Are you upset about the high cost of gas in Red Deer? Don’t expect to find a sympathetic ear in other Canadian cities.
A weekly pump price survey conducted by an industry consultant indicated on Tuesday that regular gas in Red Deer was selling for 89.9 cents a litre — tying the city with Lloydminster as the cheapest place to fuel up among 60 Canadian centres tracked.
MJ Ervin & Associates calculated the average national price at $1.022, with motorists in Yellowknife paying the most, at $1.186 a litre. The price in Calgary was 93.8 cents, while in Edmonton it was 93 cents and in Lethbridge it was 91.9 cents.
Service stations in Vancouver were charging $1.10, in Regina 98.3 cents, in Winnipeg 93.8 cents, in Toronto $1.004, in Ottawa 96.2 cents, in Montreal $109.2 and in St. Johns $1.077.
This marked the first time since June that Red Deer was found to have the lowest price among the cities surveyed. However, it was consistently among the cheapest five centres throughout 2009, with Edmonton, Calgary and Lloydminster also near the bottom.
John Skowronski, director of environmental affairs with the Canadian Petroleum Products Institute, said it’s not surprising Alberta’s cities have cheaper gas prices, given this province’s relatively low taxes. But, he added, there are other factors.
Pump prices are influenced by supply-and-demand balances, he pointed out.
A blast of cold weather, or warmer-than-expected winter temperatures, can affect demand. Alternatively, problems at a refinery or within the transportation network can reduce supply.
Also having an impact is competition among retailers, and upstream companies — with the playing field international in scope.
“Really, we’re dealing on a North American basis,” said Skowronski.
“People have a hard time, when you think, ‘How can a hurricane, or a snowstorm in New York, affect Red Deer prices?’ Well, it’s all part and parcel of the same sort of chain.”
Last week, MJ Ervin & Associates pegged the price of regular gas in Red Deer at 85.9 cents — the cheapest it’s been since hitting 82.2 cents in early May.
One year ago, it was selling locally for 70.2 cents a litre.
Skowronski pointed out that crude has jumped from about $50 to $80 during the past year.
The most recent MJ Ervin & Associates survey indicated that taxes accounted for 23.3 cents of the price of litre of regular gas in Red Deer, with the average 32.3 cents across Canada.
Looking at other products, mid-grade gas was selling at 95.9, according to this week’s survey results, up four cents; premium gas was 1.017, also up four cents; and diesel was 91.2 cents, unchanged from the preceding week.
Average prices for the 60 cities surveyed were $1.125 for mid-grade gas, up 6.4 cents; $1.136 for premium gas, up 5.5 cents; and 97.3 cents for diesel, up 2.2 cents.
hrichards@www.reddeeradvocate.com