Gas tax holiday extension won’t ease affordability crisis for Canadians

Gas tax holiday extension won’t ease affordability crisis for Canadians  

Canadians need real relief from the cost-of-living crisis that’s hitting them from all directions. They’re feeling it when they buy food, and they’re feeling it at the pump, where gas prices in July were more than 25 per cent higher compared to last year.  

Last week, in an effort to address affordability, the government announced an extension to the gas tax holiday implemented in April. This is a band-aid that unfortunately just won’t cut it when it comes to affordability. 

Cutting taxes at the pump sounds like a measure that will help with affordability, but gas prices continue to rise because of shocks related to conflict and crisis. Between April and June, Canadians spent an additional $3 billion on gas because of increased prices – this even with the tax holiday in place.  

What could real help for Canadians look like? A windfall profit tax on Canada’s oil producers.  

With the rise in the price of gas, the profits of Canada’s oil producers are off the charts – some estimates put their profits for this year $100 billion higher than last. A tax on windfall profits could be used by the government to redistribute a small portion of those billions in excess profits that are a result of crisis, to directly support the wellbeing of Canadians and fund affordability measures that directly support those most in need.  

Relief for Canadians can’t mean a free ride for rich polluters. It’s time for Canada’s oil producers to pay a windfall profit tax.  

Sign our petition and send a letter to Minister Champagne calling on the government to implement a windfall profit tax.