

However, I would like to know if my colleague opposite is prepared to do something that, “at the end of the day”, would make a big difference, for example, helping seniors. They need to stop cuts to the guaranteed income supplement immediately and agree to increase old age pensions, as we have been calling for for so long. That has fallen on deaf ears.

I have no desire to hear, once again, that they have always been there for seniors and that they have handed out a one-time payment of $500. A $500 payment is a joke, given today's inflation.

Increases to old age pensions: Yea or nay?

Opposition Motion—Measures for Immediate Financial ReliefBusiness of SupplyGovernment Orders

1:20 p.m.

Liberal

Kevin Lamoureux Liberal Winnipeg North, MB

Madam Speaker, first of all, to my friend across the way, I should not make the presumption that the member for Carleton will ultimately prevail. I know it does scare a lot of his colleagues, but a vast majority seem to want to support him.

With regard to seniors, virtually from day one, this government has been supportive of seniors. The member might not necessarily like to hear that, but we can talk about substantial increases to the GIS at the very beginning of the pandemic, when there were $300 and $200 direct payments, depending on whether someone was collecting GIS. At the very least, that went to every senior who was 65 and above. We have seen 10% increases for seniors who are 75 and over. We have seen hundreds of millions of dollars invested into many non-profit organizations throughout Canada that provide support services for seniors. We have also invested a huge amount of money into long-term care and issues of mental health, and have reduced the cost of pharmaceuticals, all to the benefit of seniors.

Opposition Motion—Measures for Immediate Financial ReliefBusiness of SupplyGovernment Orders

1:20 p.m.

NDP

Niki Ashton NDP Churchill—Keewatinook Aski, MB

Madam Speaker, as we have all expressed here, we are opposed to this Conservative take on supporting Canadians who are struggling.

Are the the Liberals prepared to ensure tax fairness and make sure the rich are paying their fair share of taxes so we can reinvest that money into supporting Canadians, who are struggling so much right now?

Opposition Motion—Measures for Immediate Financial ReliefBusiness of SupplyGovernment Orders

1:20 p.m.

Liberal

Kevin Lamoureux Liberal Winnipeg North, MB

Madam Speaker, yes, absolutely. From the very beginning, we saw the issue of income inequality. It is one of the reasons we put a tax on Canada's wealthiest 1% at the beginning of the mandate. If we take a look at this particular budget, we will see a luxury tax of just over $100,000 and $250,000 on boats. This is a government that genuinely believes that for us to move forward, we need to continue to support our middle class and those who need the support of government to get into the middle class.

Opposition Motion—Measures for Immediate Financial ReliefBusiness of SupplyGovernment Orders

1:25 p.m.

Conservative

John Barlow Conservative Foothills, AB

Madam Speaker, I will be splitting my time with the member for Simcoe North.

We are talking about an affordability crisis in the House today. I am very confident that I am not the only member of the House who is getting dozens and dozens of calls and emails every single day from constituents who are very concerned about their ability to put food on the table, put fuel in their cars, heat their homes and put their kids in the activities they enjoy the most. What we are talking about here in our opposition day motion is reducing taxes to make life more affordable for Canadians by eliminating the GST on fuel and the carbon tax.

What I am hearing is somewhat unbelievable. The argument from the Liberals and the NDP is that somehow eliminating a point-of-sale tax does not put more money in the pockets of Canadians. I am not sure how one can even argue that. In fact, their argument against this is that retailers are going to collude to ensure that savings are not passed on to Canadians. I can say from experience that in Alberta, where the provincial government has removed the provincial sales tax on fuel, fuel is about 20¢ cheaper than anywhere else in Canada. Albertans are benefiting from a government that has seen the difficulties Canadians are facing, has taken action to address them and has passed savings directly to Canadians.

What I am hearing from my constituents, after two years of the pandemic, is that they are exhausted; they are tired. They want to get life back to normal. While they are seeing the light at the end of the tunnel, that the pandemic is all but over and that businesses are opening back up, they see the affordability crisis, where fuel prices are exorbitant, grocery prices are going up and housing prices are going up. A lot of this has to fall at the feet of the Liberal government.

I know the Liberals like to say this is a global issue and that the war in Ukraine with Putin is causing prices to increase. However, I have been in the House pretty much every day and I do not ever recall Vladimir Putin sitting across the way and voting in favour of a carbon tax. I do not recall Vladimir Putin putting forward legislation or a bill to increase the carbon tax on April 1. Maybe I missed that. I am not sure if my colleagues around the House can confirm that Vladimir Putin is the reason the carbon tax went up 25% on April 1, despite an affordability crisis around the world and a war in Ukraine. I am not sure how we put this all at the feet of Vladimir Putin.

Instead of the government offering relief to Canadians when they need it most, the Prime Minister is travelling around the world with no mask in sight, and here at home he is punishing Canadians over and over again with his draconian mandates and travel restrictions, which are not in place anywhere else around the world. That really seems to be the modus operandi of the Liberal government. It is going to punish Canadians at home and do something completely different around the world.

