Federal Carbon Tax

The Federal Carbon Tax is part of the Government of Canada’s multi-year carbon pricing system. 
 
On March 15, 2025, the federal government amended regulations under Part I of The Greenhouse Gas Pollution Pricing Act (GGPPA). While the GGPPA remains in effect, the carbon charge has been reduced to $0.00/GJ, effective April 1, 2025. 

The carbon charge on natural gas is set by the Government of Canada at the following rates and effective dates:

  • April 1, 2019: $39.10 per 10³m³ (approximately $1.00/GJ)
  • April 1, 2020: $58.70 per 10³m³ (approximately $1.50/GJ)
  • April 1, 2021: $78.30 per 10³m³ (approximately $2.00/GJ)
  • April 1, 2022: $97.90 per 10³m³ (approximately $2.50/GJ)
  • April 1, 2023:  $123.90 per 10³m³ (approximately $3.25/GJ)
  • April 1, 2024: $152.50 per 10³m³ (approximately $4.00/GJ)
  • April 1, 2025: $0.00 per 10³m³ ($0.00/GJ)

*Per GJ rates are calculated using the CRA prescribed conversion rate of 1 GJ is equivalent to 26.853m3

Delivery service contract holders will see this charge plus GST on invoices, unless exempted. PST is not applicable. 

Exemptions

  • The Government of Canada outlines circumstances in which customers may be fully or partially relieved of the charge.  
  • The provincial Prairie Resilience strategy’s output-based performance standards apply to large industrial facilities in Saskatchewan. Some facilities may be exempt through this program. 
  • Upon meeting the requirements for an exemption, complete the TransGas Fuel Charge Exemption form. Submit the form, along with a copy of the applicable CRA exemption certificate,  to TransGas. You will receive confirmation from TransGas once the exemption is applied.
  • The carbon charge is not applied to exempt delivery meter volumes.

 Additional resources:

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