In a 3-2 decision, the Saskatchewan Court of Appeal has ruled that the federal carbon price backstop is not only constitutional, but it also qualifies as a regulatory charge and not a tax, which means that the way it’s being applied is also constitutional. Predictably, Scott Moe has vowed to take this to the Supreme Court of Canada (and a 3-2 decision made this a certainty if the political element wasn’t there already), while Catherine McKenna, predictably, called it a victory for the planet.

This is a crucial paragraph, at least for me. pic.twitter.com/1BeatAvwLO

— Andrew Leach (@andrew_leach) May 3, 2019

In terms of analysis, here is the long thread from economist Andrew Leach’s reading fo the decision, and his commentary on what the dissenting judges got wrong is particularly illuminating. As well, economist Lindsay Tedds’ wheelhouse is the whole difference between taxes and regulatory charges, so she has some comments here. I would note that the majority decision is going to be some of the precedent that Ontario’s Court of Appeal will look at as they’re drafting their own ruling on the Ontario reference, and if New Brunswick, Alberta, and Manitoba proceed with their own challenges, it will help to inform them as well. But with it headed to the Supreme Court of Canada – as Ontario’s will inevitably as well, and everyone knows it – it may not make any more sense for those other provinces to carry on their own challenges as it’s unlikely that they’ll make any more novel arguments, and it would seem to be swifter for all involved to let the SCC process happen sooner than later (though it certainly won’t happen before the next election, and there is a hope among opponents that a Conservative win will render the whole issue moot if they scrap the federal law beforehand).

Jason Markusoff notes that while the court victory is a modest win for the Liberals, the continued carbon tax crusading by Kenney and Ford isn’t winning them much applause from the blue-chip Toronto corporations that they’re looking to attract with their “open for business” shtick. (Here’s a hint: Stop creating uncertainty by cancelling established environmental plans and creating political risk by cancelling projects and immunizing yourselves from litigation). Andrew Coyne, meanwhile, asserts that the ruling is a victory for common sense – as well as the planet.

Good reads:

• While Chrystia Freeland was meeting with members of the Lima Group over the situation in Venezula, Justin Trudeau was reaching out to Cuba’s president over it.
• Catherine McKenna is warning that Canada’s sluggish movement in tackling climate change could put the European trade agreement in jeopardy.
• The federal government announced that employers will be required to provide menstrual products for women in federally-regulated workplaces.
• The government will lift some of the retaliatory tariffs imposed on US goods because of the steel and aluminium tariffs, in particular on US-built boats.
• The Director of Public Prosecutions is looking to hobble SNC-Lavalin’s attempt to get a judicial review of her decision not to grant them a remediation agreement.
• Here’s a look at the issue of two Indigenous groups looking to assert title rights over parts of Lake Huron and Georgian Bay.
• Here’s a look at the Alzheimer’s Society reconsidering their previous position on advanced directives for medical assistance in dying.
• There was some Senate drama as the attempt to study the Double-Hyphen Affair was derailed by a request to get Duffy-era allegations into the mix.
• Outgoing Liberal MP Andrew Leslie will testify in VADM Mark Norman’s defence, which has everyone’s tongues wagging.
• The Conservatives’ report into how they vetted Rick Dykstra amid sexual assault allegations was finally released, and showed they didn’t really vet him. Oops.
• Maxime “I don’t want racists in my party” Bernier has been mixing with “Yellow Vesters” at a Toronto event.
• The Canadian Press’ Baloney Meter™ tests the thesis that the flooding we’re seeing is as a result of climate change.
• Chantal Hébert describes the rudderlessness of the Liberals, whose only election message seems to be the necessity to keep the Conservatives out of power.
• Colby Cosh takes a deeper look into that recent article about how Trudeau’s French apparently drives Quebec columnists crazy.
• Alan Freeman explores the need for federal and provincial politicians to stand firm in getting people to relocate from flood plains in the wake of increasing risk.
• Kevin Carmichael looks at Canada’s problem with complacency as a reason why we’re not so great at productivity – we got too rich too easily.
• Paul Wells suggests that perhaps Trudeau’s best shot in the next election is to run against himself. (Read it – it does make sense).
• My weekend column raises some red flags around MP Frank Baylis’ proposals for reforming the Standing Orders of the House of Commons.

Odds and ends:

Jason Markusoff looks at the use of political handshake photos, and how frame selection is used to illustrate narratives.

Want more Routine Proceedings? Become a patron and get exclusive new content.