Brace For Higher Gas Prices Over The Summer
If you're feeling the pain at the pump now, don't expect it to get any better this summer.
With the price of a litre of regular unleaded averaging about $1.30/litre, people are already complaining.
Dan McTeague of GasBuddy.com says a number of issues are pushing the price higher in Canada.
He told AM800 listeners on the Lynn Martin Show some of the concerns are simply "baked in" to the price of gas.
He says national problems like moving Alberta oil by pipeline to the costs have a big impact.
"The inability for Canada to get oil to markets, oil that is valued, oil that is wanted, heavy oil, leaves the Canadian dollar much weaker probably 15-cents a litre its costing you and I across Canada because we can't get our oil to water," says McTague.
He says in this area the bargains are always going to be across the border, adding "Windsor is an extremely competitive market, but it can't compete with Detroit given that you begin with a disadvantage of pretty much 20 to 24-cents a litre on the taxes alone, it really has a lot to do with the prices that are more reflective, indicative of a weaker Canadian dollar and higher taxes."
McTague warns the cost of filling up will only go higher over the summer. "You could see prices move up another fourt to five, maybe even seven-cents a litre depending on the circumstances and of course any type of meteorological event — Last year we saw a spike of as much as 20-cents a litre. I'm not seeing that happening but I wouldn't be surprised to see days where we crest up and above $1.40 a litre here in Windsor."
By comparison to British Columbia, the cost of fuel locally is a bargain — Prices in Vancouver have crested $1.60 a litre.