Carbon Taxes Reduce Energy Use and GHG Emissions : A Report

Published on May 02, 2019

A recent report from the National Energy Board has said that carbon taxes and complimentary climate actions will help to build a more resilient Canadian economy, and encourage Canadian homeowners and business owners to improve their energy efficiency and lower their emissions.

Within the report, carbon taxes are said to be predictable and transparent, and that they can be incorporated into the current tax system without the need for a lot of extra bureaucracy.

It is also noted that carbon taxes do have some drawbacks; namely the increase of costs that are placed on individuals and businesses, and the question about the taxes’ effectiveness with low energy prices.

In a report from the Parliamentary Budget Officer, Yves Giroux, it was stated that over 80 percent of Canadian homeowners in Ontario, New Brunswick, Saskatchewan, and Manitoba  would see more money from their income tax rebates due to carbon pricing, than the additional costs that they would be paying from the tax itself.

These four provinces are currently using the federal carbon tax system, as they had previously declined to establish their own provincial carbon pricing system that effectively meets the federal standards for emission reductions.

Jean-Denis Charlebois, the chief economist for the National Energy Board, has said that transitioning Canada to a low-carbon economy comes with a variety of uncertainties and challenges, and that the NEB’s latest report supplies Canadians with an overview of how the change of policies, energy markets, and technologies can affect the transition of Canada’s energy use.

For the NEB, there are three important factors involved with transitioning the country to a low carbon economy: reducing the use of carbon based energy sources within the electricity grid, adopting more efficient transportation methods, and using technological and behavioural changes to improve energy efficiency.

Improving Home Energy Efficiency Reduces Your Energy Use and Utility Bills

As an homeowner in Ontario, there has never been a better time to invest in energy efficiency improvements. With the possibility of an upcoming energy shortage in the province, and a rapidly increasing amount of global energy demand, energy efficiency upgrades have become even more desirable and effective.

By improving the energy efficiency of your home, you can reduce your utility bills and greenhouse gas emissions, and contribute towards lower emissions in Canada. Investing in energy efficiency upgrades also improves the level of comfort in your home by removing unwanted drafts, and providing a more uniform temperature throughout every room and floor. Air quality and humidity levels are also better managed with higher levels of energy efficiency, and can reduce your family’s risk of adverse health effects caused from sick building syndrome. An energy efficient home is also more desirable to homebuyers, meaning that energy efficiency improvements can also increase your home’s market value.

Additionally, a new rebate program has been put in place to help all homeowners within the Enbridge Gas and Union Gas service areas save money on their efficiency upgrades - the Home Efficiency Rebate program. With up to $5,000 of rebates available, homeowners can make upgrades that improve the energy efficiency of their home, while seeing a return on their investments even sooner.

The first step towards making any home improvements that increase energy efficiency is to have a Registered Energy Advisor conduct an energy audit (aka an energy assessment) of your home. This provides you with a complete look at how your home is performing in terms of energy efficiency, along with a list of home improvements for you to consider - ranked in terms of their cost-effectiveness. This means you can directly target the problem areas of your home, and ensure that you will see the biggest improvements per dollar of your investment.

Contact us today through our free phone consultation service and schedule a time for a home energy audit of your very own, or speak with one of our energy advisors about your home renovation and/or rebate options.