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Moe says Saskatchewan to stop collecting carbon tax on heating if no federal break given

Saskatchewan Premier Scott Moe says his province will stop collecting the carbon tax if Ottawa doesn’t offer a break on heating costs.

Moe said Monday that the provincial gas utility SaskEnergy won’t collect or submit the tax to the federal government  beginning Jan. 1, unless Ottawa provides the province an exemption.

Prime Minister Justin Trudeau announced last week that home heating oil would be exempt from the carbon tax for three years to address affordability needs.

The move largely helps those in Atlantic provinces, where the oil is a main source for home heating.

Moe and Alberta Premier Danielle Smith have asked Trudeau to extend that exemption to cover all other forms of heating, including natural gas.

Smith said Alberta isn’t able to do the same thing Saskatchewan’s premier has threatened, because Alberta doesn’t have a Crown corporation that handles heating.

“They [federal government] have to put a reprieve on carbon tax on all home heating, in all provinces, on all sources of heating. Otherwise, you are going to see these kinds of actions taken by the provinces who can,” Smith said, in a media conference on Monday.

Moe said he understands it may be illegal to not collect the tax, but that he believes Saskatchewan residents should be treated fairly.

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