Alberta officially suspends fuel tax for 6 months

Many Alberta drivers were hoping to see relief at the pumps Sunday morning, with the UCP lifting the provincial gas tax for the next six months.

But a recent jump in wholesale gas prices almost negates the efforts made by the government to save Albertans money at the pumps, says Dan McTeague, the president of Canadians for Affordable Energy.

“Don’t be surprised to see $1.31 or $1.32 or a little higher or lower come today, even with the provincial government dropping taxes four cents a litre plus GST.

“We saw wholesale prices for gasoline based on the stock market… go up 20 cents a litre just in the last two Sundays, and that’s really why we are seeing prices move up as rapidly as they did.”

Alberta’s NDP is once again calling on the governing UCP for a full audit of gas prices, saying Albertans deserve to know their government will take action to prevent any price gouging.

In response, the Ministry of Service Alberta and Red Tape Reduction says prices at local stations are in line with current market conditions.

“Service Alberta and Red Tape Reduction’s Consumer Investigations Unit is monitoring gas prices at stations across the province to make sure there’s no evidence of gouging,” said Minister Dale Nally in a statement.

Electricity and natural gas rebates have also been expanded to help more Albertans this winter, and the province is also promising relief to seniors, families with children under 18, and Albertans on benefit programs starting this month.

It’s part of the UCP’s affordability action plan to help with the rising cost of living.