A gas pump is shown at a station in Montreal on April 12, 2017. Extreme volatility in oil markets has resulted in a price jump for gasoline of four cents a litre in Metro Vancouver and an analyst predicts a further hike could arrive within days. THE CANADIAN PRESS/Graham Hughes

B.C. fuel up 4 cents and more hikes to come: expert

Dan McTeague says to expect a wild ride for gas prices this year

Extreme volatility in oil markets has resulted in a price jump for gasoline of four cents a litre in Metro Vancouver and an analyst predicts a further hike could arrive within days.

Dan McTeague, a senior petroleum analyst at GasBuddy.com, says Vancouver residents will be the “poster children” for what he expects will be a wild year for gas prices Canada-wide.

He says the four-cent increase is the culmination of a series of events, including the explosion of the Enbridge natural gas pipeline in October and the unexpected maintenance shutdown of the Olympic pipeline last month in Washington state.

READ MORE: Start the new year with a full tank

McTeague says traders are still rebounding from those events and must cover gasoline demand in Oregon, Washington and southern British Columbia, prompting the latest hike and another boost of what he predicts could be a “penny or two,” by Sunday.

Greater Vancouver imports all its fuel, adding to the cost, but McTeague says fuel taxes will also climb in B.C. on April 1.

He says the tax will add 3.3 cents to the price of a litre of fuel and make the Vancouver area the highest tax jurisdiction for fuel of any major city in North America.

“You knocked out Montreal,” McTeague says. “There are some occasions where being No. 1 isn’t such a great thing.”

The GasBuddy website pegged the average price for gas in Vancouver at about $1.31 a litre on Friday, well above the average price of gas in some other Canadian cities. In Halifax, the average price was 97.8 cents, while it was at about $1.11 a litre in Montreal. A litre of gas was just over $1 in Toronto and was at 90.6 cents in Calgary.

A written analysis provided by McTeague says the turbulent year ahead for prices at Canadian pumps will stem, in part, from concerns over a looming trade war between the U.S. and China, Brexit, the status of global crude supplies and overall demand for oil products.

“Overall, fuel prices in 2019 could well turn out to be more expensive than any year since 2014, helped in no small part by an increase in gas taxes and currency challenges,” the analysis says.

The Canadian Press

Like us on Facebook and follow us on Twitter.

Just Posted

NDP Leader Rachel Notley stops in Red Deer on campaign trail

Notley promises hospital expansion, cath lab, pipelines and energy industry expansion

Town of Sylvan Lake looking for input on dog lake access

The Town held an open house about lake access for dogs on March 14

New high school a priority for Sylvan Lake, says Chinook’s Edge

Chinook’s Edge has prioritized a new high school in its 2020-2023 capital budget

West Central Peewee Tigers crowned SCAHL league champions

The Tigers are set to continue their dominating season at Peewee AA Provincials March 28

Five highlights in the 2019 federal budget

Latest budget includes a sprinkling of money for voters across a wide spectrum

European, Canadian regulators to do own review of Boeing jet

Air Canada plans to remove the Boeing 737 Max from its schedule at least through July 1

Prime minister defends Liberal budget measures as sales effort gets underway

Conservatives under Andrew Scheer say it’s a spree funded by borrowing against the future

Carbon tax, oil and gas investment dominate Day 2 of Alberta campaign

NDP pledges more oil and gas processing, UCP slams provincial and federal governments on carbon tax

Another gun seized by police in Wetaskiwin

Maskwacis RCMP arrest two youths, seize firearm in Wetaskiwin

Sundre RCMP looking for 4 missing bison

A Sundre bison rancher is missing four bison from January and RCMP ask for help from the public

Targeted methane emission cut rules estimated to save billions, says CERI study

Federal government has proposed regulations for methane emission reductions from oil and gas sector

Celina Caesar-Chavannes quits Liberal caucus, sits as independent MP

The Whitby, Ont., MP has been a vocal supporter of Jody Wilson-Raybould and Jane Philpott

Politicians hitting the road for votes in Alberta election campaign

NDP Leader Rachel Notley and United Conservative Leader Jason Kenney have officially launched campaigns

Most Read