September 1, 2017 1:24 pm
Updated: September 2, 2017 6:55 pm

Nova Scotia hits reset on gas prices, invokes ‘interrupter’ clause

WATCH ABOVE: The provincial gas regulator has invoked the ‘interrupter clause’ due to a ‘significant’ hit to the gasoline market because of oil refineries shut down by Hurricane Harvey. Alexa MacLean reports.

A A

Nova Scotians should expect gas prices in the province to change after the provinces’ Utility and Review Board (NSUARB) decision to invoke their “interrupter” clause.

It’ll go into effect after midnight on Friday.

The board’s decision comes after “significant shifts in the market price of gasoline” in the wake of Hurricane Harvey.

Story continues below

READ MORE: Canadian gas prices could jump by over 9 cents per litre, thanks to Hurricane Harvey

Friday saw gasoline across the province jump by seven cents to 113 cents per litre.

Fred Bergman, a senior policy analyst with the Atlantic Province Economic Council, told Global News earlier this week that Atlantic Canada was expected to see a jump of about five to six cents or more per litre.

Dan McTeague, senior Canadian petroleum analyst with GasBuddy, said that he expects to see the gas prices climb when the reset comes into effect.

“I’m going to say a minimum of nine more cents from where you are today,” McTeague said. “More likely an 11-cent increase.”

WATCH: Hurricane Harvey expected to raise Atlantic Canada gas prices

The interrupter clause is a tool that is supposed to be used to respond to sudden and significant spikes in petroleum product prices.

Essentially, it allows the board to interrupt the regularly scheduled weekly setting of prices or to reset the price for the security of supply.

According to a pricing breakdown provided by the NSUARB, the interrupter clause was last used in Sept. 2, 2015.

– With files from Rebecca Joseph

© 2017 Global News, a division of Corus Entertainment Inc.

Report an error

Comments

Want to discuss? Please read our Commenting Policy first.

Global News