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Green Trucking: CTA’s Eco-Forward Initiatives

In its pre-budget proposal, the Canadian Trucking Alliance (CTA) has put forth a series of recommendations aimed at curbing emissions within the trucking industry. These recommendations include amendments to federal policies and the extension of key incentive programs, all designed to support fleets in transitioning away from diesel fuel dependency.

Key proposals from the CTA include:

  • Support for Emerging Technologies: The CTA advocates for increased funding to test emerging and zero-emission technologies, such as those involved in the Alberta Zero Emission Truck Electrification Collaboration (AZETEC), and transitional technologies like renewable natural gas (RNG). This would provide the trucking sector with valuable, low-risk experience in adopting new technologies.
  • Revival of the Federal Excise Tax Refund: The CTA urges the reinstatement of the Federal Excise Tax (FET) refund for technologies that reduce truck idling, thereby saving fuel. This refund previously supported the use of auxiliary power units that allow drivers to heat or cool their cabins without running the main engine. The CTA also highlights issues with the taxation of Power Take-Off (PTO) units, arguing that fuel used by PTOs, which power additional equipment, should not be taxed in the same way as fuel used for propulsion.
  • Clarification on Carbon Taxation: The Alliance is calling for fairness in carbon tax policies, asserting that the current carbon tax system does not incentivize emission reductions in the trucking industry. Additionally, the Quebec Trucking Association has brought attention to the problem of double taxation affecting local trucking firms.
  • Enhanced Environmental Incentive Programs: The CTA emphasizes the importance of ongoing support for programs like Natural Resources Canada’s (NRCan) Green Freight Program. It suggests modifications to the program to facilitate the adoption of aerodynamic and other fuel-saving technologies by fleets.

Lak Shoan from the CTA stated, “Our environmental proposals offer a realistic, gradual approach to emission reduction, capable of delivering immediate environmental benefits and supporting fleets in their green transition.”

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