Canada begins carbon refund payments to residents

Millions of tax-paying Canadians will receive an installment of this year’s national carbon price rebate on Monday.

Justin Trudeau, Canada’s prime minister, made the announcement in a video post shared on his social media pages.

The carbon rebate, previously known as the climate action incentive, is intended to offset the cost Canadians pay in carbon pricing when they purchase petrol.

This rebate rolls out quarterly on the 15th day of the month, with the first one being in April.

If the 15th falls on a statutory holiday or weekend, payments will be deposited on the last business day beforehand.

The amounts paid are based on household size and province, with a family of four receiving between $190 and $450.

Provinces where fossil fuels account for a greater share of electricity have higher carbon rebates because those consumers pay more in carbon pricing.

As of the last payment this year, the Canadian government added 10 percent to the rural supplement “in recognition of the increased energy needs of rural residents and their reduced access to cleaner transportation options”.

Carbon pollution pricing is the cornerstone of Canada’s comprehensive plan to lower emissions and build a more sustainable future.

“Pricing pollution works. It is the most cost-effective and proven way to cut emissions, while all revenues are returned to Canadians,” Steven Guilbeault, minister of environment and climate change, said.

“The impacts of climate change aren’t pausing, and we can’t afford to, either.

“The Canada Carbon Rebate puts more money in your pocket every three months. It means Canadians have extra cash on hand for groceries, rent, and the things that matter.”

To estimate their potential rebate, eligible residents can use the Canada Carbon Rebate estimator tool.