British Columbia plans to end carbon tax paid by consumers

By Anne C. Mulkern | 03/24/2025 06:22 AM EDT

Canada’s third-most-populous province is following Prime Minister Mark Carney, who ended a federal tax on gasoline, diesel and natural gas.

Canada's Prime Minister Mark Carney has eliminated the federal consumer carbon tax.

Canada's Prime Minister Mark Carney has eliminated the federal consumer carbon tax, prompting British Columbia to end its tax and other provinces to consider the same action. Thomas Padilla/AP

British Columbia, the third-most-populous province in Canada, plans to repeal the carbon tax consumers have been paying since 2008 while other provinces weigh similar actions as the nation’s climate policies face potential overhaul.

New Canadian Prime Minister Mark Carney triggered a reevaluation when he abolished the federal carbon fee that residents of five mostly small provinces have paid since 2019 on fossil fuel products including gasoline, diesel and natural gas.

Canada’s eight other provinces and territories impose their own carbon taxes instead of following the federal tax. Carney’s elimination of the federal one lets provinces and territories eliminate their own consumer carbon taxes.

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British Columbia, with 5 million residents, said it would quickly introduce legislation to end its system in an effort to help residents.

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