Gas prices surge six cents in Calgary

CALGARY – Higher gas prices — much like tulips, balmy weather and daylight savings time — signal the arrival of spring.

The season got off to an early start in Calgary on Thursday, with gas prices climbing six cents to as high as 98.9 cents a litre.

It’s typical for pump prices to rise this time of year as warmer weather and the start of the driving season approach.

But the sudden spike caught Bow Valley College student Carleigh Robb off guard.

"This is not a good surprise," said Robb, as she filled her car at a northeast Esso station.

Part of the problem is that consumers have come to expect a break on gasoline, Robb said.

"Prices have been so good all winter. It’s been great," she said.

Costs tend to move in lockstep with consumer demand, experts say.

The price at the pump also rises in the spring because refiners switch to a more expensive blend of gasoline and often undergo maintenance at their facilities, which can further tighten supply.

But there is a silver lining for consumers, insists Michael Ervin of MJ Ervin and Associates, a consulting group that monitors fuel costs.

"We’re always going to see seasonal upturns in wholesale and retail gasoline prices. However, the seasonal rise is going to be much less than previous years — that’s good news," he said.

According to Ervin, local prices are unlikely to climb much above $1.10 a litre this summer, a significant decrease compared with 2008, when the cost of gas in the city peaked at $1.38.

And Calgary drivers can take comfort in the fact they still pay less for fuel than many other Canadians.

According to GasBuddy.com,a website that tracks pump prices, the national average for a litre of regular gasoline Thursday was about $1.03.

"This is the time of year when gas prices typically go up, and in this case, we did see the wholesale price of gasoline jump up," said GasBuddy cofounder Jason Toews.

Some drivers suspect the upcoming Easter holiday weekend is what’s really behind the increase.

That’s a myth, said Ervin.

"The increase in pump prices has everything to do with the wholesale supply of gasoline," he said.

tgignac@theherald. canwest.com