If you’re one of the many people hoping for some relief from the spike in the price of gas at the pumps, don’t hold your breath.
The ‘official’ explanation is the shut down of refinery operations in Texas as a result of the terrible flooding, but that shouldn’t have affected the price of gas that’s already at your local gas station, but it did.
READ MORE: Harvey: GTA gas prices could see sharp hike in coming days due to flooding, damage
Higher gas prices don’t just affect the weekend traveller to cottage country; it increases the cost of transporting goods which translates into higher prices at the grocery store for instance.
But don’t look to our governments to step in and do something about the price setting that goes on.
Don’t forget that the gas tax that the feds and the provinces charge is a percentage of the price of the fuel.
READ MORE: Harvey’s Texas flooding to cause gas price hikes across North America
So, when the price of gas goes up, so does the tax revenue for the government.
Of course, everyone denies that there is collusion between the oil companies and the government, but let’s just say that it’s a scenario that benefits both of them as they dig deeper into our pockets.
It’s their version of the golden rule; those who have all the gold, get to make all the rules!