A new analysis of the proposed carbon tax by the U of R shows how potentially devastating it could be to the economy.
The study suggests the tax could mean a 16 billion dollar hit in the province’s economy between 2019 and 2030.
Without the tax, the study says economy would see a 1% growth each of those years, but a 1.4% reduction with it.
That’s a gap of 2.4% in lost economic productivity.
Environment Minister Dustin Duncan says it was important to get Saskatchewan-based numbers.
“All of the information that we have to this point has been very generic across the country, but we were trying to make the arguement that’s Saskatchewan’s economy is not like other provincial economies.” Duncan explained.
Duncan says while a carbon pricing plan may work for other jurisdictions, it would hurt Saskatchewan’s resource based economy far too much.
However, provincial NDP leader Ryan Meili says he’s not so sure the report proves what it says.
“And it’s such an extreme outlier from every other prediction of that impact,” Meili said. “I think that’s something that you do have to say, ‘we really need to make sure that we have the experts dig into this report and let us know how it compares.'”
Meili questions the numbers, saying they counter every report he’s seen that says a carbon tax would limit carbon emissions.
(With files from CKRM)