A good example of that is the fertilizer tariff. My colleague across the way does not seem to think that this is a problem and thinks this is a way of punishing Russia. I would invite my Liberal colleagues talk to any farmer, especially in eastern Canada, and ask them if the fertilizer tariff is hurting Vladimir Putin. The only people this fertilizer tariff of 35% is punishing are Canadian farmers. Vladimir Putin, once again, is not paying this tariff; Canadian farmers are paying this tariff. Even before the war in Ukraine, fertilizer prices in many parts of the country were more than double what they were the year before, as a result, in many cases, of the carbon tax. Do members know what makes fertilizer? It is natural gas. Carbon taxes put on natural gas cause prices to increase.

Canadian farmers are being punished and we have offered solutions. We have asked the Liberal government to provide an exemption on fertilizers purchased before March 2, before Russia invaded Ukraine. The Liberals said no. We then asked them if they would offer compensation to farmers who have had to pay an exorbitant price for that tariff. Again, the Liberals said no.

Let me put this in perspective. Canada is the only G7 country putting a tariff on Russian fertilizer, meaning that Canadian farmers are now at a severe competitive disadvantage to our compatriots around the world. They are paying an exorbitantly high carbon tax and they are paying a tariff on fertilizer.

At the same time, we are in the midst of a global food crisis. Food insecurity is probably the number one priority on earth and we are the only country on earth that is increasing taxes and putting a tariff on fertilizer. How does that make us competitive? How does that give us the ability to carry the burden of helping in a global food crisis, which our farmers absolutely want to do? They want to be there to help, but the Liberal government is doing everything possible to ensure that we cannot do that and do not meet our potential.

Despite the Conservatives offering these solutions, the Liberals carry on with this activist agenda, let us say, or the theatrics they are putting on that this is somehow punishing Putin when it is only punishing Canadian farmers. However, it is not just Canadians farmers who are going to feel the impact of this. If Canadian farmers have to reduce their use of fertilizer simply because they cannot afford it, yields are going to go down and the prices of commodities are going to go up. We have already seen the price of groceries go up. In many cases they are up 15%, depending on the product. This is only going to get worse. We are not only talking about countries that have been relying on Ukrainian commodities such as barley, wheat and sunflower oil; this is going to be felt here at home.

My NDP colleagues have been talking about food insecurity here at home in Canada. A lot of that is the result of Liberal policies. The Liberals are the ones increasing the cost of those groceries by increasing the carbon tax, putting a tariff on fertilizer and having additional red tape, making it very difficult for our farmers to do the job they do best and better than anyone else in the world. We are the only country with a government, in a food security crisis, that is asking Canadian consumers to pay more. It is the only government asking farmers to pay more. How does this make any sense whatsoever?

I want to get to another part of our opposition day motion. I talked about fertilizer, but I also want to talk about the carbon tax.

The carbon tax is something for which the Conservatives have offered a solution. My colleague from Huron—Bruce offered a private member's bill that would eliminate the carbon tax on farm fuels, Bill C-234. The Parliamentary Budget Officer, in assessing the carbon tax, has said a few things that I think are very enlightening: The carbon tax is not revenue-neutral, the carbon tax increases inflation and the carbon tax does not reduce emissions. This is everything the Liberals are saying the carbon tax will accomplish, and the study by the Parliamentary Budget Officer has refuted all of those claims. Why are we charging this carbon tax on our Canadian farmers? We put forward a solution in Bill C-234 to eliminate the carbon tax from farm fuels.

The Canadian Federation of Independent Business has done the math. In the first year of the carbon tax, Canadian farmers paid on average about $14,000 a year. With the increase on April 1, that goes to $45,000 per average farmer. The Liberals are going to say there is a carbon tax rebate and eight out of 10 families make more off the carbon tax. Again, the Parliamentary Budget Officer, an arm's-length officer of the House, has said that is not the case. In Bill C-8, with the carbon tax rebate, farmers get $1.70 for every $1,000 of eligible expenses. They are getting pennies on the dollar for what they are contributing to the carbon tax. Farmers are price-takers. They cannot afford to carry the burden of the carbon tax when we are asking them to improve yields and their efficiency. It does not make sense.

At a time when we are talking about global food security, we also need to talk about affordability. Our farmers, producers and manufacturers need to be able to do what they do and do it efficiently. I have talked about the carbon tax and the fertilizer price, but there is another issue where the Liberals continue to throw on red tape and obstacles, which is going to be coming out in the next little while. It is front-of-package labelling. That is a direct attack on beef and pork producers in Canada. The United States has already identified this as a trade irritant that will impact our beef exports and increase grocery costs here at home, making things even more unaffordable for Canadians.

In conclusion, our motion is very prudent. It would ensure that we address the affordability crisis facing Canadians, and, most importantly, help our farmers, producers and ranchers, who are doing all they can to address a global food security crisis, ensure that groceries are affordable for all Canadians.

Opposition Motion—Measures for Immediate Financial ReliefBusiness of SupplyGovernment Orders

1:35 p.m.

Glengarry—Prescott—Russell Ontario

Liberal

Francis Drouin LiberalParliamentary Secretary to the Minister of Agriculture and Agri-Food

Madam Speaker, I have noticed that the motion calls for eliminating tariffs on fertilizer. Some Canadian companies have reorganized their supply chains, have said they agree with Canada and do not want to buy Russian fertilizer or Belarusian fertilizer, and have gone somewhere else and paid a higher price.

Does the member not believe that they too should get a break from high fertilizer costs?