A bill that would exempt propane and natural gas from carbon pricing when used for grain drying and barn heating continues to make its way through the Senate.
After a meeting on October 5, 2023, the committee on agriculture and forestry heard final witnesses speak on Bill C-234, which aims to expand carbon price exemptions related to farming.
The committee is scheduled to reconvene on October 17, when potential amendments will be considered before the bill returns to the Senate chamber.
The bill, sponsored by Huron-Bruce MP Ben Lobb and initially introduced in the House of Commons in November 2021, passed its second reading in the Senate on June 13 before the Senate adjourned for the summer.
Proponents of the bill argue that farmers have no alternative but to use natural gas and propane-fueled machinery for grain drying, as viable alternatives are currently lacking. Critics, including British Columbia researcher Kathryn Harrison, have expressed concerns that exemptions would undermine the effectiveness of carbon pricing, and that it could remove incentives for farmers and equipment manufacturers to adopt cleaner technology.
The Canadian Taxpayers Federation (CTF) has cited potential savings of nearly $1 billion for farmers by 2030 if Bill C-234 passes.
