Ontario greenhouses won’t get a break from Wynne’s cap and trade program, since the Liberal government doesn’t recognize that greenhouses absorb carbon dioxide.
The tax, brought in on January 1, has these Ontario businesses paying $18 a tonne for carbon.
The most unfortunate thing about this is that the greenhouse industry in Canada is growing, having increased in size by over 800 acres in five years, which represents over $600 million in construction investments.
As a result, cap and trade will cost the industry over $10 million this year.
That’s enough to put smaller local producers out of business and stunt growth in a prospering industry.
Meanwhile larger greenhouses can keep going and will end up monopolizing the industry since they’ll be able to afford it.
Larger greenhouses also benefit from a perk denied to smaller growers since greenhouses producing over 10,000 tonnes of emissions, get a rebate that brings the tax down to zero.
An Environment Ministry spokesman says the government has committed $115 million to help retrofit agricultural facilities but businesses shouldn’t need the government to throw money at them when their policies make operating too expensive.
This should be a signal that the carbon tax shouldn’t be in place at all and that it’s yet another government cash grab.
Instead of repealing the business killing tax, citizens have to subsidize growers so they can stay afloat which means more money out of the taxpayer’s pocket.