Carbon Tax
by Peter Bursztyn
“Carbon Taxes: Key Issues, Key Questions” by the Pembina Institute and David Suzuki is a concise summary of the carbon tax, as well as a comparison between it and the “cap & trade” scheme also being proposed as an alternative.
What is not mentioned in this essay is that “cap & trade” targets point sources like steel mills, cement kilns and power stations, but have little influence on individuals. A carbon tax also “hits” individuals and will (or should) influence the kinds of products they purchase.
The essay must refer to a tax based on kilograms of carbon emitted – not on kilograms of carbon dioxide. A kilogram of charcoal burns to one kilogram of carbon emissions – but 3.6666 kilograms of carbon dioxide – so this makes a huge difference. Many people do not specify!
Interestingly, a tax of $50 per tonne of carbon would increase gasoline by $0.12 per litre.