Monday, April 27, 2009

Black Liquor Tax Credit To Stay For Now

The American paper lobby gets to keep its alternative tax credit loophole for the time being. At least the federal government is trying to have to loophole closed South of the border, unlike the position of the federal NDP, which seems to want a matching rebate on this side.

As I've written previously, the loophole gives pulp and paper companies a subsidy for adding diesal to a clean/green fuel alternative fuel mixture, thereby actually increasing CO2 emissions. They're being paid to pollute.

And our once green NDP. Well, those were the old days, man.

Update: NDP forestry critic John Rafferty will be introducing a private member's motion "to negotiate an end to the unfair ‘Black Liquor’ subsidy in the US before June, or otherwise implement a similar regime in Canada." Negotiating an end to the subsidy is fine. Giving pulp and paper companies money to make their own processes less environmentally efficient is crazy.

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