Debates of April 14th, 2026

Opposition Motion—Fuel Taxes

[Mario Beaulieu, Bloc, La Pointe-de-l'Île, QC]

Mr. Speaker, I would like to expand a bit on what my colleague said. The industrial carbon tax has no impact on prices at the pump. Ultimately, this is a gift in disguise to the oil companies, a gift disguised as support for the public, but it will not have any effect. It will just help the oil companies, which are already making billions of dollars in profits.

[Jacob Mantle, Conservative, York—Durham, ON]

Mr. Speaker, I guess we simply have a disagreement on this. I think it is common sense that if we tax businesses in the production of their goods or services, they will pass that cost on to the consumer who buys their goods or services. If a farmer has to pay an additional cost to buy fertilizer or to buy a piece of equipment, that will find its way into the products we buy at the grocery store. The industrial carbon tax raises the cost of food and fuel, and that cost is paid by consumers. It is as simple as that.

[Michael Guglielmin, Conservative, Vaughan—Woodbridge, ON]

Mr. Speaker, my colleague laid out some very common-sense principles. Inputs increase pricing, and if we control the inputs, we can give people relief. More importantly, he spent a part of his speech talking about principle and why in the House we must adhere to our principles. I was wondering if the member could take this opportunity to elaborate on that.

[Jacob Mantle, Conservative, York—Durham, ON]

Mr. Speaker, my colleague from Vaughan—Woodbridge was in the manufacturing industry himself, and he knows a thing or two about keeping a budget and keeping costs. He also knows a thing or two about principle. I have come to know him, and he is a man of principle, unlike some of the others who were formerly in our caucus.

On this side of the House, our principle is about providing relief to Canadians. That is what this opposition motion is about, and we estimate that the suite of measures would reduce the price of fuel taxes by about 25%, which would save families $1,200 a year. That is a principle that I hope all members of the House will support.

[The Assistant Deputy Speaker, John Nater]

Before I go to questions and comments, I am going to caution the member to be judicious in the comments he makes. We do not want to impugn the motives of any member of the House.

We have time for a quick question from the member for Courtenay—Alberni.

[Gord Johns, NDP, Courtenay—Alberni, BC]

Mr. Speaker, Statistics Canada highlighted yesterday that inequality is skyrocketing even more, with the bottom 40% only holding 3% of the wealth and the top 20% holding two-thirds of the wealth. This is at a time when the big banks have posted $70 billion in profits. For the top big five oil companies, it is almost $25 billion. The top five grocery stores have gone from $2.4 billion in profits to $6.3 billion.

At what point, or at what level, would there be a threshold between the Conservatives and Liberals where they will charge an excess profit tax on the big corporations or a wealth tax on individuals so they are moving forward with tackling inequality in this country? This measure alone would not do that. It would actually push the deficits, and the investments in infrastructure and health that would help those people, down the road.

[Jacob Mantle, Conservative, York—Durham, ON]

Mr. Speaker, I thank my colleague for his concern for those who can least afford government taxes. He will know, and I know he will agree, that things such as the industrial carbon tax and the clean fuel regulation are sometimes the most pernicious of taxes because they put the burden on people who can least afford to pay more. Those are the lower-income people who have no choice but to pay more to go to work to buy groceries, so they are harmed the most by some of these taxes. This is in part why our proposal says to give them some relief. Let us give the Canadians who need it the most some relief.

[Anthony Housefather, Liberal, Parliamentary Secretary to the Minister of Emergency Management and Community Resilience]

Mr. Speaker, I am very pleased to participate in this important debate. I will be sharing my time with the member for Cumberland—Colchester.

Our government knows how difficult it is for some Canadians to cover their day-to-day costs. Making life more affordable has always been a core priority of this government. More pressingly, we know that a significant pressure on household budgets is the cost of fuel. Recent events in the Middle East, including the partial blockade of the Strait of Hormuz, have led to a global spike in oil prices, and Canadian families are feeling the impacts. That is why I am pleased to be able to say that today the Prime Minister announced further action to help Canadians manage these challenges.

