VANCOUVER – Gasoline prices across the country are hovering at an all-time high, but what’s behind the latest jump in the prices?
Financial analyst Michael Campbell says in B.C. we are seeing record high gas prices this long weekend.
“If you look at the price of gasoline in the last 19 years, 17 years its gone up,” says Campbell.
He says part of the reason it goes up this time of year is due to seasonal demand, especially with people driving somewhere for the long weekend.
But it is also a time of year when the oil refineries switch from a ‘winter blend’ to a ‘summer blend’ of gasoline. “So that reduces supply,” says Campbell, “and again, that’s very consistent.”
“One thing we’ve got this year that we didn’t have last year, and I think this accounts for a lot of the record highs, and that is the 10 per cent fall in the Canadian dollar,” adds Campbell.
WATCH: Why are gas prices so high?
In some places in B.C., gas prices are reaching $1.51 a litre and that is causing many people to make gas runs across the border .
However, that is causing long waits at the border, but prices in B.C. are not expected to go down until after the Victoria Day holiday.
“I don’t think we’re going to see a drop in the coming weeks,” said Jason Toews from Gasbuddy.com. “It may plateau but I think we will see gas prices go down after Victoria Day. We should see it back down maybe another four, five cents a litre. We’re going to see relatively high prices all summer and we’re only going to see some real relief at the pumps starting in September, October.”
What is the price of gas where you are? Let us know in the comments!
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