Federal Carbon Tax
Carbon charges and your SaskEnergy bill
As part of the federal government’s carbon pricing system, a Federal Carbon Tax applies to all fossil fuels, including natural gas, and is calculated based on the amount you use.
As a registered natural gas distributor, SaskEnergy collects the required amount each month and remit the charges to the federal government.
Amount you are charged
- The carbon charge on natural gas is a flat rate set by the Government of Canada and is part of a multi-year plan. Each year, the charge will adjust as follows:
- April 2021 → $40 per tonne ($0.0783 per cubic metre)
- April 2022 → $50 per tonne ($0.0979 per cubic metre)
- April 2023 → $65 per tonne ($0.1272 per cubic metre)
- GST applies to the tax amount. PST is not applicable.
- After the first year, the average residential customer can expect an annual increase of about $54 (or 6%).
- Commercial customers can expect an annual increase of 10%.
- Try our bill estimator to find out how the carbon charge will impact your bill.
Natural gas and the environment
- For the coldest of prairie winters, natural gas is the safest and most reliable way to heat your home or business.
- Natural gas is a fossil fuel that creates greenhouse gas emissions. It is a cleaner form of energy than other fuel options such as coal, oil, propane or electricity. In Saskatchewan, electricity is generated using a variety of sources, including coal and natural gas.
Ways to save
- Finding ways to lower the amount of natural gas you use is one way to save money and help reduce your environmental footprint.
- With the addition of the carbon charge, heating with natural gas appliances still costs less than electrical options.
- SaskEnergy Network Members offer financing to upgrade your heating equipment to an ENERGY STAR® certified model.
- Energy efficiency programs are available to assist qualifying businesses with buying and installing high-efficient natural gas equipment.
Exemptions
- The federal government determines who may be exempt from paying a carbon charge. Contact the Canada Revenue Agency (CRA) to see if you are eligible, to register and/or to download the applicable Exemption Certificate.
- SaskEnergy does not have the authority to apply for an exemption on your behalf.
- Once you have completed CRA requirements, apply for a Fuel Charge Exemption.
Additional Resources and Links
- Government of Canada - Pricing Pollution
- CRA Prairie Region (contact centre) - Excise Duties and Taxes
- Government of Saskatchewan - Climate Change Strategy
- Government of Saskatchewan - Federal Carbon Tax
- SaskPower - Federal Carbon Tax