As the Prime Minister made clear, Canada's new government will use the improvement in the fiscal outlook associated with higher oil prices to provide targeted relief to households and businesses. Specifically, we are reducing pressure on fuel prices at the pump by suspending the application of the federal fuel excise tax on gasoline and diesel, effective next week until Labour Day, September 7, 2026, delivering over $2.3 billion in relief to Canadians at a time when they need it the most. This temporary suspension of excise taxes for gasoline and diesel is expected to save Canadians up to an estimated $5.75 on regular gasoline and up to $2.30 on diesel when filling up a typical 50-litre tank of fuel.

This is a serious moment in our nation's history, and it deserves serious leadership and consideration. The announcement made earlier today by the Prime Minister reflects that. The Conservative motion today, on the other hand, is, unfortunately, anything but serious. Canadians expect and deserve more than “back of the napkin” math. Let us look at some of the issues with the Conservative motion.

Oil prices, as we know, are highly volatile and highly unpredictable. We know that recent events have led to a global spike in prices, but we also know that it is difficult to forecast what will happen six, eight or 12 months down the road. Conservatives are arguing that the current price per barrel will generate an additional $9 billion to $10 billion in government revenues. This assumption is based on the price per barrel staying the same between now and the new year. The Conservative plan is based on forecasts that are optimistic at best.

Moreover, the Conservatives are allowing their ambivalence toward environmental action to overshadow a reasonable approach to the environment and the economy. They know that the clean fuel regulations do not add to the price Canadians pay at the pump. They know that an industrial carbon price makes us more competitive in a lower-emissions global economy. They are intentionally conflating these issues instead of focusing on what matters to Canadians.

This measure builds on one of the very first actions we took as a government, which also lowered costs at the pump. One of the first things we did was to eliminate the federal consumer fuel charge, effective April 1, 2025. Our government removed the consumer carbon price on gasoline, diesel and home-heating fuels while ensuring that Canadians received the final rebate during the transition. At the same time, we preserved carbon pricing for large industrial emitters, focusing emissions reductions where they are the most effective, while easing cost pressures on households and maintaining a strong, competitive economy.

I can assure members that we have been working tirelessly to address cost of living challenges experienced by too many households across this country, and we are absolutely delivering for Canadians. We have presented ambitious plans to reposition Canada for a far better future, but of course, this will take some time.

We know that Canadians need immediate relief, and we are delivering. Let me take a moment to highlight some of our recent actions to address housing affordability in Canada.

Put simply, we need to build more homes. We recently introduced Bill C-26, which will help unlock new housing across Canada. Bill C-26 will deliver a federal investment of $1.7 billion to provinces and territories so they can implement measures to boost the housing supply. These funds can help reduce development fees or levies on new home construction. They can also make incremental investments in existing provincial and territorial programs that are dedicated to building more homes.

We are also enabling more homebuilding across the country with investments in infrastructure that Canadians rely on every day. Earlier this month, the Prime Minister officially launched the build communities strong fund, a $51-billion investment to help build essential infrastructure projects, including hospitals, universities, roads and bridges, and water and transit systems.

Investment in housing-enabling infrastructure under this program will help accelerate the right housing-related infrastructure needed to support housing growth. To access funds for infrastructure related to housing and post-secondary education, provinces will also need to show a commitment to reducing development charges where those charges pose a significant barrier to new construction. Provinces and territories will also need to commit to not levying other taxes that hinder housing supply to encourage housing development.

We have also eliminated the goods and services tax for first-time buyers on homes valued up to $1 million, and we reduced the GST for first-time homebuyers on new homes between $1 million and $1.5 million. We will build faster and smarter thanks to the launch of Build Canada Homes, a new federal agency that will drive investment and public-private co-operation.

In addition to housing, we are working to provide Canadians with relief from the financial squeeze of everyday expenses. We all know that one of the areas that stresses Canadians the most is the cost of groceries. Food costs have gone up far too quickly in this country. Our government's new Canada groceries and essentials benefit will help more than 12 million low- and modest-income Canadians afford day-to-day necessities.

