NDP demands answers on gas prices, says Albertans may be ripped off

By Alejandro Melgar

Alberta’s opposing NDP says people may be getting ripped off with the price at the pump, and wants answers now.

Transportation critic Lorne Dach says gas prices should be cheaper after the UCP paused the provincial gas tax.

Gas prices in Red Deer are around $1.74 per litre, while prices in Toronto are about $1.64, according to Dach.

The 13-cents per litre tax increase was suspended April 1 for both gasoline and diesel, as Albertans faced high prices at the pump. The NDP wants the Alberta government to continue to suspend the tariff into September, but also demands the funds be given back to Albertans.

“Looking at the gas prices today, it’s clear that the UCP have taken their eyes off the ball,” said Dach.

“Three months later, gas prices are higher now than they were before the tax pause.”

Related article: Calgary gas prices on par with Toronto

Trevor Toombs, a professor of economics at the University of Calgary, says gas stations are making $0.35-per-lire in profit compared to the typical $0.08 per litre they make — a four-fold increase.

“Say goodbye to your 13-cent tax relief,” said Dach.

“Alberta families are paying through the nose just to drive their cars.”

Dach is demanding an audit to understand where the 13-cent saving has gone.

“We know gas prices across the country and the world are high, but why is there a 27-cent-per-litre difference between what the margin is in Toronto versus what we’re seeing charged in Alberta?”

He says Albertans should know whether gas companies are simply pocketing the money.

The price of gas in Alberta in 2019 was around $1.16 per litre, while Ontario was sitting at around $1.23 per litre.

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