Agriculture and agri-food processing is a significant driver of Manitoba’s economy. In 2020, primary production and food manufacturing accounted for 6.9 per cent of Manitoba’s GDP and provided 40,830 jobs in Manitoba. Beyond producing food, farmers are also caretakers of the natural landscape and implement sustainable farming practices to ensure a viable agricultural industry for future generations.
Farmers adopt and utilize modern techniques and systems aimed at reducing their carbon footprint, and they are invested in increasing the health of the soil and the health of the land and water critical to their crops and livestock. Despite progress in reducing emissions intensity and providing ecological goods and services, farmers are still subject to carbon pollution pricing on fuel used in grain dryers and for heating and cooling barns.
Farmers rely on natural gas and propane to operate grain dryers and to heat and cool barns. These fuels are an operational necessity and farmers generally do not have access to alternative energy sources. Farmers are price-takers, unable to dictate prices as participants in the global marketplace. As a result, they cannot recover increased fuel costs.
To maintain profitability and competitiveness under carbon pollution pricing, KAP supports a full exemption on all direct emissions from agricultural production, including marked fuels, biological emissions and fuels and utilities used to heat and cool barns, greenhouses and operate grain dryers.
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