4 Figure 2: Projected job growth in B.C. by sector from 2015-2050, in a policy scenario similar to the Climate Leadership Team’s recommendations. Source: Navius Research for Clean Energy Canada.8 COMPETITIVENESS AND THE CARBON TAX The carbon tax recommendation includes five supportive recommendations to mitigate economic and affordability issues. 1. Lower the PST from 7% to 6%. 2. Mitigate competitiveness issues for emission-intensive, trade-exposed sectors. 3. Scale up the current low income and rural and northern tax credits to ensure the most vulnerable individuals and families are not adversely impacted. 4. Eliminate the PST on electricity. 5. Use additional revenues to fund technology and innovation that reduces carbon pollution. The Team’s recommendation to develop targeted support for emissions-intensive, trade-exposed sectors was intended to address competitiveness risks that could occur if B.C.’s climate policies were materially stronger than the climate policies in competing jurisdictions. The Team further recommended that any support be developed in a way that maintains the incentive to reduce carbon pollution. An example of this type of targeted support is found in B.C.’s 2014–2015 budget, which included funding to help cement facilities transition to cleaner-burning fuels.

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