Instead, the government should implement what the EU did in 2022, what Canada did during both world wars, and what civil society groups have been calling for for ages: a windfall profits tax on the oil and gas industry. A 33 per cent tax on windfall profits could raise $18 billion this year. A 75 per cent tax, like we implemented during the Second World War, could raise $46 billion.

This revenue could be used to both directly compensate consumers for higher short-term costs through cash transfers, and to invest in the transition away from our reliance on volatile fossil fuel markets. It would be not just a band-aid but a treatment plan. A treatment that involves bucking our addiction to fossil fuels and providing Canadians with sustainable, affordable energy for the long-term.

  • masterspace@lemmy.caEnglish
    5·
    1 day ago

    We should use that windfall tax to do what the EU is doing and instead issue discounts on consumer electricity rates to encourage further electrification rather than to paper over gas’ failings.

    • Canaconda@lemmy.ca
      1·
      1 day ago

      A problem is that they’re also worried about grid capacity during heatwaves etc. At least on the west coast. So it’s a balancing act in the short term until we raise capacity.