The Senate resolved into a Committee of the Whole in order to receive the Honourable François-Philippe Champagne, P.C., M.P., Minister of Finance and National Revenue, accompanied by at most two officials, to examine the subject matter of Bill C-38, An Act to amend the Excise Tax Act (extension of the federal fuel excise tax relief)

Senator Gerba: Welcome to the Senate. I’m going to continue in the same vein as my colleague. I’d like to know why the government opted for broad-based tax relief for all consumers rather than targeted support for the households most affected by rising fuel costs. What was the logic or analysis behind that decision?

Mr. Champagne: Thank you for your question, senator. This relief affects energy costs for various industries, but the impact is being felt by everyone, albeit to varying degrees. I think that, in this case, it is a direct, immediate and targeted measure, because we’re suspending the excise tax on fuels. It’s a quick way to help citizens when they need it.

Energy costs affect different industries, and I think it was important to have a horizontal measure that’s universal. Twelve million Canadians received the Canada Groceries and Essentials Benefit. That program was even more targeted because we knew there were people who needed it. We’re trying to make up for the excessive food inflation since the COVID-19 pandemic. That’s why we provided a top-up for one year and then increased the benefits for the next four years. We’re implementing different measures for different issues.

My message to Canadians today, on the subject of housing, the cost of food and the price of gas, is that we’ve taken action on all three of those issues to support Canadians. We’re also taking action in a very targeted way with measures like the National School Food Program. That program helps the children who need it the most.

In terms of energy, it is more of a cross-cutting measure, and one that has been widely welcomed by several countries. They have recognized that Canada is able to offer this support in the current context because it has the fiscal capacity to do so, enabling it to provide immediate relief by suspending the tax.

The Chair: Thank you.

Senator Gerba: Will the government publish data that can be used to assess the impact the bill has had on gas prices and transport costs?

The Chair: Thank you, senator. I am certain the minister can answer your question at a different time. We will move on to the next block.