"This issue has great ramifications for Atlantic Canada," said Mr. Grimes. "The Federal Environment Minister has floated the idea of an extra federal environment tax on gasoline to fight smog and other emission related pollution. I would suggest to Premier Williams and the other Atlantic Canadian Premiers that now is the time to discuss this issue and present a united front against this potential tax increase.

"Atlantic Canadians should not have to pay extra taxes to reduce smog in bigger cities such as Toronto and Montreal. If the federal government is planning to give municipalities money from the GST portion of the gas tax and then add another tax to offset these costs, the end result is a tax increase to the consumer.

"Premier Williams should be vigilant and fight this potential increase. The first step in this process would be to convince our Atlantic Canadian counterparts to oppose such a tax. A united front from all four provinces would send a strong message to Ottawa before the next election."