Bill would add propane and natural gas to fuels exempted from carbon tax for farmers.Ottawa—Debate on a bill that would make propane and natural gas used in farming activities exempt from the federal carbon tax has started in the Senate.If its sponsor Senator Diane Griffin can keep it going after the Senate reconvenes in late April, the bill could put a lot of pressure on the federal government to fix a glaring inequity in the carbon tax regime.Griffin, who was chair of the Senate agriculture committee in the last Parliament, isn't opposed to the carbon tax. “My bill seeks to treat all farmers equally, regardless of the crops they grow or the livestock they raise. It does this by adding propane and natural gas to the list of exempted fuels. Additionally, it removes the carbon levy on any machinery that is used to heat or cool a farm building.”There appears to be sufficient support for her measure in the Senate that it will at least be referred to the committee for further study, which would enable farm groups to explain the impact the tax has on their members for a government that doesn't seem able to understand it.Or the Senators could pass the bill and send it to the Commons for approval. That could force the government to finally explain why propane and natural gas weren't exempted along with the other farm fuels.Griffin reminded the Senate that the agriculture committee called in 2018 for the same changes because taxing the two fuels has “a negative impact on competitiveness for producers and on food affordability for Canadians.“At present, farmers who use propane or natural gas to dry their grains are at a disadvantage. For these farmers, grain drying is not an optional activity. Similarly, poultry or pork farmers who must heat their barns also have no other option.”While she says the carbon tax's goal of reducing greenhouse gas emissions is laudable, “when this premise is applied to farming, there is a disconnect between the policy and the outcome. Farmers have no choice but to dry their and heat their barns and “are simply paying another tax.”She criticized Agriculture Minister Marie-Claude Bibeau for saying she didn't have the business case or data to justify an exemption and the tax was not a significant factor.Numerous farm groups have explained the burden the tax causes farmers. Griffin pointed to a recent study by the Agricultural Producers Association of Saskatchewan, which said farmers will lose 8 per cent of their total net income in 2020 due to the carbon tax. “In two years, when the tax increases, that figure is projected to grow to 12 per cent of their net income. This translates to a dollar figure of between $13,000 and $17,000 in direct and indirect carbon taxes for a 5,000-acre farm in 2022.“The concerns of farmers and the agricultural sector are real. We have seen the negative economic impacts on their sector, with rail strikes, blockades and inclement weather.”If agrifood is to achieve $75 billion in exports by 2025, the government has to ensure the sector's competitiveness, she said. “Part of the solution is increased innovation. However, farmers are price-takers, not price-makers, in a global market. They're telling us that the carbon tax is affecting their competitiveness. “We must work collaboratively so that farmers are recognized for their environmental stewardship and to achieve the government's twin goals of mitigating climate change and increasing the agri-food sector's competitiveness.”Alex Binkley is a freelance journalist and writes for domestic and international publications about agriculture, food and transportation issues. He's also the author of two science fiction novels with more in the works.