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Gas prices set to climb through the summer, analyst says

Last Updated Jun 24, 2021 at 8:50 am MDT

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Summary

Gas prices are expected to climb this summer, could hit $1.40/litre


Gasbuddy analyst says COVID-19, labour challenges, carbon tox impacting price


CALGARY – Gas prices in the province have been steadily increasing as of late. According to gasbuddy.com the average price at the pumps in Alberta is around $1.30 a litre.

Patrick De Haan with gasbuddy.com says that’s up from last year’s, last month’s, last week’s, and yesterday’s averages. He says prices are rising because of limited supply and increased demand.

“Oil producers are slowly starting to respond to the increase in demand by lifting production slightly,” De Haan said.

“But because of COVID, there’s been a myriad of challenges including labour challenges to get this oil flowing to the market once again.”

De Haan also says prices are expected to keep rising into the summer, maybe even hitting $1.40 a litre.

“It’s within the realm of possibility,” De Haan said.

“As the economy continues to mend, Canadians are getting out and about. Of course, there’s an intent amount of interest to hit the roads, and with it comes increased demand.”

De Haan says the rising gas prices mostly have to do with recovering from the impacts of the pandemic but are also in part due to the increase in carbon taxes.