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The federal price on carbon takes effect in Yukon and Nunavut July 1

Jul 1, 2019 | 2:02 AM

Starting today, the federal carbon levy will be applied in Yukon and Nunavut, while the Northwest Territories is set to implement its own price on carbon in September. 

The Yukon government says carbon emissions will be taxed at a rate of $20 per tonne for the rest of 2019, before rising each year starting on April 1 until the tax reaches $50 per tonne in 2022.

The costs of gasoline, diesel and propane will go up, while the federal carbon pricing act includes targeted relief for aviation fuel in the northern territories, diesel for electricity generation in remote communities and partial relief for greenhouse operators.

The federal carbon pricing act also includes relief for farmers using fuel in tractors, trucks and other farm machinery, as well as relief for eligible fishing activities.