N.B. government to remove the cost of carbon adjuster Dec. 1

The New Brunswick government is getting rid of the carbon adjuster in December.

Effective Dec. 1, the carbon adjuster will be removed at New Brunswick gas pumps, which is around eight cents a litre today.

Premier Susan Holt had promised during the 2024 election campaign that, if elected, her government would end the cost of the carbon adjuster. The charge is in place to cover the cost of clean fuel regulation rather than it being passed down to retailers.

Holt sat alongside Finance Minister René Legacy and Natural Resource Minister John Herron to make the announcement, saying the promise was kept to make life more affordable for New Brunswickers.

“We have done our due diligence...we’ve given everyone time to be heard,” she said. “We will continue to make sure the EUB does their job.”

There’s been concern from fuel retailers on what the removal could do to their bottom line.

New Brunswick fuel retailers provided a joint statement on the move, saying this could “threaten the closure of up to 25 per cent of gas stations, especially independent retailers that serve rural and remote areas.”

“[T]he carbon pricing adjustment reflects costs mandated by federal regulation. Our industry has worked closely with both the government and the New Brunswick Energy and Utilities Board (NBEUB) to put forward practical solutions that would create a more balanced and transparent way to reflect these costs for New Brunswickers,” the statement read.

The adjuster came into effect in 2022 to cover those costs from the federal clean fuel regulations. Legacy said the EUB has the ‘tools and ability to consider legitimate cost pressures and make fair, evidence-based adjustments through its established, transparent process.’

Holt said it could save an average N.B. family $150 to $200 a year.

Holt was also asked if her government was considering doing away with price regulation altogether, to which she said it’s something they’re still considering.

For more New Brunswick news, visit our dedicated provincial page.