Calgary gas prices on par with Toronto

The average price for a litre of regular gas in Calgary is on par with what people in Toronto pay, according to GasBuddy. This comes despite the temporary suspension of Alberta’s provincial gas tax and the province’s vast oil and gas reserves.

As of Thursday morning, Calgarians paid an average of 189.397 cents per litre of regular gas, while Torontonians paid slightly less at 188.012 cents. Calgary’s average fuel prices were recorded at roughly 20 cents cheaper than the country’s average at around this time a month ago.

Canada’s average price per litre fell about 15 cents since then, but Calgary’s prices remained steady.

Paul Pasco, principal consultant with Kalibrate, says Calgary has more or less stayed at the average Alberta price for fuel, but other municipalities like Edmonton saw prices rise about four per cent above the provincial average by mid-June.

He adds in July, Edmonton started to move back towards the provincial average to be around two per cent above the average at $2 per litre, with prices falling by $0.04. Meanwhile, Calgary remains the same.

“I do believe that there is some minor downward pressure coming for prices in Calgary in the neighborhood of about $0.02 per litre over the coming weeks, but given that the average is not moving much, I don’t think it will be substantial,” said Pasco.

“As always, consumers will be able to find deals if they look for them, even within the city. But retailers are not likely to make a margin play, given the competition in the area,” he added. “What we are seeing is just market dynamics moving at different paces in different locations driven by retailer capacity to access the refined fuel supply chain.”

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Pasco adds despite supply chain constraints, global prices for fuel should remain relatively stable into the fall. However, Albertans should see some marginal price increase in the years ahead.

“Most of the increase will be due to a tightening in the ethanol markets. Leading to 2030 Albertans should expect to see a $0.06 to $0.08 a litre price increase,” Pasco said. “Alberta does already have a clean fuel standard but it was not as tight as the new federal requirements. So while Albertans will not see the full $0.13 that is being headlined they should expect to see a larger impact than BC where their fuel was already at this standard.”

Canada’s national average price was recorded at 195.552 cents per litre on Thursday, but that number could decrease in the coming days, as oil prices drop.