The highest gas prices of all time could hit Metro Vancouver drivers this summer. “I wouldn’t be surprised to see $1.65 (a litre) between now and the May long weekend (Victoria Day 18-20),” said gas analyst Dan McTeague. The highest price ever paid by Metro Vancouver drivers was 163.9 cents a litre on Oct. 13, 2018; that was also a record for any major North American city. McTeague said the price record was driven by the Enbridge gas line explosion north of Prince George that led to a natural gas supply crisis. “That caused problems not only for the small Parkland refinery in Burnaby, but directly impacted the fuel supply to the four refineries south of the border in Washington state who supply us 30 to 40 per cent of our gas needs,” he said. “They use natural gas to generate electricity to turn crude into gasoline.” McTeague said a variety of factors was set to now push gas prices to record highs, beyond the 158.9 cents a litre that car owners were paying at some Vancouver gas stations on Sunday.
On Monday BC government’s promised carbon tax increase kicks in. This carbon tax was introduced in 2008, from April 1 it goes from $35 to $40 per tonne, which equates to an extra 1.16 cents per litre. “In Metro Vancouver, overnight you will tip-toe over $1.60 a litre,” McTeague said.
Then, on July 1, TransLink’s regional motor fuel tax on gas and diesel will increase from 17 cents a litre to 18.5 cents a litre — a one and half cent a litre increase.
“$1.65 (a litre) is attainable and $1.70 is not too far fetched,” McTeague said.
On top of that, Vancouver will be hit hard to further gas price hikes if any of four refineries are shutdown or need repairs in Washington state.