Record gasoline prices set to climb another 3 cents Sunday
Posted June 4, 2022 9:42 am.
Last Updated June 4, 2022 1:01 pm.
The record rise in gasoline prices across the GTA is set to continue.
Roger McKnight, Chief Petroleum Analyst at En-Pro, tells CityNews the price at the pumps will increase another three cents a litre on Sunday at most GTA stations to a record-high $2.14.
Since the beginning of the month, the price of gasoline has climbed 16 cents to surpass the previous high of $2.09 a litre set last month.
McKnight says part of the reason for the increase is a shortage of supply and an increasing demand for all petroleum products.
“The problem is really in the U.S. inventory report that came out (Thursday),” said McKnight. “That’s sort of the benchmark that all pricing analysts and Wall Street traders use, and it doesn’t look very good at all.”
RELATED: Toronto & GTA Daily Gas Price Update
On Thursday, OPEC and its allies agreed to increase its output in July and August, which should help weaken crude prices which have climbed to their highest levels in nearly two months.
The July crude oil contract was up US$2.00 and closed at US$118.87 per barrel on Friday after approaching US$120 earlier in the day.
“The only way consumers are going to get a break is if governments, federal and provincial, start reviewing the tax structure,” said McKnight. “But to do that you have to have cooperation between the federal and provincial governments, which is a stretch.”
All eyes are on Premier Doug Ford now after the Progressive Conservatives easily swept to another majority win in Thursday’s provincial election. Ford promised to temporarily reduce the gas tax by 5.7 cents per litre for six months beginning on July 1 prior to the campaign.
Across the country, British Columbians are seeing the highest price for gasoline. According to the Canadian Automobile Association (CAA), the average price for a litre of gas in B.C. was $2.22, followed by Newfoundland and Quebec ($2.17), and PEI ($2.13).
