Farmers wait as bill on carbon pricing exemption remains with the Senate

Canadian farmers are expecting to pay more to heat their barns and dry crops after a bill that would have exempted natural gas and propane from aspects of the carbon pricing scheme remains in the Senate.

Canadian farmers are expecting to pay more to heat their barns and dry crops after a bill that would have exempted natural gas and propane from aspects of the carbon pricing scheme remains in the Senate.

The House of Commons passed Bill C-234 in March, with the support of the opposition Conservatives, NDP, Bloc Quebecois and Green Party along with a few Liberal members.

The private member's bill would exempt farmers from paying the carbon price on natural gas and propane used for farming activities such as heating barns, drying grain, preparing feed and irrigation.

Farmers had already been exempt for gasoline and light fuel oil costs used in tractors and trailers.

However, the Senate is still reviewing Bill C-234, which did not pass before the start of the summer recess, leaving it unaddressed until the fall at least.

"It's definitely more money out of our pockets," Chuck Fossay, a farmer from Starbuck, Man. and president of the Manitoba Canola Growers Association, told CTV National News. "Makes us less competitive in the international market."

With thousands of farmers impacted, Fossay says some crops need to be dried in order to maintain their quality, particularly during a wet fall.