Taxation

Question period focused on high diesel and fuel prices. The Conservatives, led by Pierre Poilievre, called the situation a diesel price crisis, said Canadian prices are higher than in the U.S. and the global average, and proposed cutting all federal diesel taxes until July 1, 2027, along with faster approvals and tax relief to build diesel refineries and transport capacity. Prime Minister Mark Carney said prices were driven by the wars in Iran and Ukraine, pointed to the extension of the federal fuel excise tax suspension and support for families, said provincial taxes explain much of the gap with the United States, and invited the House to pass Bill C-38, the Canadian Fuel Affordability Act, which would extend the temporary suspension of the federal fuel excise tax and later reduce the rates, as well as the government’s major projects legislation. A portion of the exchange also went to remarks on the Leader of the Opposition’s 20th anniversary in the House and to each side criticizing the other’s record on past promises and projects.Written by AI from the debate. Updated .

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6 statements

Mark Carney, Prime Minister

Liberal
“High fuel prices are caused by wars in Iran and Ukraine, not government costs. We are pausing the federal fuel tax and giving $20,000 to families of four to help with costs.”
Official Hansard

Mr. Speaker, this is a difficult situation for Canadians. This difficult situation is caused by the war in Iran and the war in Ukraine. The government is doing two things. First, it is extending the suspension of the federal fuel excise tax, and second, it is providing $20,000 for a family of four as an affordability measure.

Mark Carney, Prime Minister

Liberal
“High fuel and diesel prices are a worldwide problem. The government is taking action by cutting fuel taxes longer and working with fuel companies to make sure Canada has enough diesel.”
Official Hansard

Mr. Speaker, it is a global issue that is causing higher fuel prices, including higher diesel prices. The government is acting, including by extending the reduction in the fuel excise tax on diesel and on regular gasoline. As well, the Minister of Natural Resources is working with refiners to maximize the availability of diesel in Canada.

Mark Carney, Prime Minister

Liberal
“Fuel costs more in Canada than in the United States mostly because of provincial taxes. Our plan to build new refineries will also help lower diesel prices.”
Official Hansard

Mr. Speaker, I would draw the attention of the Leader of the Opposition and this whole House to the fact that there are things in Canada called provinces. The provinces put taxes on diesel. The provinces put taxes on gasoline. The biggest difference between Canada and the United States is the provincial taxes on those carbons. Also, I will draw attention to the building Canada strong act, which will allow this country to build new refineries and keep diesel prices lower.

Mark Carney, Prime Minister

Liberal
“I congratulate the Leader of the Opposition on 20 years in Parliament. In my one year here, our government has passed laws to get major projects built faster. We want the opposition to work with us to build things instead of doing nothing.”
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Official Hansard

Mr. Speaker, I would like to take this opportunity to congratulate the Leader of the Opposition on his 20th anniversary in the House of Commons. I have been here for a little more than a year. We passed the Building Canada Act for major projects, and we are putting in front of this House the building Canada strong act so that all projects in this country are “one project, one review, one year”. We will build Canada strong. They will have an opportunity to join us, and he will have an opportunity to do something for the first time in two decades.

Mark Carney, Prime Minister

Liberal
“I want the House to pass this bill to lower the tax on diesel. Our laws are already helping build major energy and building projects across the country.”
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Official Hansard

Mr. Speaker, this House will have an opportunity to pass Bill C-38, which will lower the tax on diesel. This House will have an opportunity to vote on the building Canada strong act, which will move this country forward. Let me make sure Hansard is correct. The government passed the act last year, and Contrecoeur, the Mackenzie Valley pipeline, Darlington, the north coast transmission line and the Matawinie mine are all major projects now being built thanks to this government.

Mark Carney, Prime Minister

Liberal
“The House will vote on extending the fuel tax cut, including for diesel. The federal government cannot cut provincial taxes. We should focus instead on our bill to build major projects faster.”
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Official Hansard

Mr. Speaker, the House will have the chance to extend the reduction in the excise tax on fuels, including diesel. However, it is not the federal government’s job to remove provincial taxes. What we need to do is build major projects with the build Canada strong bill: one project, one review, one year.

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