Gasoline prices soon expected to increase

Photo by Flickr Creative Commons

With the first day of fall this year now less than a week away, on the 23rd of the month, gasoline prices across the country have started to fall.

An eight station monitor this morning in Fort St. John revealed the common local posted price at six of the outlets was a $1.23.9, with the two PetroCan outlets two cents less than that.

However the most common post was still about 11 cents higher, than the new provincial average, of a $1.12.7, which according to the latest Gas Buddy-dot-com monitor, was down about four cents a litre in the past week, 16 cents in the past month, and 22 cents from where it was at this time last year.

Nation-wide that survey reported a similar year-over-year story, with the Canadian average now at $1.04.4, down 23 cents a litre.

However, the consumer website’s senior analyst, Dan McTeague, says motorists from Thunder Bay to BC will soon be paying more, not less, at the pumps.

He’s predicting an increase of five to seven cents a litre and cites as the main reason as a major production problem at a Husky refinery in Toledo, Ohio.

That adds more credence to his argument that refinery closures, dating back to the previous century have left Canada far too dependent on those in the U.S.

“It’s unfortunate that not a greater effort is being made on unconfusing a bit of the environment issue with what we need to do and that’s to get our product to market, get those pipelines built and where we can improve the ability to process our bitumen into high value gasoline,” McTeague said. “Instead we’re getting caught up other distractions and I think while we all want clean energy, we all want to head down the road of new technology surrounding environmental questions but those can be done hand in hand. We need to restore and reinvest and get the product to market. Not just the crude but also the pricemakers into the North American market on gasoline.”

He also talked about retail profit margins, and some factors impacting them, which many consumers might find both interesting and informative, and we’ll get to that story on Monday.

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