Gas prices take a leap
It’s all over the news Tuesday that gas prices went sharply up all of a sudden. The CAA says there’s no reason for it.
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steph 15:40 on 2013/02/05 Permalink
A viable substitute to tolls!
Ant6n 16:40 on 2013/02/05 Permalink
Except that tolls should be money going towards the public, not away from it.
Chris 22:17 on 2013/02/05 Permalink
Ant6n, some of the money goes to the public since the tax is applied on top of the sale price, no?
Ant6n 23:46 on 2013/02/05 Permalink
Is it? There’s sales taxes, yes. But that’s only a small percentage, most of it still goes to gas companies. There’s also gas taxes, but aren’t those a fixed? The (federal) gas taxes in the States (~20c/gallon) haven’t gone up since the early nineties, so they are actually decreasing in real values, as well as relative to the gas price.
Stefan 07:55 on 2013/02/06 Permalink
raising gas prices to counter flexible demand (i.e. weekends) is probably the cheapest and most effective system of limiting car use in the montreal area (imagine what a kilometrage system, implement in quebec, would cost).
the problem here is that there is industry collusion, which is clearly not looked into, or ignored with the help of brown envelopes, and only the private sector is profiting from it, since gas tax in quebec is a fixed amount and not a percentage of the retail price.
Kevin 11:00 on 2013/02/06 Permalink
Montrealers pay more for gas than the rest of the country for 2 reasons
1) we import our oil from overseas
2) taxes make up nearly 37% of the price at the pump.
Not that this is a bad thing…
But I don’t think any individual price hike has an effect on driving. Gouging people on a Friday isn’t going to stop them from making any given weekend trip because they’ve already made those plans.
It does have an effect on overall lifestyle charges: Quebecers buy smaller, more fuel-efficient cars than in the rest of North America.
GC 16:30 on 2013/02/06 Permalink
Do we pay more than “the rest of the country”, though? Last time I was in NB and NS, the prices were higher there. Has that changed?