Lately the P.E.I. government has been making the claim that the province will be the first in Canada to exempt home heating oil from the provincial portion of the harmonized sales tax, and while that's technically correct, residents in three other provinces don't pay that part of the tax on heating oil, or any other form of home energy.

The HST plan won't increase the cost of home heating for most Islanders, says the P.E.I. government. (CBC)

In the legislature on Nov. 14, both Finance Minister Wes Sheridan and Premier Robert Ghiz made the following statements.

"We are the first jurisdiction Madame Speaker in Canada to exercise that right to exempt home heating fuel," said Sheridan.

Then Ghiz said: "The minister of finance indicated, I think we're one of the only jurisdictions in Canada that's bringing in that exemption."

P.E.I. will be offering an exemption, to be administered by the federal government.

Nova Scotia, British Columbia and Newfoundland and Labrador offer their own rebate programs.

But for a homeowner, there's no difference.

Province can't match rebates

In the other provinces, the provincial portion of the HST is charged and then instantly rebated on the bill that comes from the energy provider. With some oil companies in Newfoundland and Labrador, homeowners have to pay it and then apply for a rebate. Meanwhile, New Brunswick and Ontario charge full HST on heating oil and all household energy.

Nova Scotia, B.C. and Newfoundland and Labrador go even farther rebating all forms of household energy from the provincial portion of the tax — electricity, wood and wood pellets, propane, kerosene, natural gas, even coal in Nova Scotia.

NDP leader Mike Redmond says the province's HST plan would have been better for P.E.I. residents if the government had spent less. (CBC)

In B.C. where residents voted to ditch the HST, residents also get rebates on gasoline and diesel for their cars.

The P.E.I. government said it can't match those rebates. It needs the extra tax revenue to balance its books.

If government had spent less, that would have allowed an HST plan that was easier to swallow, said NDP leader Mike Redmond.

"You know what, an HST package that both business and the consumer could live with, absolutely," said Redmond.

Redmond said he's been knocking on doors and homeowners are worried about the HST.

But the province said its HST plan won't increase the cost of home heating for the majority of Islanders.

The province said annual rebate cheques of up to $200 will eliminate the pain for poor and middle-income households.