Alberta to keep fuel tax formula unchanged after federal excise tax pause

The Alberta government says it will not change its provincial fuel tax framework following the federal decision to temporarily suspend excise taxes on gasoline and diesel.

Prime Minister Mark Carney announced that the federal excise tax on gasoline and diesel will be suspended from April 20 to Sept. 7. According to the federal announcement, the measure is expected to lower prices by about 10 cents per litre for gasoline and four cents per litre for diesel during that period.

Alberta Finance Minister Nate Horner said the province will maintain its current fuel tax formula, which adjusts based on global oil prices. The province is currently collecting about 13 cents per litre on gasoline. Horner said the existing system will remain in place due to ongoing volatility in energy markets.

The Opposition NDP criticized the decision. Leader Naheed Nenshi said the provincial government should move more quickly to reduce costs for residents in response to affordability pressures. The Canadian Taxpayers Federation has also called on Alberta to match the federal move and provide immediate tax relief.