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While pushing for global carbon tax, Trudeau admits it's a tough slog for any country

While pushing for global carbon tax, Trudeau admits it's a tough slog for any country

CBC
Wednesday, November 03, 2021 04:15:07 AM UTC

Our planet is changing. So is our journalism. This story is part of a CBC News initiative entitled Our Changing Planet to show and explain the effects of climate change and what is being done about it.

Prime Minister Justin Trudeau joined forces Tuesday morning with a group of foreign counterparts to advocate for a minimum carbon tax to be introduced around the world.

Such a policy would be aimed at reducing greenhouse gas emissions around the globe and help businesses and governments navigate carbon policy from one jurisdiction to another.

While Trudeau boasted about the successes of the carbon tax his government introduced in Canada, he also ruminated on how long and rough of a road it was to develop, build support for and defend politically.

"Sometimes at these international meetings, I have to remind people, Canada isn't some magical place where it's easy to do difficult, progressive things. It's hard to do them in Canada as it is all across the world," said Trudeau, during an event at the COP26 climate summit in Glasgow, Scotland.

"It's always been hard to do this in the way that we know citizens want more action on climate but are always worried they are going to be the ones paying for the brunt of it."

Developing the policy was complex, he said, in part because Canada is a major oil -and natural gas-producing country, its residents rely on heating and cooling because of extreme temperatures, and it is geographically large. It was introduced in 2019 at $20 a tonne and is set to rise to $170 a tonne by 2030 from the current $40.

"The challenge that we have is making something that is fair that brings Canadians along," Trudeau said. "And yes, it was challenged by our political opponents. We had to fight all the way to the Supreme Court of Canada, but we had the right ruling that allows us to keep it in place. We won that battle."

The carbon tax introduced by the Liberals raises the price of gasoline, natural gas and other fuels, but the costs are offset with rebate cheques provided with tax returns.

The policy has had its political critics, including several conservative premiers who have argued the tax hurts job growth and raises the cost of living. In the last federal election, the Conservative Party changed course by proposing its own form of a carbon tax.

The obstacles and opposition to introducing a carbon-tax system domestically underscores how difficult it will be to find enough support for a global carbon tax. 

Only about 20 per cent of global emissions are covered by carbon pricing, a figure Trudeau wants to see tripled by 2030.

The International Monetary Fund (IMF) has suggested an international carbon price should be flexible in providing a few different prices based on a country's emissions and development. The organization proposes the system be launched first by the largest emitters — China, India, the U.S. and the EU.

The global carbon tax would also be a price floor similar to how countries are progressing with a minimum rate for international corporate taxation.

Read full story on CBC
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