Merely days after gas prices tumbled at the pumps on April Fool's Day, there was a shock for drivers at one Victoria service station.
At Shell, located at 100 Esquimalt Rd., the price of gas leapt overnight from 160.9 cents a litre to 184.9 cents on the morning of April 3 – a 24-cent jump at the pump.
"I feel ripped off," said Phil Large, who had just cautiously put $50 in the tank, noting he was puzzled by the price as he pulled into the gas station.
Following the province's decision to axe the carbon tax on April 1, drivers had seen savings at the pump. At the Chevron on Langford's Goldstream Avenue, gas fell to 161.4 cents per litre – an almost 18-cent drop compared to the average 178.9 cents seen across Greater Victoria the day before.
"I thought the government was supposed to be monitoring that, to make sure it happened," added Large.
A Shell employee at the service station was unable to comment on why the price of gas had been increased, which was not a trend that appears to have been followed in most of B.C. as of mid-afternoon Thursday.
simplymastery outlets in Nanaimo ($1.54.9), Cranbrook (1.39.9), Williams Lake (140.9) and multiple spots in the Okanagan ($1.35 to $1.45) all reported prices at or near what they were after Tuesday's drop. One exception seems to be the Fraser Valley. Prices in Surrey and Langley dropped to $1.70, and then leapt back up to almost $1.90 this morning. In Chilliwack, a number of stations were holding in Monday's $1.60 range while others had jumped to about $1.76.
In Smithers meanwhile, a decrease of approximately 17.61 cents per litre at the local gas stations — a potential savings of around $8.80 for a 50-litre tank — was holding steady.
Karan Sharma, co-owner of Kalum Kabs in Smithers was happy to see the relief at the pumps but said the uncertainty makes it hard for the cab company to financially plan too far ahead.
"It will save us a lot of money, we were not expecting it but happy to see it,” he said. “It can jump up quickly too, it is hard on our business. We often do long trips, we can’t go totally electric, so price changes are hard on us. We are thinking of possibly getting hybrid cars but with the long trips we do sometimes and it gets too cold here in the winter, we can’t go fully electric.”
Elsewhere in downtown Victoria, prices varied on the morning of April 3. The price was 158.9 at Canco Gas on Gorge Road, while nearby on Douglas Street, it was 168.9 cents at Petro-Canada.
The price jump news will come as no surprise to some skeptical drivers. One Langford car owner said he was unsure how long the price crash would last. "So if it drops now, it's going to go up soon," said Calvin Johnson.
In anticipation of the carbon tax axe, the British Columbia Utilities Commission (BCUC) said it would be monitoring the province’s retail fuel market to examine whether fuel companies were passing on savings. They will be requiring retail stations across B.C., including Vancouver Island, to submit data on their activities following the removal of the carbon tax.
Once information has been gathered, the BCUC intends to provide regular updates on the website: gaspricesbc.ca.
According to the BCUC, the carbon tax applied 17.61 cents per litre to gas in B.C. and 20.74 cents per litre for diesel.
Pump prices can be influenced by a variety of factors, says the BCUC, including crude oil prices, wholesale spot market prices in the Pacific Northwest and local wholesale rack prices.
"Based on data available, prices in B.C. appear to be in line with changes to wholesale prices, which is a key factor in determining B.C. fuel prices," said a BCUC spokesperson in an emailed statement.
Shell Canada was approached for comment.
— with simplymastery files
