Gas prices in Greater Victoria jumped more than 10 cents per litre in a day — and it’s expected to go up by another two cents.
GasBuddy surveyed 95 gas stations in Victoria to find the cost to fill up is still higher than the national average, with current rates up to 149.9 c/l compared to Canada’s 127.45 c/l average. The price of gas has increased by 11.5 c/l since Oct. 1 last year.
“A lot of gas stations are really holding back on what normally they would charge about 12 c/l, they’re charging about eight as a retail margin, which is pretty skinny,” Dan McTeague, a senioranalyst for GasBuddy, said. He added that it reflected the state of gas supply across the Pacific Northwest caused by a shortage.
“High demand, low supply. That’s really what’s causing the jump here.”
Although the Canadian Thanksgiving weekend is coming up, McTeague said it’s unlikely to make the gas prices go much higher since Americans don’t celebrate Thanksgiving until late November.
“We have to be mindful that we are very reliant on U.S. supplies for gas. When their supplies are crimped as they were back in March and April because of our own refinery in Burnaby, much of our gasoline is being shipped in from Singapore, Taiwan and other locations other than the Pacific Northwest Washington state refinery,” McTeague said.
This year, gas is the highest it’s been since 2007. So much of the Canadian supply of gas comes from the U.S., and then taxes imposed since April have added an additional 3.5 c/l increase from the 1.14 cents on carbon tax as well as two cents for ferry service. McTeague said he’s keeping his eye on the state of the Canadian dollar in the international market.
“A decrease in the value of the Canadian dollar does lead to higher prices at the pumps, not to mention any other commodity,” he said.
McTeague recommended getting outside of the city to fill up in places like Esquimalt.