Finance Minister Nate Horner announced Alberta’s 2024/25 budget plan on Thursday, expecting to spend $73.2 billion this upcoming fiscal year.
The budget will prioritize healthcare and K-12 education, earmarking more than $26 billion, and over $9 billion respectively.
Another $24 million is reserved for new private schools over the next 3 years, which the UCP said will increase “the province’s support for parental choices.”
Rising taxes for Albertans, including electric vehicle owners
The minister announced that taxes will be increased for cigarettes and smokeless tobacco. However, Horner said that “Alberta still has the lowest taxes on cigarettes in western Canada.”
As vaping becomes a “serious public health issue in Alberta,” according to Horner, he said that the province will join the federal-provincial coordinated vaping tax framework.
Starting next year, electric vehicle owners will now be taxed $200 annually.
“Since EV drivers obviously don’t pay a fuel tax, this tax will be their contribution to keep provincial roads maintained and to support other public services,” Horner stated.
“This tax rate is in line with the estimated annual fuel tax paid by the driver of a typical internal combustion vehicle in Alberta,” he added.
Investing in transit, safety, and emergency relief
To address safety concerns of Albertans, the budget includes investing in 100 street-level police officers for Edmonton and Calgary in locations where crime and violence are considered high.
$955 million will go towards road infrastructure in Edmonton and Calgary including construction for highways, streets and pedestrian safety.
As well, $877 million will be set aside for Edmonton’s LRT system.
The province has allocated $2.9 billion for natural disasters and emergencies, $264 million of which is to be reimbursed through the federal government.
An extra $2 billion will be reserved for the province’s Heritage Savings Trust Fund, which currently sits at $25 billion.
Former NDP leader Rachel Notley commented on X that “the UCP is failing Albertans in the key areas of health care, education and affordability,” calling the budget a “litany of broken promises that leaves Albertans worse off than they already are.”
