Cutting emissions by 25 per cent would impose a permanent cost of about 2.0 per cent of GDP.
The plan introduces a new package of regulations including a renewable gas mandate.
A tax on businesses is paid by people who own the businesses.
The carbon tax will increase by $15 per tonne until it reaches $170 per tonne.
The higher carbon tax will cost Ontario more than 86,000 jobs and cause the province’s economy to contract by 1.9 per cent.
Combined provincial, federal deficits will grow by about $22 billion annually due to carbon tax hike
A $170 carbon tax will also cost the average Canadian worker $1,800 in foregone income.
The Trudeau government’s plan includes a target of $170 per tonne.
Ottawa raised $2.6 billion in revenue while only $1.97 billion—or 76 per cent—was rebated to households.