Retailers get permission to raise N.S. fuel prices due to ‘escalating operating costs’: regulator

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Gas prices changing across Maritimes

N.S. energy board approves price hike

The Nova Scotia energy board approved an interim increase to the markup charged by gasoline and diesel retailers, raising it by 1.7 cents per litre.

In a release issued on Thursday, the board said the interim order increased the total retail markup by 7.1 cents per litre from the current 5.4 cents. The change will take effect on Friday.

The board also approved an increase to the credit card usage rate in fuel price calculations, raising it from 40 per cent to 57 per cent to reflect increased card use at the pumps.

The board said it determined an interim increase was needed because of increases to minimum wage, inflation and increased credit card use since the last retail markup, which at the time used data from 2019.

The board said it will now be opening an investigation into Nova Scotia’s gasoline and diesel markup structure under the Petroleum Products Pricing Regulations.

Maritime Gas Prices

The price of gas and diesel decreased overnight in New Brunswick and Prince Edward Island, while prices at the pump did not change in Nova Scotia.

Prince Edward Island

The price of regular self-serve gasoline on P.E.I. decreased by 4.6 cents. The new minimum price is now 191.4.

The price of diesel decreased by 2.3 cents to a new minimum price of 225.9 cents per litre.

Nova Scotia

The price of regular self-serve gasoline in Nova Scotia did not change. The minimum price in the Halifax area remains 185.6 cents per litre.

The price of diesel did not change either. The minimum price is still 218.1 cents per litre.

The next scheduled adjustment for all three Maritime provinces is Friday.

New Brunswick

The price of regular self-serve gasoline in New Brunswick decreased by 9.1 cents per litre to a new maximum price of 186.0 cents per litre.

The price of diesel decreased by 7.3 cents. The maximum price is now 226.1 cents per litre.

Drivers react

Stephen Dobrik is traveling through the Maritimes from Ontario on vacation. He wasn’t sure the trip would happen due to recent high gas prices, so he was happy to see gas was down nine cents in Saint John before catching the ferry to Digby, N.S.

“We’ve camped a few times rather than stay in a hotel,” says Dobrik. “I’m hopeful it keeps coming down and things get resolved.”

The excitement over any drop at the pumps has been evident.

Last week, long lines were seen across the country as part of Circle K’s “Fuel Days” that saw 10 cents a litre in savings over a four-hour period. In Saint John, participating fuelers were offering gas for around $1.87 a litre.

Canadians for Affordable Energy president Dan McTeague says the break at the pumps has been welcomed by all drivers, but it is not something they should be getting used to.

He says until a deal is reached between the United States and Iran in their conflict overseas, the world will continue to see an oil shortage, and with that means high prices.

“Considering the world is short about 20 per cent of what it needs to make ends meet, and we’re using emergency supplies just to finish the day and to make sure economy is run, we’re looking at a scenario where it’s going to require much higher prices to, as it were, dampen demand in order for supply to catch up,” McTeague says.

“The short-term gain, for what it’s worth, will indeed lead to long term pain because it’s going to mean several months of higher, unusually high prices.”

McTeague predicts prices will climb back towards $2 a litre as early as next week. As for the summer ahead, he guesses pump prices will peak at around $2.10 a litre.

If the prices keep climbing, Dobrik says it might be time for a change.

“Maybe that EV car is becoming a reality sooner than later.”

With files from CTV News Atlantic’s Avery MacRae