Info on how fuel prices are set in Canada

[free_radical]

No hating just the facts..

For people complaining about high fuel prices in Canada this explains all

From CBC news

No matter where they originate, oil products are priced in U.S. dollars. And the Canadian dollar has been the worst performing major currency against the U.S. this year — which may actually mean more money for Canadian oil companies when they convert those U.S. dollars back into loonies, but it's definitely not good news for gas buyers at the pumps

Prices in Canada aren't established in Canada; they're made in the U.S.," says Roger McKnight, chief petroleum analyst with En-Pro. "So whatever happens to the wholesale price in the U.S. automatically hiccups into Canada."
😛

https://retail.petro-canada.ca/en/fuelsavings/gas-price-faqs.aspx


https://www.shell.ca/en_ca/motorists/understanding-fuel-pricing.html

http://www.competitionbureau.gc.ca/eic/site/cb-bc.nsf/eng/02926.html

[yr2017]

Lynne, we are just back from a sojourn to Alaska. When we left Montana, diesel was $3.29/arriving in Fairbanks it was $4.39. Back home in Panama it's less than 2.00 but here in Iceland about 8.05

[JaxDad]

Little Kopit wrote:

JaxDad wrote:

bsinmich wrote:
It is natural that gas prices are high because you have Dominion Day and e have July 4. When did you ever see the po companies miss a holiday for an increase.

Nope, not now, ‘Dougy’ got sworn in this morning, he swears it won’t happen again.

Thou ist issuing an invitation to politicize. Some have forgotten international climate change prevention understandings, if said souls ever attempted to comprehend such.

😛

No, the politicians politicized this issue. Making campaign promises of this & that,heck, in your part of the world you pay artificially established prices set by a gov. body instead of free-market economics and competition.

As for climate change? Well, that depends on what time-frame your talking about? 20 years ago? Or 20,000 years ago?

There’s a lot of oil under Alberta because it used to a tropical rainforest. Go to Edmonton in February and tell me how ‘tropical’ it feels. I live near the Great Lakes and several escarpments and a huge moraine all of which were heavily sculpted by a massive glacier that dominated this area for quite a while. Today’s weather here includes an extreme heat warning, it’s going to be 35 C, (95 F) with humidex values of 45 C (113 F.). No glaciers in sight.

[Harvey51]

I live in Northern Alberta and go over to northeastern BC quite often. Last week, gas was $1.29 all over Dawson Creek (closest to Alberta) and $1.34 another hour west in Chetwynd. Both prices are less than we pay in Alberta an hour east of Dawson Creek. This is opposite to prices in the past when Alberta prices were lowest and Chetwynd much higher than Dawson.

Alberta did add a carbon tax which accounts for part of the change. My theory about Chetwynd and Dawson was that BC reduced the tax for towns close to Alberta. Could they now be reducing it for Chetwynd as well?

Gas for these towns must be coming from Edmonton, Alberta or Prince George, BC refineries.

Last year I never went to BC without a full tank of Alberta gas. This year I have suddenly found myself filling up at Superstore (7.5 cents off in grocery points) in Dawson every time I go over to BC.

Anyone have an insight into this change?

[Little_Kopit]

JaxDad wrote:

bsinmich wrote:
It is natural that gas prices are high because you have Dominion Day and e have July 4. When did you ever see the po companies miss a holiday for an increase.

Nope, not now, ‘Dougy’ got sworn in this morning, he swears it won’t happen again.

Thou ist issuing an invitation to politicize. Some have forgotten international climate change prevention understandings, if said souls ever attempted to comprehend such.

😛

[JaxDad]

bsinmich wrote:
It is natural that gas prices are high because you have Dominion Day and e have July 4. When did you ever see the po companies miss a holiday for an increase.

Nope, not now, ‘Dougy’ got sworn in this morning, he swears it won’t happen again.

[bsinmich]

It is natural that gas prices are high because you have Dominion Day and e have July 4. When did you ever see the po companies miss a holiday for an increase.

[shum02]

I was also being sarcastic. Good luck seeing Dougie's $0.1/L reduction or his ability to hold down prices before long weekends. Election talk.

[hone_eagle]

JaxDad wrote:

hone eagle wrote:

shum02 wrote:

hone eagle wrote:
"Iam from the government and Iam here to help"

scary

Dougy is going to bring it down $0.1/L, wondering how he's going to do that? Never mind stop "long weekend" bumps in the price.

simple did you forget the carbon tax imposed by Wynne? 10 cents I believe ,all he has to do is drop it ,hope the former government didn't spend 5 years worth before they got to collect.

Did you forget the $1.5 BILLION a year the ‘cap & trade’ auctions brought to Ontario?

According to Stats Can Ontario consumes about 15 million litres of gas per year. So let’s see, 15 million litres at $0.10 / liter is $1.5 MILLION per year.

Meh, what’s three zeros amongst friends?

Maybe we should talk about electricity instead? Some golf pro from North Bay decided to break up Ontario Hydro a few years back, but the law prevented him form writing off the debt caused by giving his buddies a sweet deal on severance pay, pensions and fat pay cheques in general. So now we have a ‘debt retirement charge’ that never gets retired.

