Families in New Brunswick to start receiving Climate Action Incentive payments this October

News release

May 1, 2023 – Gatineau, Quebec

Putting a price on pollution remains the most efficient means to fight climate change, while making life more affordable for Canadians. Not only does pollution pricing ensure it is no longer free to pollute anywhere in Canada, but in provinces where the federal pollution pricing system applies, Climate Action Incentive payments put more money back into the majority of Canadians’ pockets.

Following the Government of New Brunswick’s February request that the federal pollution pricing fuel charge apply with all proceeds returned to residents, small businesses, and Indigenous groups in their province of origin. Today, the Honourable Steven Guilbeault, Minister of Environment and Climate Change, provided an update that the fuel charge would be effective July 1, 2023, at the same time that it will begin to apply in other Atlantic provinces. Through Climate Action Incentive payments, 90 percent of direct proceeds will be returned to individuals and families.

This October, a family of four in New Brunswick will receive their first Climate Action Incentive payment, as a double payment of $368, with a second quarterly payment amount of $184 in January 2024. Indigenous groups and small businesses receive added support through federal programs, and residents of small and rural communities are entitled to a 10 percent supplement beyond the base amount.

For households in New Brunswick, as with those across the country that receive Climate Action Incentive payments, the majority of households in New Brunswick will receive more money back than they pay, as a result of the federal pollution pricing system, with low- and middle-income families benefitting the most.

Since 2019, every jurisdiction in Canada has had a price on carbon pollution. Canada’s approach gives provinces and territories the flexibility to implement the system that works best for them: either their own pollution pricing system, or the federal pollution pricing system. Canada’s approach to pricing pollution is working. It is spurring new and innovative approaches to reduce emissions, use energy more sustainably, and save money.

Canadians are feeling the pressure of higher costs of living. The federal pollution pricing system ensures that Canadians receive much-needed relief on a regular basis, while fighting climate change at the same time.

Quotes

“Putting a price on pollution is the most efficient, effective, and affordable way to lower our emissions and fight climate change. In New Brunswick, the federal price on pollution will put more money back in the pockets of the majority of New Brunswickers, while helping to protect our environment at the same time.”
– The Honourable Chrystia Freeland, Deputy Prime Minister and Minister of Finance

“With the federal pollution pricing system coming to New Brunswick, people can expect more money back through rebate payments every three months, all while there’s less pollution in the air. New Brunswickers will begin receiving Climate Action Incentive payments by cheque or direct bank deposit starting in October of this year. This is just one way our government is focused on putting money back in the pockets of Canadians, while fighting climate change.”
– The Honourable Steven Guilbeault, Minister of Environment and Climate Change

“Through Climate Action Incentive payments, the majority of New Brunswick households get more money back than they pay. Starting in October, families will receive a payment every three months—money that will particularly help low- and medium-income households make ends meet. Our government will continue to support Canadians while taking action on climate change.”
– The Honourable Dominic LeBlanc, Minister of Intergovernmental Affairs, Infrastructure and Communities

“Fighting climate change, while helping New Brunswick families with their affordability challenges, this is a win-win. Our Government will always stand up for taking action on the environment, in a way that directly helps families with their cost of living.”
– The Honourable Ginette Petitpas Taylor, Minister of Official Languages and Minister responsible for the Atlantic Canada Opportunities Agency

Quick facts

  • In February 2023, New Brunswick requested that the federal backstop fuel charge apply for the 2023–2030 period, in place of a New Brunswick fuel charge.  

  • New Brunswick will continue to apply its own pollution pricing system for industrial emitters.

  • Pricing pollution, a foundational pillar of Canada’s climate plan, is the most efficient policy to reduce greenhouse gas emissions and drive clean innovation. It creates a financial incentive for businesses and households to decide for themselves how best to reduce emissions while returning money directly to families to spend as they see fit.

  • The federal government sets minimum national stringency standards that all provincial systems must meet. The federal system applies in jurisdictions that request it, and in provinces or territories that do not implement systems that meet the standards.

  • Low- and middle-income households in provinces covered by the federal backstop benefit the most from pollution pricing, as they collect the full Climate Action Incentive payment, while tending to spend less on energy-intensive goods that are subject to the price on pollution.

  • The Government of Canada does not keep any direct proceeds from carbon pollution pricing. All direct proceeds are returned to the province or territory of origin.

  • In November 2022, the Government of Canada also announced its intent to newly apply the federal fuel charge in Newfoundland and Labrador, Nova Scotia, and Prince Edward Island, effective July 1, 2023.

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Contacts

Kaitlin Power
Press Secretary
Office of the Minister of Environment and Climate Change
819-230-1557
Kaitlin.Power@ec.gc.ca

Media Relations
Environment and Climate Change Canada
819-938-3338 or 1-844-836-7799 (toll-free)
media@ec.gc.ca

Environment and Climate Change Canada’s Twitter page

Environment and Climate Change Canada’s Facebook page

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