Ag groups calling for passage of Bill C-234

Jun 14, 2023

Senators have only a few weeks before Parliament rises for the summer

By Diego Flammini
Staff Writer
Farms.com

Canadian farm groups are urging senators to pass an important piece of legislation before Parliament rises for the summer.

The Alberta Federation of Agriculture, Agricultural Producers Association of Saskatchewan and Keystone Agricultural Producers are urging senators to pass Bill C-234 before the end of the month.

This bill, introduced by Conservative MP Ben Lobb in the House of Commons, would provide carbon tax exemptions on propane and natural gas used for drying grain and heating barns.

Passing it now is of most importance, the groups say.

“We understand that Senators are looking forward to enjoying the summer season. Prairie farmers want to enjoy theirs by knowing this Bill is passed so they can look forward to the fall harvest,” Ian Boxall, president of APAS, said in the joint statement. “If we experience a wet harvest like 2019, I have real concerns about the added burden farms across Saskatchewan and the prairies will be forced to absorb.

“This Bill needs to be passed by the Senate before June 30.”

The Agriculture Carbon Alliance is also encouraging senators to pass the bill in order to “unlock the full potential of our agriculture sector…”

Senators completed the bill’s second reading on June 13 and have sent it to the Senate Committee on Agriculture and Forestry.

If the bill is not passed before Parliament rises, senators would pick up the process on Bill C-234 when the fall sitting begins.

The carbon tax’s effect on grain drying varies depending on location.

An AAFC report on the matter from 2019 showed farmers in Saskatchewan paid $774 per farm (or 51 cents per acre) in carbon pricing on grain drying, for example.

But in Alberta it was $210 per farm, or 16 cents per acre.

Keystone Agricultural Producers estimated Manitoba farmers paid about $1.7 million in carbon taxes related to grain drying in 2019.

Dr. Sylvan Charlebois from Dalhousie University estimates that by 2030, when the carbon tax is expected to reach $170 per tonne, a 5,000-acre farm could pay more than $150,000 in new taxes.

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