DIEPPE, NB – New Brunswick’s 2015-2016 budget will hit Atlantic truckers’ pocketbooks with a 2.3-percent tax hike on diesel.
New Brunswick’s deficit budget was released March 31 and the higher gas and diesel tax is effective as of midnight April 1, 2015.
Atlantic Provinces Trucking Association Executive Director Jean-Marc Picard said: “aside from British Columbia, we have the highest diesel tax in the country and it will have a devastating impact on every consumer as they will pay more for their goods going forward.”
“This actually puts our industry at a competitive disadvantage to carriers from other provinces and will change the landscape of the trucking industry in New Brunswick,” Picard said.
The tax on unleaded gasoline will rise by 1.9 cents a litre and 2.3 cents a litre for diesel, adding $28.2 million for government annually. New Brunswick will now have the same gasoline tax rate as Nova Scotia, according to reports.
Picard commented: “Year after year, the trucking industry is creating jobs in this province but today companies might have to look at slashing jobs as it is becoming very expensive to run a trucking company in this province.”
The trucking industry employs over 20,000 in the province of New Brunswick, not including drivers and generates about $3-billion each year.
“The Gallant government is not seeing the big picture of our industry and the long term impact this will have on the economy. No real cost cutting was done in this budget which is very disappointing because that should be the priority for our government”.
According to APTA, New Brunswick now has the second highest diesel prices in the country, from 19.2 to 21.5 cents per litre.