OFA outlined concerns to Federal Finance Minister Bill Morneau regarding proposed refinements to the Federal Carbon Pollution Pricing System (CPPS) to Expand Relief of the Fuel Charge for Farmers to include card lock delivered fuels. OFA recommends that the Federal Ministry of Finance include retail purchased fuels. Many farm operations do not have reasonable access to competitively priced farm fuels through a fuel supplier or a cardlock facility, due to regional constraints, competitive retail prices vis-a-vis wholesale, safety and security concerns or poor experiences with on-farm fuel tanks. It is also not practical for all farm scales to have large on-farm fuel containers. The Ontario Federation of Agriculture recommends the federal government extend the definition of making a fuel available to include retail service stations.
OFA recommends that the agricultural sector have an across-the-board exemption from the Federal CPPS given the proven trade-exposure, threats to competitiveness, and threats to food security. In proposing a complete exemption, we considered the risks of carbon leakage to agricultural production. We also considered the areas farmers still pay the carbon charge passed on by primary input suppliers of fertilizers and crop treatments, containers and packaging, and by transporters of inputs to farms and commodities to market.