We have also cut taxes for the middle class. Since July 1, 2025, Canadians have been paying less tax after the government announced lowering of the first marginal personal income tax rate from 15% to 14%. This change will ensure that nearly 22 million Canadians benefit from tax relief of up to $420 per person, saving two-income families up to $840 a year.

A more affordable Canada also means a more competitive Canada. As members can see, we are delivering. At a time when many Canadians are feeling the pressure of rising costs, our government remains focused on what matters the most: supporting people and easing financial strains wherever we can. We can take practical, responsible and pragmatic actions to help families afford the essentials, strengthen household financial security and ensure that economic growth works for everyone. Every decision we take should be guided by a simple principle: to stand with Canadians, protect their well-being and help build a more stable and resilient future for communities across the country.

With the results of the by-elections last night, we have a choice. We can all work together across party lines to continue to make things better for Canadians, or we can hear diatribes directed against former colleagues, personal attacks against other members of Parliament, and not work together.

As Canadians and as elected officials from all political parties, we have the opportunity to continue working together in committee and in the House. I truly hope that, as parliamentarians who represent our communities and who are concerned about affordability, we will be able to take a practical look at what we can do together.

I thank the House very much for giving me the time, and I look forward to the questions from my colleagues.

[Ned Kuruc, Conservative, Hamilton East—Stoney Creek, ON]

Mr. Speaker, I find it concerning that the member called our motion “unserious” when clearly it is serious enough that the Prime Minister just had a press conference on it. What I find unserious is that he took his time and, instead of talking about gas taxes and how to save Canadians money at the pumps, he just talked about housing most of the time.

Does he believe that Canadians should get relief at the pumps, yes or no?

[Anthony Housefather, Liberal, Mount Royal, QC]

Mr. Speaker, given that the first four minutes of my speech dealt with fuel prices, I would say of course, which is why we are removing the excise tax. The excise tax has been in place since the 1990s, and we are taking the proactive step based on the current worldwide oil prices to cut that. The excise tax is 10¢ per litre for regular people buying standard gasoline. This will no longer be the case from next week until Labour Day. Of course we are sensitive to the issue. What I was talking about was all of the different things in the Conservative motion that were not things that should be done.

[Mario Beaulieu, Bloc, La Pointe-de-l'Île, QC]

Mr. Speaker, I would like to hear my colleague's thoughts on the fact that the Conservative measures do not take Quebec's system into account. Quebec has its own carbon tax system, namely the carbon market. That means that Quebec ended up funding measures for the other provinces. What does my colleague think about respecting Quebec's jurisdictions and providing compensation when Quebec's jurisdictions are infringed upon?

One example of that is the vote-buying cheques that were sent to all of the provinces except British Columbia and Quebec to provide a carbon tax refund after the tax had already been abolished. Should British Columbia and Quebec not be compensated for that?

[Anthony Housefather, Liberal, Mount Royal, QC]

Mr. Speaker, I will start by answering the question that was asked at the beginning of my colleague's speech. Yes, I believe that some proposals in the Conservative motion are unrealistic.

These proposals do not consider the environment and its importance. They also do not take into account the fact that the costs they are trying to eliminate have nothing to do with the price at the pump, as my hon. colleague said earlier.

[Buckley Belanger, Liberal, Secretary of State (Rural Development)]

Mr. Speaker, I would like to commend my colleague for his very thoughtful and insightful presentation on the motion before us.

The global economy has been grappling with higher gas prices resulting from ongoing conflicts in the Middle East and the partial closure of the Strait of Hormuz. Could you elaborate on how it impacts gas prices in Canada?

[The Assistant Deputy Speaker, John Nater]

Again, I remind members to address their comments through the Chair.

The hon. parliamentary secretary has the floor.

[Anthony Housefather, Liberal, Mount Royal, QC]

Mr. Speaker, as my friend knows, global gas prices are driven by global supply and demand. When some of the leading producers in the world are unable to ship oil to markets, the price goes up. When we have instability, the price goes up. When the President of the United States makes certain announcements, the price goes up. Global oil prices are completely unstable, which has led to an increase as a result of the conflict and the inability to deliver oil to market from certain of the most important producing regions in the world. As such, prices in Canada and around the world have gone up.

