The Province of Ontario has recently declared that it will be extending cuts to its gas and fuel tax rate up to June 30, 2024. In place since July 1, 2022, this is the Premier Doug Ford’s government’s second time extending the cut.
Upon the passage of this legislation, drivers can expect to continue seeing their pump prices reduced by 5.7 cents per litre, a relief for many in economically challenging times. Ford, addressing the public at an Etobicoke gas station, acknowledged the hardship that high costs of gas and groceries present, stating that “the fact is, people need a little bit of help.”
The Progressive Conservative administration supposes the tax cut will save the typical household approximately $260 per year since its initial inauguration. Diesel prices will also experience a similar reduction, with costs being slashed to 5.3 cents per litre.
Without this benevolent intervention, Ontario’s tax rate on gas and diesel would steeply elevate to 14.7 cents per litre according to Government’s report. Ford, while unveiling this plan, once more implored upon Ottawa to eradicate the “awful, awful” federal carbon tax, blaming it for exacerbating financial woes. “If the federal government eliminated the carbon tax off the pumps alone, that’s another 14 cents saved],” he stated.
This call for equitable treatment comes also in response to Prime Minister Justin Trudeau’s recent announcement of a three-year pause on the tax on home heating oil, starting in Atlantic Canada. According to Ford, this fails to apply to ninety-five per cent of Ontario’s population, who do not use oil to heat their dwellings or businesses.
The extension decree came just days prior to the release of Ontario’s fall economic statement, expected to be disclosed on Thursday. This tax reprieve demonstrates the province’s ongoing commitment to afford necessary support and relief to its citizens amidst these taxing times.
