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Islanders brace for July fuel increases, though rebates also on way

Islanders brace for July fuel increases, though rebates also on way

CBC
Thursday, June 29, 2023 9:33 AM GMT

Prince Edward Islanders will be hit with some new carbon fees when they fill up their oil tanks or buy fuel for their vehicles and barbecues as of this Saturday.

Heating oil will go up 17 cents a litre on July 1, gas and diesel will rise by around 4 cents, and propane will increase 10 cents.

It's part of new federally mandated prices on carbon emissions that P.E.I. Premier Dennis King has said will spike home heating fuel prices to "an all-time high level." 

"Ludicrous" is how Islander Janet Vanderkay describes the increases, especially those to furnace oil.

"Honestly, I don't know how they're expecting us to survive," she said.

"I realize they're trying to do good," she said of the push to reduce the environmental footprint, but added: "People are going to be cold and that's all there is to it — or homeless." 

Myranda Newson also said it would have a negative affect on her household.

"It's good to help the environment — you know, switch people over to sustainable energy — but it doesn't help with the cost of living for people that can't afford it.

"It's going to make a difference."

At the same time, though, Islanders will also receive federal carbon rebate cheques starting next month. 

In a briefing with the media Wednesday, a federal spokesperson said a P.E.I. family of four would get three equal payments of $240 this fiscal year — and said it would amount to more than they are expected to be shelling out for more-expensive petroleum products.

The payments will be sent out in July, October and January, as long as individuals have filed their taxes for 2022. 

There are other increases coming related to new Clean Fuel Regulations that will require refineries to reduce the emissions they generate related to production, transportation and consumption. 

Refineries will have a year to comply and become more efficient, but some of those costs are also expected to be passed on to the consumer, likely around 10 cents more per litre by 2030. 

Read full story on CBC
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