A controversial tax credit meant to help jump-start carbon capture projects could cost $1 billion more than the federal government estimated, says the independent parliamentary budget watchdog.
In several federal budgets, Finance Canada forecast that the carbon capture, utilization and storage (CCUS) investment tax credit would cost $4.6 billion between 2022-28. The Parliamentary Budget Officer now estimates the CCUS investment tax credit will cost $5.7 billion.
Carbon capture has been proposed as a way for the oil and gas industry to continue production without driving climate change. While the government has not made carbon capture mandatory for heavy industry, it has been