What we need to do is give temporary relief, as we have done. Today, the Prime Minister announced that the excise tax is being cut until Labour Day.

[Cathay Wagantall, Conservative, Yorkton—Melville, SK]

Mr. Speaker, basically, right now oil prices are very high, and that means the government is bringing in tons and tons of money. In light of that, young people are seeing this and asking why the government will not do the full recommendation from the Conservative Party, because it can certainly afford to do that and not make it even more difficult for young people who are facing these challenges as constituents of Canada.

[Anthony Housefather, Liberal, Mount Royal, QC]

Mr. Speaker, one of the things the Conservatives are assuming in their motion is that the cost of oil will remain the same for the rest of the year, but the price of oil fluctuates constantly. The $9 billion to $10 billion that the Conservatives claim is going to be collected by the government depends on oil prices not falling over the next nine months.

[Alana Hirtle, Liberal, Cumberland—Colchester, NS]

Mr. Speaker, I welcome the opportunity to contribute to today's debate, particularly as we navigate a period of geopolitical volatility and significant change. Disruptions to global energy infrastructure caused by ongoing military conflicts in the Middle East are driving higher fuel costs, creating economic uncertainty for families in Canada and across the world.

While governments cannot control global events, I can assure my hon. colleagues that Canada is doing what it takes to support Canadians facing the financial effects of this and other crises, not only because we know it is the right thing to do, but because we want more Canadians to be able to support their families and contribute to our country's long-term national prosperity.

As I just mentioned, higher fuel prices driven by global conflicts are adding stress to household budgets in Canada and across the globe. That is why today we are taking further action to help Canadians manage these challenges, as was just announced by the Prime Minister.

Canada's new government will use the improvement in the fiscal outlook associated with higher oil prices to provide targeted relief to households and businesses. Specifically, we are reducing pressure on fuel prices at the pump by suspending the application of the federal fuel excise tax on gasoline and diesel, effective next Monday, April 20, 2026, until September 7, 2026, delivering over $2.2 billion in relief.

This temporary suspension of excise taxes for gasoline and diesel is expected to save Canadians up to an estimated $5.75 on regular gasoline and up to $2.30 on diesel when filling up a typical 50-litre tank of fuel. Now folks will have no reason not to come visit my beautiful home province of Nova Scotia this summer.

Today's announcement is just the latest measure our government has announced to help Canadians manage affordability concerns and build a stronger future for everyone.

Since taking office, our government has taken considerable, concrete and targeted steps to put more money in Canadians' pockets. My hon. colleagues will recall that one of the first things the Prime Minister did last year was to cancel the consumer fuel charge, directly allowing Canadians to save money from the price they were paying at the pump. Our government also removed the requirement for provinces and territories to have a consumer-facing carbon price as of April 1, 2025, at that time.

Our middle-class tax cut, which lowered the first marginal personal income tax rate from 15% to 14% since July 1, 2025, will save two-income families up to $840 in 2026. Going forward, it is expected to deliver over $27 billion in tax savings to Canadians over the next five years. What is more, the bulk of tax relief will go to those with incomes in the two lowest tax brackets, that is, those with taxable income under $117,045 in 2026, including nearly half to those in the first bracket, $58,523 and below in 2026. This means the relief is effectively targeted at those Canadians who need help most.

By eliminating the GST for first-time homebuyers on new homes at or under $1 million and reducing it for first-time homebuyers on new homes between $1 million and $1.5 million, our government is also saving first-time homebuyers up to $50,000, making the goal of home ownership a reality for more Canadians, especially young Canadians.

Moreover, we tabled budget 2025, “Canada Strong”, which includes numerous affordability supports for people across the country. For example, we made the national school food program permanent, a program that helps 400,000 more children each year receive healthy meals every day, while saving families with two children $800 per year on groceries. By making it permanent, we will work with provinces, territories and indigenous partners to expand the program into more schools across Canada.

The budget also proposes to start automatically delivering federal benefits to low-income Canadians. That includes the GST credit and the Canada child benefit. We will continue protecting child care, dental care and pharmacare to maintain these essential services so many Canadians depend on.

