Freeland promises to consult Canadians on alternatives to consumer carbon pricing

Liberal leadership contender Chrystia Freeland vows to scrap Canada’s consumer carbon pricing regime in favour of alternatives to be developed through wide-ranging consultations.

In a policy statement issued Saturday, Freeland also says she is committed to meeting Canada’s climate targets by reducing pollution from the biggest emitters, helping people cut their energy bills and building reliable electricity grids.

Freeland says her plan will build durable, lasting climate progress without making Canadians pay the cost.

She promises to work with provinces and territories, labour leaders, experts, industry, Indigenous Peoples and others to find viable alternatives to consumer carbon pricing.

Leadership rival Mark Carney has also promised to dispense with the consumer-facing carbon price in favour of other measures, saying the country has become polarized over the policy due to misinformation.

The Liberals will choose a new leader to succeed Prime Minister Justin Trudeau on March 9.

Freeland was unavailable Saturday for an interview on her climate plan.

In the statement, Freeland says a government led by her would ensure the biggest polluters pay, and that their means of reducing emissions, like carbon credit markets, work properly.

She also pledges to improve building codes to accelerate green construction and to support investments in renewable power, such as wind and small modular nuclear reactors.

Switching to less carbon-intensive technology for heating and transportation cuts Canadians’ bills and emissions, but it comes with upfront costs, Freeland acknowledges.

“I will offer rebates to help you improve your home’s energy efficiency, with better insulation, solar panels, or a heat pump,” Freeland says in her statement.

Freeland also promises support to help people buy a hybrid or electric vehicle, with the exception of cars made by Tesla — a company led by Elon Musk, who has become an adviser to U.S. President Donald Trump.

Trump has been openly antagonistic toward Canada, threatening widespread tariffs on Canadian products.

Freeland also says Canada needs to keep up with growing demand by “supercharging” its clean electricity production, breaking down electricity distribution barriers and reducing red tape to get big projects built.

“My government will prioritize working with provinces and territories to build interprovincial transmission, for a more interconnected grid across Canada.”

This report by The Canadian Press was first published Feb. 22, 2025.