The provincial government of Ontario has revealed plans to extend the reductions in its gas and fuel taxes until the end of June 2024. This marks the second extension by Premier Doug Ford’s administration. Initiated on July 1, 2022, the legislation pending approval will perpetuate a reduction of 5.7 cents per litre at gas stations.
A stance voiced by Premier Ford at a Tuesday morning address in an Etobicoke gas station underscores the financial struggle of many citizens plagued by escalating costs of gas and groceries. Recognizing the hardship, he affirmed that residents could use a spot of financial relief.
According to projections by the Progressive Conservative government, the cut in gas taxes has afforded an average household an annual saving of around $260 ever since its launching. Diesel, included in this proposed extension, is set to be priced at 5.3 cents per litre.
The government’s statement delineated the stark contrast of current tax rates with the regular 14.7 cents gas and diesel tax rate in Ontario, the latter only in the absence of this tax cut.
The announcement also saw Premier Ford once more press the Canadian federal government to reduce the “terrible, terrible” carbon taxes—an element he asserts further aggravates the strain at gas stations. The eradication of carbon taxes at gas pumps could save people an additional 14 cents, Ford argued.
Towards the end of October, Prime Minister Justin Trudeau announced a suspension for three years on the tax applied to home heating oil, specifically in Atlantic Canada. This arrangement, according to Ford, is inequitable since “ninety-five percent of people in Ontario do not heat their homes or businesses with oil.” He expressed that it seems utterly unfair.
This announcement was made in the days preceding the release of Ontario’s fall economic statement, which is expected for this coming Thursday.
