Business of Supply

A supply-day debate on a Conservative motion for what members called an emergency diesel relief plan: cutting taxes on diesel and making it easier to build energy projects, including more Canadian refining capacity, with the aim of lowering costs for farmers, truckers and families. Conservatives said federal taxes and policy are driving up gas and grocery prices, and noted they have proposed fuel-tax relief several times before. Liberals pointed to the government’s existing fuel tax break and other affordability measures, saying Canada cannot control global prices, that relief should be immediate rather than long-term, and that energy development and clean alternatives can go ahead together. The Bloc Québécois proposed refunding the diesel excise tax to businesses when prices spike, paid for by ending oil and gas subsidies, and questioned subsidies to that sector; the NDP called for taxing record oil and gas company profits. Some members also traded remarks about past promises and their own ridings.Written by AI from the debate. Updated .

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3 statements

Alexis Brunelle-Duceppe, Lac-Saint-Jean

Bloc Québécois
“I want the member to explain how it is responsible to give billions of dollars in subsidies to the oil and gas industry. This industry is mostly American-owned, makes huge profits, and does not face tariffs, while other Canadian industries are suffering from trade disputes. These projects will not be ready for years and will not help anyone right now.”
Official Hansard

Madam Speaker, my colleague talked about acting responsibly. I would like him to explain to me whether he feels that it is responsible to provide billions of dollars in subsidies to the only industry or one of the few economic sectors that is not subject to tariffs, when some industries and economic sectors are currently suffering as a result of the tariff war. Is it responsible to send billions of dollars, whether via Trans Mountain and Pacific link or through tax credits to the tune of $100 billion, which we all pay for as a society, to an economic sector that is making record profits? I would remind the House that the oil and gas industry will make an estimated $90 billion in profits in 2026. This is all for an industry that is 60% American-owned and sells 90% of its products to Americans. Once again, this is an economic sector that is not affected by tariffs. The projects will be not be ready for another 12, 13, 14 or 15 years, so they will have no impact on the tariff war. Does he think these are responsible initiatives that will have an impact right now?

Alexis Brunelle-Duceppe, Lac-Saint-Jean

Bloc Québécois
“The Bloc has a plan to help businesses with high diesel costs. When diesel prices jump, businesses would automatically get their diesel tax refunded. We can pay for this by stopping government subsidies to oil and gas companies. I want to know if the member supports this idea.”
Official Hansard

Madam Speaker, I would like to thank my highly esteemed colleague. The Bloc Québécois proposed a more targeted mechanism in which the excise tax on diesel would be credited for people who use it as an input when the price of diesel in a given quarter exceeds the price from the same quarter of the previous year by a certain number of percentage points. If the rate is set at 20%, for example, a 20% increase in prices compared with the same period in the previous year would automatically result in a refund for businesses and entrepreneurs affected by higher operating costs. This mechanism could be permanent, and it would be extremely easy to fund. In fact, my friend’s leader has always said that he is against corporate welfare. The biggest example of corporate welfare in this country is the oil and gas industry. Hundreds of billions of dollars of taxpayers’ money are being used to subsidize it. If we got rid of just those subsidies, everyone would be happy, and the Bloc Québécois proposal would lower the price of diesel. Would my friend support such a proposal?

Luc Thériault, Montcalm

Bloc Québécois
“The Conservatives want to help the oil industry instead of regular people. Experts say cutting gas taxes does not help. The government should collect that tax money and give it directly to parts of the economy that need it most, like the supply chain. I want to know if gas price cuts ever actually help taxpayers.”
Official Hansard

Madam Speaker, I have been a member of the House of Commons for some time now, and I have to say that, at times, I get the impression that my Conservative colleagues are lobbying for the oil industry. At the same time, they frequently condemn waste. Like me, they also stand up for people who are struggling. However, they never denounce the humongous subsidies to the oil industry, which rakes in eye-watering profits every year. They would like us to throw even more money at this industry, even though 66% of the oil companies in western Canada are American and we are in a tariff dispute. The Bloc Québécois proposed something at one point. Every tax expert and finance minister I have spoken to in my life told me that the best thing to do was not to lower the price at the pump. The best thing for the government to do in the event of an increase or inflation was to hold on to that money and redistribute it in a targeted way to the sectors that actually need that oil and diesel to be able to continue production in the supply chain, for example. Why does my colleague not support this type of measure when we know full well that there has been a drop in the price at the pump recently? Can he tell me whether this trickled down to taxpayers?

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