PEI not going to rebate diesel taxes

CHARLOTTETOWN — P.E.I. Premier Robert Ghiz dismissed suggestions this week that the province should cut the fuel tax on diesel to provide relief to trucking companies and small businesses struggling with skyrocketing fuel prices.

Ghiz said the move would cost the province about $3 million a year.
The province has already cut the tax on gasoline by 4.4 cents, but Conservative MLA Mike Currie said the price of diesel is what impacts most businesses.

P.E.I. is an export-based province and products have a long way to go to get to market. He said the government should provide fuel rebates to shippers in order to keep them competitive.

The premier responded by saying it’s something the government can’t afford this year.


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