Gas prices in 2017 will rise to levels higher than Canadians have seen in three years, according to a petroleum analyst, perhaps climbing to averages exceeding $1.41 per litre, the average retail price in summer 2014.
Dan McTeague, analyst with GasBuddy.com, told CTV News early January that gasoline and other energy products will likely be “far more expensive” this year, not only because of carbon pricing changes in Ontario and Alberta that took effect January 1, but also because of restricted oil supplies.
Specifically, he predicts the Organization of the Petroleum Exporting Countries (OPEC) will restrict its exports 2017; combined with Ontario’s new cap-and-trade program and Alberta’s new carbon tax, both of which should add $0.43 to $0.45 per litre to the cost of gas, prices may be the highest they’ve been in three years.
Prices in some stations in Toronto and Calgary rose more than five cents per litre as 2017 rolled in Saturday night, and the national average went from $1.120 per litre to $1.144 per litre over the past week, CTV quotes Natural Resources Canada.
The jump in fuel prices will translate into rising prices for just about everything, from home heating to groceries, which are grown and transported using fossil fuels.