Thursday, June 15, 2006

Quebec Goes After Oil Companies - NEP2?

The dreaded carbon TAX is raising it's ugly head in Quebec!

Quebec plans to tax oil and gas companies to finance its plan to implement the Kyoto protocol but also says it needs money from Ottawa to fight climate change, Premier Jean Charest said Thursday.

"The Kyoto protocol isn't perfect but currently it's the best thing on the table," Charest told a news conference. The tax is expected to raise $200 million a year that Quebec will spend on its 2006-2012 action plan to curb emissions.

A spokesman for the petroleum industry said the tax will end up passed on to consumers. Environmental groups welcomed Quebec's move.

Wake up Quebec, get your bikes out, because gas prices are about to rise.

Simple economics, if an oil company can sell gas anywhere in the world without paying a carbon tax, why would they pay for it in Quebec? They will pass it on to the consumer, or not sell it there. Those are the options.

So, Quebec, enjoy Kyoto. Biking in the winter will really clear the greenhouse gases and make you all healthier!


Anonymous said...

Yep. Tax activities that are harmful and funnel it to activities that aren't.

The oil companies will keep selling in Quebec because there is still a demand there and a competitive market. They will make less money though.

hunter said...

No, the oil companies will not pay more, the Quebec consumer will. Taxes are always passed on to the consumer. Think!!! Who pays municipal, provincial, and federal taxes?? US. If I buy something from a company and they then pay taxes, where did the company get the money from?? US.