Although the federal government has indicated that it intends to continue with the industrial carbon pricing, the federal fuel charge (FFC) will cease to apply and provinces and territories will no longer be required to have a consumer-facing carbon price in place as of that same day. As a result, the FFC no longer applies to various fuel products and combustible waste, and related filing obligations are also eliminated, effective April 1, 2025.
In light of these changes, these affected businesses may want to review their systems, agreements and invoicing processes to determine any required actions related to the elimination of the FFC. These businesses should also consider the impact on their reporting obligations, including on their FFC registration requirements, their FFC returns for reporting periods that begin after March 31, 2025 and certain non-registrant obligations. As a result of the elimination of the FFC, certain provinces and territories have also announced consequential changes to effectively remove or cancel their carbon pricing measures.
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