Environment Minister Rod…

Environment Minister Rod Phillips said about the cap-and-trade program is "a punishing, regressive tax that forces low and middle income families to pay more. It’s a job killing tax that would impose massive new costs on businesses and cripple our economy at a time of economic sensitivity,”

That being said, the Ontario Cap and Trade program is not a carbon tax. It is a cap and trade program. Individuals and the middle class are not being taxed in the slightest, not even a dime. The provincial government is not collecting any tax, zero, from Ontario taxpayers through the cap and trade program.

The best climate policy – environmentally and economically – limits emissions and puts a price on them. Cap and trade is one way to do both. The cap on greenhouse gas emissions that drive global warming is a firm limit on pollution. The cap gets stricter over time.The trade part is a market for companies to buy and sell allowances that let them emit only a certain amount, as supply and demand set the price. Trading gives companies a strong incentive to save money by cutting emissions in the most cost-effective ways. It lets THE MARKET find the cheapest way to cut emissions. Furthermore it is a cap levied on large emitters of carbon pollution, such as steel mills, heavy industry, large manufacturers, utilities and power generators, etc... not middle class businesses and taxpayers.

The total amount of the cap is split into allowances, each permitting a company to emit one ton of emissions. The government distributes the allowances to the companies, either for free or through an auction.The cap typically declines over time, providing a growing incentive for industry and businesses to reduce their emissions more efficiently, while keeping production costs down.
Because there are only so many allowances available, total pollution drops as the cap falls. As companies use established techniques to lower emissions, such as adopting energy-efficient technology, entrepreneurs see opportunity.A market-based approach like cap and trade allows countries to make more ambitious climate goals. Furthermore, cap and trade makes even deeper cuts possible when countries cooperate, such as the United States and Canada. California and Quebec connected their systems in 2014, building a strong market that shows great potential, and actually helps grow the middle class.

Ever wonder why you don't hear about acid rain anymore? Thank cap and trade, which slashed levels of sulfur dioxide to solve the problem – at a fraction of the projected cost.

Furthermore, this program is the most cost effective solution to climate change (including funding climate change mitigation and adaptation measures). This IS the best solution poor and middle class Ontarians. The Ontario PC government is all about saving money, keeping money in the pockets of middle class families, and looking out for the "little guys" that drive our industries. There is no doubt that cap and trade costs money, as any measure going forward will. What is interesting is how this PC government has decided it will pursue cutting a program which has marginal upfront costs, but pay dividends for Ontario families in the near, mid and long term future. Not only is the Ontario PC government pursuing ending a program which directly benefits and is in the best interest of Ontario families going forward, but the Ford Government has not even provided any proposed alternatives, let alone any that come close to achieving what cap and trade would for Ontario. It is irresponsible, reckless, and shortsighted. And that is not in any good for the Ontario taxpayers, or Ontario families.

If the Ford Government would like to keep money in the pockets of hard working families, if they want to reduce the associated costs of products and the slight increase in costs that may be uncured on gasoline through cap and trade system, then why wouldn't they get serious about their promises and simply reduce actual provincial taxes on gasoline? Why would the Ontario government opt to cancel a program which drives innovation, jobs, and healthier living, falsely claiming they are reducing the tax burden on hardworking families, instead of actually reducing a the provincial gasoline tax (a burden) and therefore actually alleviate a tax burden on hardworking families?

I put it to the Ontario PC Party to stop playing politics with real world issues that affect day to day hard working families, instead of actually delivering solutions for these same middle class, hard working, taxpayers of Ontario. Ignoring carbon costs will not make the problem disappear. Keep the cap and trade program. It is the best solution and market based tool Ontario has going forward.