March 18, 2024 - Other News
Carbon Tax Relief Not for All Homeowners
CCI North Saskatchewan has received many questions concerning the carbon tax collection on Energy Bills from Condominium Corporations where one Boiler with one meter is used for heating the entire building including units and common areas. They have not been given the credit for carbon tax.
Here is one letter sent to Honourable Dustin Duncan February 16,2024 and the reply.
Dear Honourable Dustin Duncan,
I am writing to bring to your attention a matter of concern regarding the recent decision to credit the carbon tax to residential customers in Saskatchewan, effective January 1,2024. While this decision is undoubtedly beneficial for individual homeowners, it overlooks an important segment of our community- some Condominium Corporations.
As you are aware, Condominium Corporations are composed of multiple residential units that function under a collective governance structure. Despite their residential nature, Condominium Corporations are often classified as commercial entities due to their organizational structure.
However, it's crucial to recognize that the residents within these condominiums are ultimately the ones bearing the costs associated with utilities and services provided by the corporation.
The decision to credit the carbon tax to residential customers acknowledges the financial strain many individuals face due to rising energy costs. You are quoted as saying, "Our position will be that this is about fairness for Saskatchewan families and if it's fair for one part of the country to not have to pay the carbon tax, then it should be fair for us here in Saskatchewan as well...". Similarly, residents living in condominiums experience the same burden, if not more, as they collectively contribute to the operating expenses of the corporation. By extending the carbon tax credit to (all residential) Condominium Corporations, the government can alleviate some of the financial pressure faced by these residents.
Therefore, I respectfully request that you reconsider extending the carbon tax credit to Condominium Corporations, recognizing them as residential entities comprised of individual homeowners. This extension would ensure fairness and equity in the distribution of benefits while supporting our collective efforts towards a non-carbon tax future.
Thank you for considering this important matter. I am confident that your leadership and vision will guide us towards a solution that benefits all residents of Saskatchewan, including those living within Condominium Corporations.
On behalf of the Board of Directors
The response received March 6,2024 :
We have received and thank you for your email regarding the carbon tax.
For condominium and apartment complexes with single meters that are billed to the landlord, the account would fall within SaskEnergy’s commercial customer class, and the Federal carbon tax continues to apply. These accounts often consume gas for the purposes above and beyond home heating such as heating shared spaces such as pools, hot tubs, saunas, fitness centers, parking garages, etc. To maintain consistency with the Federal Governments home heating oil exemption, we are not removing the carbon tax from these types of accounts. Further, if the carbon tax were removed from these bills, the savings would be realized by the corporate entity that pays the bills and our government would not be able to ensure the savings are passed on to the people living in these units through reduced condo fees or rent.
The solution to providing relief for these customers would be for the Federal Government to scrap the carbon tax on everyone and everything.
Constituency Assistant for the
Honourable Tim McLeod, MLA - Moose Jaw North and
Minister of Mental Health and Addictions, Seniors and
Rural and Remote Health
Note: This response fails to address the fact that single family homeowners bills may also heat garages, hot tubs, pools and fitness rooms or home theatres as it is part of their home.
It also fails to recognize that condominium owners are not like tenants in an apartment who pay rent to a landlord. It almost seems that despite being a government employee, they do not know the difference between a built for profit and a non profit form of ownership.
A condominium owner owns their unit and pays their share of all expenses together with the other owners whether it is for the garage, community room, pool, hallway, etc. The corporate entity is made up of all the owners and savings or increased costs of condo fees are shared and passed on to the people living in these units. As a Legislated form of ownership under the Saskatchewan Condominium Act 1993 with ammendments, all owners pay for all expenses. All savings in expenses benefit all owners.
Please note the topic will be discussed at our CCI North Saskatchewan board meeting March 27, 2024.
If you wish to comment or discuss this issue, please email us at: northsaskatchewan@cci.ca