Chilliwack/Langley – Chilliwack, Langley and other jurisdictions are calling on Ottawa and Victoria to take action on the burden of gas taxes and the cost to the economy overall, but more important, to the average consumer and business.
Leanna Kemp, Executive Director for the Chilliwack Chamber of Commerce, provided a copy of that letter to FVN which reads in part:
The Chilliwack Chamber of Commerce is calling on the Provincial and Federal government to take immediate action on high fuel prices by suspending nearly 30 cents per litre in fuel taxes.
As inflation hits a nearly 40- year high of 7.7% in Canada, fuel prices in the lower mainland have increased by 25-30% this year, averaging over $2.10 per litre for gasoline.
The agriculture industry is an industry that is high-risk and carries low margins, but is a staple required for the health of our citizens and our economy. Our farmers not only support local citizens with food and health, but also ship their products countrywide and international.
The federal excise tax represents 10 cents/litre and the Provincial non-TransLink motor fuel tax is 8.5 cents/litre with the 5% GST then applied to the after-tax price at the pump. This is approximately 29.5 cents a litre in potential savings for consumers, specifically saving nearly $15 per fill-up for the average vehicle.
The Provincial and Federal governments have an immediate opportunity to help businesses, citizens, and non-profits afford to function in this turbulent economy. More resources in the hands of the consumers, including businesses and non-profits, means more dollars infused into our local economy.
This is not a novel idea. Other Canadian provinces, several US states, and many other countries around the world have already provided this relief. BC and Canada need to do this, just to remain competitive.
Kemp told FVN that the intention is to kick start action, rather than an ongoing dialogue.
