Gasoline prices expected to continue to rise over Labour Day long weekend

Chelsea West
September 2, 2017

If you haven't fuelled up your vehicle for the long weekend yet, get ready to pay: The cost of gas is climbing across Ontario, including here in Windsor.

As the remnants of Hurricane Harvey continue to linger over the gulf coast, the effects on the oil and gas industry are beginning to set in. "With winter coming, winter gas is cheaper, so we should see prices go down a bit, at least back to what people are more used to".

The site's sources say prices in Quebec and B.C. jumped by several cents per litre since Thursday, when their provincial averages were just below $1.20 per litre.

Gasbuddy.com says that's up eight cents since hurricane Harvey hit last Friday and nine cents compared to the average price per litre last month.

Wholesale gasoline and jet fuel prices have soared as at least 4.4 million barrels per day of refining capacity, or almost 24 percent of total US capacity, has been closed due to the record rains. Still, the rise in inevitable, said McTeague. That translates to about 75 cents USA per gallon, he said, adding typical U.S. increases in affected states have been only about 20 cents per gallon.

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Even with gas prices spiking here in SC, the state still ranks as one the top 10 least expensive markets in the nation.

The result has been an instant five-cent rise in gas prices in Toronto, for example - and McTeague is predicting a further jump of nine cents on Saturday.

"Within a week or so, if the prices don't move high enough then we are going to be dealing with shortages and disruptions in the United States", he said.

The closure of the Colonial Pipeline on Thursday, on top of major refineries including the largest, Motiva in Port Arthur, has led to exploding gas prices, McTeague said.

Other reports by TheSundaySentinel

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