Saskatchewan’s challenge of the carbon tax is to be heard by the Supreme Court of Canada on Dec. 5.
The provincial government previously announced it would appeal the decision of the Saskatchewan Court of Appeal, which voted 3-2 in early May against the province’s challenge of the federal carbon tax. The date of the appeal was released Tuesday.
Saskatchewan Justice Minister and Attorney General Don Morgan said that while the province was disappointed with the split decision, it believes that the federal government has violated the constitutional jurisdiction of the provinces through the imposition of the federal carbon tax.
While Saskatchewan had hoped its case would be heard by the Supreme Court early this fall, it won’t get the chance to make its arguments until after the federal election in October.
If the Conservative Party wins the federal election, it is expected to scrap the carbon tax. Morgan said the Supreme Court could decide Saskatchewan’s challenge is a moot point and not hear it, but explained the province plans to continue with its argument if given the chance.
“We think it’s worthwhile to have better clarity as to the role of the federal government and the provinces with regard to the environment or the right to levy that kind of a tax,” Morgan told the media Tuesday at the legislative building.
While the carbon tax itself could be scrapped by then, Morgan said the province wants to continue the argument on the broader constitutional issue.
“The issue that we’re arguing is that it’s not really a tax, it’s a punitive treatment of some of the provinces,” he said. “We think it’s worthwhile to get some clarity as to their right to levy a disproportionate tax or a punitive tax.”
Morgan suggested a Supreme Court decision could be applied on any number of issues brought up in the future. Those could include health initiatives like Pharmacare or marijuana regulation and taxation, according to Morgan.
“It’s hypothetical to look at where it might go,” Morgan admitted. “We want to deal with it in the context of the carbon tax and how it affects people now, but we also want to look at it in the broader issue of if the federal government is entitled to use that tool, what else might they use it for?”
The province could take the win with a scrapped carbon tax by a possible new Conservative government in October. Morgan explained the province will risk taking a loss at the Supreme Court, because he wants clarity on the issue now and said so do the people of Saskatchewan.
“It would be significant for people in Canada to know that this was something that was not successful that was put forward by the federal government,” said Morgan.
If Saskatchewan loses the case at the Supreme Court, Morgan was asked if the province will change its message and accept that the federal government has the power to use a tool like a carbon tax.
“We’ll certainly want to negotiate, work with them, consider other options and remedies but from a legal point of view, the Supreme Court is as far as you can go.”