A former mayor of St. John’s, who has also been involved in the consumerism movement regarding fuel prices over the years, believes the provincial government made a grave mis-step on Thursday when it chose to limit eligibility for a subsidy for those who heat their homes with oil.
The province doubled the oil supplement to $1,000 from $500 but left the total household income threshold at $150,000. The electricity rebate of 15 per cent applies to all, regardless of income.
Affordability will likely be one of the main issues in the House of Assembly fall sitting, which begins tomorrow.
Doc O’Keefe says food, medicine, and heat should all be considered essential and, therefore, tax free. Food and medicine are not taxed but heating fuel, including electricity and oil, is.
“Those in Confederation Building must know that they’re cutting out 40,000-50,000 homes that heat by oil. Who would allow that to happen, then say ”I’m doing this for all of us’.”
He says a lot of people will not qualify.
