Carbon tax to rise by 50 per cent

British Columbia's carbon tax will increase by 50 per cent on Wednesday, marking a full year since the measure was introduced, and delivering on a promise to increase the tax each July 1 until 2012.

The increase will bring the tax to $15 per tonne of carbon-dioxide emissions, meaning the amount charged on a litre of gasoline will rise to 3.51 cents from 2.34.

Finance Minister Colin Hansen said Monday that as the tax heads into its second year, he thinks it is "as fair as it could be structured," and that while the government continues to fine-tune its approach to climate change, no one is going to get a free ride on the carbon tax.

"We're working with different groups," Hansen said. "We've got sector industry working groups looking at the impact of the climate action agenda and how we can best meet the needs of those particular sectors."

He said he is willing to consider new incentives in certain areas if needed to encourage the use of energy-efficient appliances.

"What's not on the table is the wholesale tax exemption," Hansen said.

The opposition New Democratic Party ran in the last election on a promise to scrap the carbon tax, but has since acknowledged it is now here to stay.

"The opposition recognizes the government has a four-year mandate," Rob Fleming, the NDP's new critic for the environment, said Monday.

"The entire carbon tax will be implemented over this term of government," Fleming said.

But, he added, the tax still needs to be improved.