Wait, let’s go back to gas, the ‘road tax’ on gasoline used to pay for the MTO budget, but then that golf pro’s ‘No Sense Revolution’ included auction off billions in trucks and infrastructure to Party Faithful for penny’s on the dollar so they could get contracts to do the highway maintenance for 30% more than civil servants did it. Let’s not go into the wrongful death lawsuits over a lack of winter maintenance though, it will ruin the mood of Dougie’s celebration party.

Oh wait, let’s go back to the carbon tax, what about all those poor schmucks who spent money on installing solar panels & wind turbines on their property? The ‘guaranteed’ price of electricity they get paid is ‘X’ cents per kWh PLUS the subsidies..... ooops, what subsidies?


For those that ‘drank the Kool-Aid’ I truly hope it’s not as bitter as the last batch was.......

No I didn't forget

calm down

[explorenorth]

JaxDad wrote:
According to Stats Can Ontario consumes about 15 million litres of gas per year. So let’s see, 15 million litres at $0.10 / liter is $1.5 MILLION per year.

You have a decimal point or something off:
"According to Statistics Canada, Canadians consume about 40 billion litres of gasoline a year. 111 million litres a day. The majority of gasoline is purchased and consumed in Ontario and Quebec. 39% is consumed in Ontario, 21% in Quebec"

( http://www.pumptalk.ca/2007/08/365-days-equals.html )

[JaxDad]

hone eagle wrote:

shum02 wrote:

hone eagle wrote:
"Iam from the government and Iam here to help"

scary

Dougy is going to bring it down $0.1/L, wondering how he's going to do that? Never mind stop "long weekend" bumps in the price.

simple did you forget the carbon tax imposed by Wynne? 10 cents I believe ,all he has to do is drop it ,hope the former government didn't spend 5 years worth before they got to collect.

Did you forget the $1.5 BILLION a year the ‘cap & trade’ auctions brought to Ontario?

According to Stats Can Ontario consumes about 15 million litres of gas per year. So let’s see, 15 million litres at $0.10 / liter is $1.5 MILLION per year.

Meh, what’s three zeros amongst friends?

Maybe we should talk about electricity instead? Some golf pro from North Bay decided to break up Ontario Hydro a few years back, but the law prevented him form writing off the debt caused by giving his buddies a sweet deal on severance pay, pensions and fat pay cheques in general. So now we have a ‘debt retirement charge’ that never gets retired.

Wait, let’s go back to gas, the ‘road tax’ on gasoline used to pay for the MTO budget, but then that golf pro’s ‘No Sense Revolution’ included auction off billions in trucks and infrastructure to Party Faithful for penny’s on the dollar so they could get contracts to do the highway maintenance for 30% more than civil servants did it. Let’s not go into the wrongful death lawsuits over a lack of winter maintenance though, it will ruin the mood of Dougie’s celebration party.

Oh wait, let’s go back to the carbon tax, what about all those poor schmucks who spent money on installing solar panels & wind turbines on their property? The ‘guaranteed’ price of electricity they get paid is ‘X’ cents per kWh PLUS the subsidies..... ooops, what subsidies?


For those that ‘drank the Kool-Aid’ I truly hope it’s not as bitter as the last batch was.......

[hone_eagle]

shum02 wrote:

hone eagle wrote:
"Iam from the government and Iam here to help"

scary

Dougy is going to bring it down $0.1/L, wondering how he's going to do that? Never mind stop "long weekend" bumps in the price.

simple did you forget the carbon tax imposed by Wynne? 10 cents I believe ,all he has to do is drop it ,hope the former government didn't spend 5 years worth before they got to collect.

[shum02]

hone eagle wrote:
"Iam from the government and Iam here to help"

scary

Dougy is going to bring it down $0.1/L, wondering how he's going to do that? Never mind stop "long weekend" bumps in the price.

[hone_eagle]

"Iam from the government and Iam here to help"

scary

[JaxDad]

Little Kopit wrote:

Lessmore wrote:
I have no confidence in CBC news,

The CBC is one of the best for checking facts before they go to air.

On gas prices, Atlantic Canada (NL, NB, NS, &PEI) all have regulated fuel prices. Look up utilities board, or some such for each one via google. Although I can post them all. Gas Buddy will not give you as much information as those provincial sites. & they will also explain what sources they look at before making the weekly or bi-weekly price change.

:C

It's exceedingly rare that "fixed prices" are a benefit to anyone but the seller, and in this case the government.

As part of the 'regulated' prices there is a MINIMUM price as well as a maximum price.

In NS currently it includes a minimum of ~$0.048 / liter retail markup plus $0.0665 / liter wholesale markup plus a $0.005 to $0.022 / liter transportation allowance.

That comes to a total of at least $0.12 markup over the 'benchmark' price.

In Ontario currently it's about $0.10 over market price, which typically is about $0.05 under the 'fixed' wholesale price.

So your 'fixed' price is costing you about m$0.07 liter more. That sounds like a 'broken' system to me.