Rising gasoline prices are becoming a topic of discussion in the House of Commons.
Northern Ontario MP Charlie Angus says the record gas prices come as the large oil companies reap in unprecedented levels of profit.
“Big oil made $100 billion in profits in the first quarter. That’s triple what they made last year. So, as the Finance Minister is hanging with the Uber rich at the Empire Club, this Liberal government does nothing as working class Canadians are held hostage at the pumps.”
The NDP MP for Timmins-James Bay is calling for greater taxation on big oil companies.
Kenora MP Eric Melillo believes that’s not the way to go.
“I think that Charlie’s narrative is incorrect in the sense that it’s oil companies that are inflating their prices. It’s government spending that is inflating the price. It’s the taxes on tax that are inflating the price. The government right now, they are actually applying the carbon tax to the GST portion that is paid on fuel, for example.”
Melillo adds, “You’re literally paying a tax on a tax. So, that’s where I think we need to start. I think the government needs to do its job to lower those bills instead of looking into private companies and blaming them.”
Responding to questions in the House of Commons, federal tourism minister Randy Boissonnault says the government is responding to the affordability crisis with tax increases against the banking and insurance sectors.
“The budget proposes to introduce a temporary Canada recovery dividend so that big banks and insurance companies which have turned a big profit during the pandemic, pay a one time 50% on their above-average tax product, tax them over income of over a billion dollars for 2021,” says Boissonnault. “The banks made money. We’ve asked them to pay more. That’s how we’re going to make sure that we have affordability for all Canadians.”
Boissonnault made no mention of anything similar for the oil and gas industry.
Gas prices are hovering around near or above the $2.20 a litre mark in most northwestern Ontario communities.
(With files from Randy Thoms)