Policies - Energy and Sustainable Energy

Approved: 12 February 2023

Whereas:

• According to the International Monetary Fund (IMF)¹, the fossil fuel subsidies in Manitoba were $871 million dollars in 2020; these are administered through Manitoba Petroleum Fiscal Regimen (MPFR) which specifies the tax breaks, royalty deferrals, direct incentives, etc that are provided to the oil exploration and extraction industry;
• Fuel is exempted from Provincial Sales Tax (PST)²;
• The use of hydraulic fracturing, or fracking is growing; the majority (76 of 83 drilled in 2020) of new oil wells are horizontal wells, aka fracking wells ³; Manitoba does not measure natural gas emissions nor groundwater contaminates (from fracking chemicals) on lands and in ground water above the drill sites; February 4, 2012 the University of Winnipeg aired the documentary film, Burning Water, demonstrating the experiences of people in Rosebud, Alberta as a result of fracking;
• Silica sand is required to support fracking to extract tight oil and natural gas; silica sand mining causes environmental issues, like contamination of surface waters and groundwater, and health issues, like silicosis ⁴; the silica sand in Manitoba is “theoretically possible” but really not suitable for flat glass or solar panels ⁵; and
• The Green Party of Canada committed to “End all production of fossil fuels” by 2035 ⁶;

Be It Resolved:

The Green Party of Manitoba will:

• Eliminate fossil fuel subsidies in Manitoba; this includes but is not limited to, simplifying the MPFR to apply royalties and taxes every barrel of oil and every cubic metre of natural gas produced in Manitoba, removing incentives for oil and gas exploration within the Province, and eliminating the financial supports for hydraulic fracturing (fracking) within the Province;
• Remove the exemption for fuel under the Fuel Tax Act, and apply PST to all fuels;
• Ban hydraulic fracturing, aka fracking;
• Ban silica sand mines;
• Cancel all new oil exploration projects; and
• Phase out existing oil and gas operations, so that they continue on a declining basis, to terminate at the end of 2035.

References:

1. International Monetary Funds: Fossil Fuel Subsidies
2. Government of Manitoba Bulletin: Summary of Taxable and Exempt Goods and Services
3. Manitoba Natural Resources and Northern Development: Manitoba Oil Facts
4. Ernst v. EnCana Corporation: Manitoba Silica Sand Mining: “sharp dealings” by gov’ts serve CanWhite Sands Corp while trumping human rights to safe water
   
5. Canadian Centre for Policy Alternatives: Manitoba’s Silica Sand: Use for Fracking Natural Gas
6. Green Party of Canada 2021 Platform

Approved: 9 July 2024 

Whereas:

• Responding to the climate crisis requires an urgent reduction in fossil fuel emissions.
• Fuel is exempted from Road Tax and Provincial Sales Tax (PST)¹; Road tax was removed in 1990;
• Provincial Sales Tax was removed when the Manitoba Petroleum Fiscal Regime was updated April 28, 2016 ²;
• The Province of Manitoba removed the Fuel Tax “on gasoline, natural gas, marked fuel and diesel fuels for at least six months starting January 1, 2024.” ³;
• These reductions in taxes have taken funding away from not only road infrastructure but also from general revenue, impacting healthcare, education, and other government priorities over the last few decades, and
  
• The reduction in taxes are accomplishing the opposite of our fossil fuel reduction goals.

Be it Resolved:

The Green Party of Manitoba will:

• Apply the Fuel Tax of 14¢ per litre under the Fuel Tax Act; these funds will be added to Provincial revenues to be used for Health Care, Education, green initiatives, and other government expenses;
• Apply PST (currently 7%) to all fossil fuels, as is currently paid on electricity used to power EVs these funds will be added to Provincial revenues to be used for Health Care, Education, green initiatives, and other government expenses, and
  
• Commit to funding ongoing road construction and maintenance by bringing back the  Road Tax (14%) on all fossil fuels for motor vehicles.

References:

1. Summary of Taxable and Exempt Goods and Services, Government of Manitoba Information Bulletin RST 030, July 2024 [https://gov.mb.ca/finance/taxation/pubs/bulletins/030.pdf]
2. Manitoba Petroleum Fiscal Regime, Government of Manitoba [https://www.manitoba.ca/iem/petroleum/regime/index.html]
3. Cheapest Gas in Canada*!, Government of Manitoba https://www.gov.mb.ca/gastax/index.html