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Metro Vancouver gas prices could surge to new record amid Ukraine crisis

Click to play video: 'Soaring gas prices in Metro Vancouver leads to call to suspend carbon tax in B.C.'
Soaring gas prices in Metro Vancouver leads to call to suspend carbon tax in B.C.
The most immediate impact of the conflict in Ukraine can be seen at B.C. gas stations. The price at the pump has been soaring to record highs in Metro Vancouver, and is expected to keep on rising in the short term. And that has one consumer advocacy group calling on the province to get rid of the carbon tax. Catherine Urquhart reports. – Feb 25, 2022

Market watchers are predicting gas prices in Metro Vancouver could set yet another all-time record, amid the fallout of the Russian invasion of Ukraine.

It comes just weeks after prices in the region soared to new heights, topping $1.80 earlier this month.

Click to play video: 'Price at the pump expected to shatter records in Lower Mainland'
Price at the pump expected to shatter records in Lower Mainland

Petroleum analyst Dan McTeague, president of Canadians for Affordable Energy, forecast the price at Lower Mainland pumps would climb another three cents Saturday, to a new record of $1.83.9.

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McTeague said prices were expected to stabilize or fall at that point amid current international conditions.

“It looks like the threat of $100 (per barrel) oil has receded, unfortunately the reason for it has much to do with the fact we are not applying effective sanctions against Russia,” McTeague said.

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McTeague called for the suspension of B.C.’s carbon tax and Low Carbon Fuel Standard, which he said constitute about 27 cents to the price of gasoline.

Click to play video: 'Call for government regulation as gas prices soar'
Call for government regulation as gas prices soar

It’s a position the Canadian Taxpayers Federation also endorsed, arguing that while international markets are out of the government’s control, taxes are not.

B.C. director Kris Sims said carbon-related taxes added about $20 to the cost to fill up an average minivan, money she said already squeezed Lower Mainland residents can’t afford.

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“(That) $20, times every time you fill up, is not nothing. (With) $20, you could make a roast chicken family dinner, and have soup left over. That’s real money.”

“Life is really unaffordable, housing-wise, for so many people that they have to live down the valley. This is a huge cost of living increase for a lot of people and they just can’t afford it.”

Asked about whether British Columbia could alter taxes, or take the more significant step of regulating or capping gas prices, Premier John Horgan appeared cool to the idea.

Horgan said “everything is on the table when a crisis emerges,” but touted steps the province had already taken — lowering car insurance rates and giving the B.C. Utilities Commission powers to examine how fuel companies come up with their prices.

“We’re going to look at whatever tool we can to make life more affordable, but I think British Columbians also understand that we have, in our urban centres, a sophisticated public transit system that (gives) options if prices become too unaffordable in the short term.”

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Click to play video: 'From gas to meat: Russian hackers suspected of targeting major supply chains in U.S., Canada'
From gas to meat: Russian hackers suspected of targeting major supply chains in U.S., Canada

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