Gas prices set to fall in London region

If you need to fill up your tank and can wait until Friday or the weekend, it could pay off for you.

Gas prices are expected to fall in London after midnight by about approximately three cents a litre, according to an industry analyst.

Dan McTeague of GasBuddy.com tells AM980 the drop goes against the usual trend of higher gas prices in the summer season.

“There’s a lot of crude being produced, not just by other nations, U.S. and Canada, there’s also a lot of gasoline being produced, U.S. refiners are producing gasoline at break-neck speed and almost producing records, and the demand while it’s good, it’s not as high as it was over the past few years where we saw record after record broken,” he said.

McTeague said if you remove the taxes, gas prices in the London region are quite low at the moment.

“You’d have to go back almost to 2006, the last time we saw prices in this range in the wholesale side because taxes have gone up dramatically in Ontario, but it looks like we’re heading toward prices we haven’t seen in quite some time.”

McTeague said even with the introduction of cap and trade fees, prices are generally at or near the same point they were at this time last year.