Teck signage in Elkford, BC. (Soranne Floarea / The Free Press)

Top mining body in BC adds changes to carbon tax to wishlist

The Mining Association of BC says BC miners are disadvantaged

The Mining Association of BC (MABC) has called for changes to the provincial carbon tax to “level the playing field” for mining operators in British Columbia to compete with operators globally and kick-start the economy post-pandemic.

The MABC, of which local operators Teck and North Coal are members, has released a paper that it said found BC operators to be at a “significant competitive disadvantage” to international competitors that operate in jurisdictions without carbon taxes or emissions-trading schemes, saying that as a result, higher prices for BC commodities meant there was a risk of “carbon leakage” – being where buyers source materials from cheaper locations with less robust environmental policies.

“BC is the only jurisdiction in the world with a robust carbon pricing regime that provides essentially no support to its energy intensive trade exposed industries, such as mining. As a result, the risk of carbon leakage from BC is real,” said the MABC release.

MABC president and CEO, Michael Goehring said that BC needed a carbon tax that protected the environment and jobs at the same time.

“While BC is a leader in climate action, all our competitors either have no carbon tax or protect their mining sectors from the impacts of carbon pricing. This adversely impacts our ability to compete and succeed globally, hurting workers and mining communities,” he said.

The MABC said in its report that it was asking for more support for mining companies while retaining the carbon tax by modifying how the existing Clean BC Industrial Incentive Program (CIIP) was applied to carbon taxes paid. The CIIP provides refunds to operators based on their emissions intensity.

In the report, the MABC acknowledges that when the carbon tax was introduced in 2008, “it was assumed many other nations and sub-national jurisdictions would follow with their own. Most have not.”

Instead the association argues that those competitor jurisdictions have moved to protect their operators, leaning on what it admitted was anecdotal evidence that “the carbon tax is already contributing to a shift in capital investment and carbon leakage.”

Coal represented over $6.7 billion in exports for BC in 2019 – over 15 per cent of total exports that year. While the MABC report said that commodity exports were a large part of BC’s economy, the buyers were less enamored, hence the risk of losing customers and “carbon leakage.”

“While mining products constitute a major part of BC’s exports, they account for only a relatively small amount of mining products purchased by BC’s customers through the global marketplace.”

READ MORE: Clear water: Teck water treatment facility nears completion



scott.tibballs@thefreepress.ca
Like us on Facebook and follow us on Twitter

mining

Get local stories you won't find anywhere else right to your inbox.
Sign up here

Just Posted

A man wearing a mask against coronavirus walks past an NHS advertisement about COVID-19 in London, Tuesday, Feb. 2, 2021. (AP Photo/Alastair Grant)
92 new COVID-19 cases, no new deaths: Interior Health

The region is reporting 92 cases after the weekend

Island Health chief medical officer Dr. Richard Stanwick receives a first dose of Pfizer vaccine, Dec. 22, 2020. (B.C. government)
COVID-19: B.C. seniors aged 90+ can start to sign up for vaccination on March 8

Long-term care residents protected by shots already given

Real estate has been moving very briskly in Kimberley since last summer. Bulletin file
Hot Kimberley real estate market leads to tightened inventory

Real estate sales in the entire Kootenay region have been brisk for… Continue reading

A dose of COVID-19 vaccine is prepared at a vaccination clinic in Montreal’s Olympic Stadium on Tuesday, Feb. 23, 2021. THE CANADIAN PRESS/Paul Chiasson
39 new cases of COVID-19 in Interior Health region

The total number of cases in the region since the pandemic began is now at 7,334

Langley resident Carrie MacKay shared a video showing how stairs are a challenge after spending weeks in hospital battling COVID-19 (Special to Langley Advance Times)
VIDEO: Stairs a challenge for B.C. woman who chronicled COVID-19 battle

‘I can now walk for six (to) 10 minutes a day’

Provincial health officer Dr. Bonnie Henry updates B.C.’s coronavirus situation, May 8, 2020. (B.C. government photo)
B.C.’s weekend COVID-19 cases: 532 Saturday, 508 Sunday, 438 Monday

Fraser Health still has most, eight more coronavirus deaths

Vernon’s Noric House long-term care facility’s COVID-10 outbreak has been declared over by Interior Health. (Jennifer Smith - Morning Star)
COVID outbreak at Vernon’s Noric House declared over

10 deaths were linked to the outbreak at long-term care facility

Cannabis bought in British Columbia (Ashley Wadhwani/Black Press Media)
Is it time to start thinking about greener ways to package cannabis?

Packaging suppliers are still figuring eco-friendly and affordable packaging options that fit the mandates of Cannabis Regulations

B.C. Attorney General David Eby speaks in the legislature, Dec. 7, 2020. Eby was given responsibility for housing after the October 2020 provincial election. (Hansard TV)
B.C. extends COVID-19 rent freeze again, to the end of 2021

‘Renoviction’ rules tightened, rent capped to inflation in 2022

Face mask hangs from a rear-view mirror. (Black Press image)
B.C. CDC unveils guide on how to carpool during the pandemic

Wearing masks, keeping windows open key to slowing the spread of COVID-19

Churches, including Langley’s Riverside Calvary Church, are challenging the regulations barring them from holding in-person worship services during COVID-19. (Langley Advance Times file)
Gas prices jumped in Golden to 131.9c this week, a trend that's supposed to continue into the summer. (Claire Palmer/Golden Star)
Columbia River-Revelstoke MLA Clovechok concerned as gas prices continue to rise

Fuel prices are supposed to skyrocket this summer as British Columbians await BCUC analysis

The area shaded in yellow was purchased last year by the Regional District of Central Kootenay. The purple area is the current purchase. Map: Submitted
Cottonwood Lake fundraiser reaches goal

The Nelson community group has raised $400,000 to purchase 40 hectares of forest

Most Read