Off-Highway Fuel Rebate

Some businesses whose operations use licensed vehicles off public roads pay fuel taxes intended for the maintenance of infrastructure they don’t use. A rebate for these inappropriate taxes would support the growth of industries such as oil and gas, mining, and logging.

In 2011, Alberta eliminated rebates for fuel purchased for off-road purposes in licensed vehicles. This rebate provided relief for businesses who drove their vehicles predominantly off public roads during exploration or on private roads.

Extraction industries, particularly mining and logging were particularly impacted by the change. In addition, businesses operating in non-urban and northern areas of the province are disproportionately affected, given that non-maintained roads vastly outnumber maintained roads and highways in those regions.