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

Memorial remembers Vernon’s most marginalized

Prayers and flowers for those who have died on the streets

One year later: Vernon pot stores look back at legalization

Edibles made legal on first anniversary of recreational cannabis

Vernon RCMP seek assistance in locating vehicle involved in hit and run

Vernon RCMP are searching for a grey sedan that struck a motorcycle on Oct. 8 at 48 Ave. and 24 St.

Great Vernon Pumpkin Race to star in South Korean documentary

Pumpkin Classic event to kick off this weekend with gourd weigh-ins

Okanagan College nursing students to make history in Thailand

Students to take on Vernon-born practicum overseas

Scheer, Trudeau, Singh haggle over potential minority government outcome

If you believe the polls, it appears the Liberals and Conservatives are neck-and-neck

Canucks beat Stanley Cup champs 4-3 in a shootout

Leivo nets winner, Vancouver dumps St. Louis for fourth straight win

‘The more you test, the more you find’: Beef recalls a sign of success, experts say

Despite appearances, experts say a recent rise in major recalls is not a sign of food supply problems

Letter: Small actions of North Okanagan-Shuswap candidates speak volumes

Writer commends Salmon Arm high school students for helping at all-candidates meeting

Japanese buyer expands wood pellet contract with B.C.’s Pinnacle

Mitsui and Co. increases contract with Interior energy producer

ELECTION 2019: Have Justin Trudeau’s Liberals really cut middle-class taxes?

Conservative Andrew Scheer vows to cut bottom bracket, NDP’s Jagmeet Singh targets wealth tax

Okanagan candidates’ signs headed to dump

Dozens of signs were picked up for not complying with bylaws, according to the city

Salmon Arm arena told to upgrade ice chilling system in 2020 or face closure

Fatal ammonia leak in Fernie prompts Technical Safety BC to order 20-year-old chillers replacement

Police search Kelowna home, arrest 6 and seize 2000 marijuana plants

Police seized $1400 in cash, 95 pounds of dried marijuana bud and nearly 2000 plants

Most Read