Alberta suing feds over carbon tax exemption on home heating oil

The Alberta government is suing Ottawa over the exemption of the federal carbon tax on home heating oil.

Premier Danielle Smith says the province applied for a judicial review on Tuesday. Alberta is asking the courts to declare the exemption “unconstitutional and unlawful.”

The UCP is arguing the levy is only advantageous to some parts of Canada, and is accusing the federal government of “creating a regime that favours one region and fuel type over others.”

While home heating oil, which is mainly used in Atlantic Canada, received a three-year exemption, fuels used in other regions did not. Alberta is calling it a double standard.

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“While we’re happy for these Canadians, Alberta, Saskatchewan and other provinces who heat their homes with natural gas have been deliberately excluded from these savings,” Smith said at a news conference Tuesday alongside five ministers.

“Albertans simply cannot stand by for another winter while the federal government picks and chooses who their carbon tax applies to. Since they won’t play fair, we’re going to take the federal government back to court.”

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