Madam Speaker, I am pleased to rise today to speak to Bill C-38, the Canadian fuel affordability act.
Across Canada, families, workers, farmers and businesses continue to face pressures from rising costs. Whether it is filling up a vehicle, transporting goods or managing the operating costs of a small business, affordability remains an important concern for Canadians.
During the summer, I attended hundreds of events and met thousands of my constituents. One thing I learned from them is that the Prime Minister and the government are doing their best, and they are very happy with the leadership of the Prime Minister. Most importantly, our government understands the challenges these Canadians are facing. That is why we are taking steps to help Canadians manage their expenses while continuing to build a stronger and more independent Canadian economy.
Bill C-38 is about providing immediate relief at the gas pump. Earlier this year, in April, we temporarily suspended the federal fuel excise tax on gas, diesel and aviation fuels. This measure provided savings of 10¢ per litre on gas and four cents per litre on diesel and aviation fuel.
Bill C-38 would extend this relief. This legislation would maintain the federal fuel excise tax at zero until January 31, 2027. From February 1 to March 31, 2027, the tax would be set to 50% of the regular rate, which would help Canadians manage the transition back to the regular excise tax rates. For gasoline, the extension is expected to provide savings of up to 10¢ per litre until February 2027, followed by a savings of five cents per litre through March 2027. For diesel, the savings are expected to be up to four cents per litre until February and up to two cents per litre through March.
These savings matter. When families are already managing the cost of groceries, housing, utilities and transportation, every dollar can make a difference. For a family that depends on a vehicle to get to work, take children to school or attend a doctor's appointment, fuel is not an optional expense. It is a necessary part of everyday life.
In Surrey, Newton, I hear from families and small business owners who are working hard to manage their expenses. Our community includes commuters, delivery workers, tradespeople and entrepreneurs who depend on transportation to earn a living. Reducing fuel costs can help these Canadians manage their daily expenses.
The benefits would also extend beyond the gas station. Truckers and businesses in the food, agriculture, housing, construction and delivery sectors depend on fuel to operate. Lower fuel costs can help reduce operating expenses and support the movement of goods across Canada. When a truck transports food to the grocery store, a construction company moves equipment to a workplace or a small business delivers products to its customers, fuel costs play an important part. This measure would provide temporary support to businesses facing economic uncertainty.
Canada is operating in a changing global environment. International conflicts and disruptions in global energy markets have placed pressures on fuel prices. At the same time, Canadian businesses and families are dealing with uncertainty related to international trade and tariffs. We cannot control every global event that affects the price of oil or gasoline. However, we can make decisions within our control to support Canadians.
Our government is also taking broader action to make life more affordable. We are lowering the personal income tax from 15% to 14%, providing tax relief of up to $420 per year per person or up to $840 for a two-income family. We have also cancelled the federal consumer carbon tax, provided GST relief for eligible first-time homebuyers and taken steps to strengthen competition in essential services. These measures address different areas of household expenses.
Affordability is not only about the price Canadians pay today. It is also about building an economy that creates good-paying jobs, attracts investment and supports long-term economic security. As we provide temporary relief from fuel costs, we must also continue working toward a competitive and sustainable Canadian economy.
Our industrial carbon pricing system is distinct from the consumer carbon pricing. It is designed to support Canada's position as a responsible energy supplier, encourage investment in emission-reducing technologies and strengthen access to international markets. Canada has the opportunity to grow its energy exports, create jobs and attract investment while continuing to address environmental challenges. We must approach these objectives together.
I recognize that members of the House may have different views about the duration and design of fuel tax relief. There can be legitimate discussions about the fiscal costs, the duration of temporary measures and how best to support Canadians facing financial challenges and pressures. However, Bill C-38 provides a specific and time-limited measure to reduce the federal fuel excise tax. It offers continued relief until the end of January, followed by a temporary reduction in the regular rate through March 2027.
Families and businesses need support today, and they also need an economy that is prepared for the future. As the MP for Surrey Newton, I will continue to support measures that address affordability concerns in our community and across Canada. Our government is focused on helping Canadians keep more of their hard-earned money while strengthening our economy.
I encourage all members to support Bill C-38 so that Canadians get the relief they deserve.