October 18, 2016
Rt. Hon. Justin Trudeau, P.C., M.P. Prime Minister of Canada
80 Wellington Street
Ottawa, Ontario, K1A 0A2
Dear Prime Minister,
My name is Jake Leguee, and I am a farmer in Saskatchewan. I am writing this letter to express my tremendous concern with your plan to impose a carbon tax on my province. I chose to publish this as an open letter so the rest of this nation has an opportunity to understand what a carbon tax could mean to other farmers like myself.
While I recognize you have environmental goals you wish to pursue, understand that the consequences of a carbon tax may be severe for my farm. Mr. Trudeau, you may not have much experience with agriculture, but let me tell you, it is an amazing career. Not only do I get to run my own business, but I get to run one that is also a way of life. I get to farm alongside my father; my mentor, business partner and friend. My sister and I are the next generation of this business, and our whole family comes together at planting and harvest to get the crop in the ground, and to put it in the bin. My son was born a year ago, and I hope someday he may have the opportunity to farm alongside me, just as I do with my father.
Farming is, at times, a difficult business. One bad weather event – one storm, one cold night, one windy day – can devastate us. If we don’t get a crop, our bills still have to be paid. And nature does not care one way or the other.
Not only do we rely on the vagarious disposition of Mother Nature, we are also exposed to the volatility of the markets and – indeed, the point of this letter – politicians.
A carbon tax has the ability to drastically increase my costs, without creating an incentive to reduce my emissions. In fact, I already have such incentives. Our farm’s move to no-till started in the late 1980’s, as many other Prairie farmers did, to reduce risk of soil erosion, increase soil organic matter, and, ultimately, increase yields. No-till (essentially means that tillage is avoided if at all possible) has been a boon for our farm, and it allows the storage of massive quantities of carbon dioxide.
As equipment changes and my farm grows, there will be a continuous need to upgrade to newer machinery. Due to the emissions laws already in place, our newer equipment has lower emissions; but that came at a cost. Emissions equipment on our tractors is faulty, unreliable, and expensive to fix. If my tractor’s emissions system has a plugged filter, it can shut down my seeding operation for hours, even days. When you have only two weeks to get your crop in the ground, this is hardly acceptable.
Adding a carbon tax to my farm’s cost of production will make it less profitable, and ultimately less competitive with my neighbours to the south and across the oceans. I can only take what price is offered to me; I cannot pass along a carbon tax to my customers. I cannot switch to electric tractors, or run all new equipment to have the latest in emissions technologies. Sometimes my field needs to be blackened to clean up sloughs from excess moisture, or to deal with high residue crops. That tillage pass already represents a cost to me, and I don’t need a tax to encourage me to avoid it.
So, let’s exempt farmers, right? Make it revenue-neutral? While that may seem a simple solution, how will you go about that? I still have to purchase fertilizer, crop protection products, fuel, machinery, and so on. If those industries are paying a carbon tax, you can bet they will pass along that cost. What about my grain buyers? If a craft beer manufacturer has to pay a carbon tax, they may have to reduce what they pay for their malt barley. That also costs my family farm.
If a carbon tax drives up my farm’s costs without creating an incentive for me to reduce emissions, why have one at all? It does not achieve the required goal of reducing emissions, and hurts my family in the process. I thought your government was going to help the middle class?
Mr. Trudeau, please reconsider your plans to impose a carbon tax on my province. You speak about working together as Canadians, of uniting us as a country. Your proposed carbon tax will be divisive, ineffective, and detrimental to Canadian agriculture. Your carbon tax will hurt my family’s ability to make a living doing what we love to do – feeding the world.