Gas prices in the Toronto area are set to drop by 12 cents in the next few days, one industry analyst says.
Dan McTeague, president of Canadians for Affordable Energy, told Global News that gas prices in Toronto and the Greater Toronto Area are expected to drop by six cents on Thursday to 173.9 cents per litre.
McTeague said prices will drop another six cents per litre on Friday, marking the lowest price recorded in the region since April 13.
In an email to Global News, McTeague said “nervous” and “panicky” energy markets are “casting aside a tight global oil market in favour of (The Organization of the Petroleum Exporting Countries’) tiny pledge to increase output by a 100K barrels a day.”
What’s more, McTeague said a “dubious energy report” on Wednesday saw a “build in oil inventories.”
He said this was due to U.S. President Joe Biden’s move to drain the Strategic Petroleum Reserve, which is “used for emergencies only.”
“This will inevitably lead to a major rebound in oil and gas prices,” he wrote. “Short term gain long term pain.”