Moreover, to support Canadians with the cost of groceries and everyday essentials, which have stretched many Canadians' wallets thin, the government has also announced the new Canada groceries and essentials benefit, which will provide significant support for more than 12 million Canadians. When it becomes available this spring, the CGEB will replace the existing GST credit, but it will also be more generous.

First, we are providing a one-time top-up payment to be paid as early as possible this spring, equal to a 50% increase in the annual 2025-26 value of the GST credit. Second, we will increase the benefit by 25% for five years, starting in July 2026. Combined, this means that a family of four will receive up to $1,890 this year and about $1,400 a year for the next four years, and a single person will receive up to $950 this year and about $700 a year for the next four years.

That is not all. Let us listen to this. We also recently took action to put a cap on NSF, non-sufficient funds, fees to make banking fairer and more affordable for Canadians. As of March 2026, consumers cannot be charged more than $10 in NSF fees when they do not have enough money in their personal deposit account to cover a payment. Also, consumers will not be charged an NSF fee more than once in a period of two business days for the same personal deposit account, and consumers will not be charged NSF fees on a personal deposit account when the amount of their overdraft in the account is less than $10.

To support Canadians amid ongoing global energy market disruptions, we are delivering timely, meaningful and tangible relief through a comprehensive set of actions that will put more money in Canadians' pockets. Canadians need relief. That is clear as day. This government is absolutely delivering for them, as well as for generations of Canadians to come. I am thankful for the opportunity to make my case.

[Philip Lawrence, Conservative, Northumberland—Clarke, ON]

Mr. Speaker, with respect to the so-called benefits, how could the hon. member possibly square this with our current economic situation? Our unemployment rate is nearly double that of the United States. We just went through one of the worst quarters, at -0.6%. We are one quarter away from a recession, and inflation is on the rise.

If the Liberals are so great, why are Canadians suffering so much?

[Alana Hirtle, Liberal, Cumberland—Colchester, NS]

Mr. Speaker, our government is keenly aware of the situation that everyday Canadians find themselves in, and that is why, whether it is through the Canada groceries and essentials benefit, the elimination of carbon pricing for consumers, increased support for first-time homebuyers or measures to increase housing supply through Build Canada Homes, our government continues to work for Canadians to improve affordability.

[Mark Gerretsen, Liberal, Kingston and the Islands, ON]

Mr. Speaker, at the end of the day, it is my opinion that when this government seeks to bring in new initiatives, there are always initiatives that are geared toward those who need them the most, and in particular those who need those supports in times of crisis like this.

I am wondering if the member can elaborate on what she thinks this government is doing to fulfill that.

[Alana Hirtle, Liberal, Cumberland—Colchester, NS]

Mr. Speaker, our government is keenly aware of and engaged in what Canadians are dealing with these days. I, myself, have not been immune to being in a poor financial situation and having to rob Peter to pay Paul, as they say.

I am keenly aware that our government is working to benefit all of our constituents and all of Canada by taking concrete steps to support Canadians through these challenges as we position them for long-term success by building the strongest economy in the G7.

[Mario Beaulieu, Bloc, La Pointe-de-l'Île, QC]

Mr. Speaker, I want to know what my colleague thinks about the fact that there are a number of Conservative measures that would penalize Quebec because they would lower taxes even though Quebec has its own system, which includes the carbon market.

Does my colleague not think that, every time such measures are taken, some thought should be given to finding a way to compensate Quebec and respect its areas of jurisdiction?

[Alana Hirtle, Liberal, Cumberland—Colchester, NS]

Mr. Speaker, I thank my colleague for his question. I am taking French lessons right now, but I will answer the question in English.

I would encourage the Conservatives to join us in our work to grow our energy exports, protect Canadian workers and improve our competitiveness on the global market.

[Larry Brock, Conservative, Brantford—Brant South—Six Nations, ON]

Mr. Speaker, this is another illusion that the Prime Minister cares about affordability. For four months, just over four months, he is going to drop taxes by 10¢ on gas and four cents per litre on diesel.

Will the member support a common-sense solution that delivers real, tangible results to Canadians and support our motion to provide an extra 25¢ of relief for the rest of 2026? Will she do that?