Canadians should see an even higher price at the pumps during the summer, according to the opinion of an expert analyst on the subject.
• Read also: Does it really cost that much, an electric car?
• Read also: 10 hybrid cars that cost next to nothing on gas
“Oil is going to stay around $105-125 a barrel. Summer demand is fast approaching. I know a lot of people will probably rethink those prices and their desire to hit the road, but that’s not going to curb global oil demand,” said Canadians for Affordable Energy president Dan McTeague to the CP24 network.
The latter has been making predictions on the price of black gold for 27 years now, relying in particular on the gazwizard.ca site. For him, seeing a pump price of $2 a liter might become common starting in June.
A first increase for Easter
Even for Sunday, the price at the pump in Montreal is only 7 cents from this two dollar mark. In just 72 hours, the metropolis has already experienced a price increase of 24 cents. “It’s a rate I’ve never seen before, it’s unprecedented and it doesn’t bode well for the summer,” McTeague added, speaking of the rising price at the pump. of 23 cents in Toronto during this same period.
The specialist explains that the increase is due, in part, to the switch from winter gasoline to summer gasoline, an annual event that generally raises prices. Winter gasoline uses butane, which is cheaper to produce and fires engines faster in cold weather. Summer blends, on the other hand, use alkylates, materials more often found in premium gasoline. This change usually costs consumers five to eight cents more per litre.
However, the specialist maintains that there is more than that. He warns that summer prices might be even higher in the event of other disruptions to global fuel production or distribution, such as a hurricane or pipeline disruptions.
“We are in a new era,” he said. “The Canadian dollar is not reacting to rising oil prices, due to the fact that we are not building pipelines to markets that desperately need Canadian oil and we have taxes on taxes that have been piled up. .. all of these things make a bad situation worse.”
