Fuming over gas prices?

Your ire is reasonable

BY PIETA WOOLLEY | OPINION

Canada’s most northern residents endure months of extreme cold and dark that make winter on the Sunshine Coast seem like Xanadu – they also enjoy some of the country’s cheapest gasoline.

Since April of 2021, Nunavut’s gas sells at a set $1.09.9 a litre, from Iqaluit on the southern tip of Baffin Island, to Grise Fiord, more than 1,000 kilometres north of the Arctic Circle.

Shockingly, here in relatively-balmy qathet, gasoline prices reached a new record in February: $1.79.9 a litre. Unlike in 2019, that price is not out of line with our neighbouring communities (then, qathet was often about 23 cents a litre higher).

In Comox, some gas stations hit $1.79 in February as well. Courtenay topped out at $1.64.9, and Sechelt reached $1.79.9. Even Vancouver hit $1.80 a litre – though that includes an additional 12.5 cents in regional taxes.

What’s the difference? Why so cheap to bring gas across the Bering Sea, and so expensive on the

Salish Sea? In Nunavut, gas is bought, transported and sold through the Petroleum Products Division of the territorial government on a break-even basis. Much like British Columbia controls the natural gas and electricity market through Fortis and BC Hydro, Nunavut regulates gasoline.

Since 2019, the BC Utilities Commission has been investigating this province’s higher-than-elsewhere gasoline pricing. I was involved as an intervenor in the Fuel Prices Transparency Act proceeding, where Parkland (AKA Chevron) complained that the corporation would really rather not release “sensitive” pricing data for public consumption.

During the proceeding, qathet Living represented the voice of BC’s media. Parkland, Shell, 7-11, Husky and several other vast Canadian fuel corporations represented the industry. I wrote my heart out throughout 2020 and 2021, trying to convince the BCUC, over several submissions, that data transparency is very much in the public interest.

That proceeding wrapped up in February, long after it had exhausted me (but – no surprise – the lawyers for Big Gas were still going strong). A final report will come out soon – but based on its February 4 Proposed Recommendations to the BC Government (comments closed February 28), I am not holding my breath that media or citizens will be able to see much corporate fuel pricing data.

In other words, I anticipate that the “transparency” part of BC Fuel Prices Transparency Act is moot for most British Columbians. Without the balance that local, granular transparency might have promised, prices in BC will likely continue to be higher than in other provinces, and higher here in qathet than elsewhere in BC. It’s a situation made more desperate because gas prices everywhere are so extraordinary right now, due in part to surging demand, a low Canadian dollar, and the potential for increased conflict between Russia and Ukraine. So what’s next? My hope is that, without our government cracking how to effectively check the fuel corporations that supply us, the Province will seriously consider wresting control of fuel from the private market. Instead, take a page from Nunavut: buy it, ship it, and sell it for the public good… at $109.9 a litre.

The price of fuel matters a lot – both to businesses and individuals – especially in rural areas where public transportation is so sparse. I would be thrilled to be proved wrong on this. If the BCUC and the Fuel Prices Transparency Act are able to check BC’s gas prices and prove they’re fair by, let’s say this summer, I’ll salute their work as I fill my tank – whatever the price – and send a selfie to the Commission’s Chair and CEO, David Morton.

But my guess is, instead I’ll be taking a deep breath, and shelling out $2 a litre for regular unleaded, without knowing exactly who is making how much off me, and whether it’s fair.

NOT A RECORD-BREAKER, YET: 7-11 was an intervenor in the Parkland proceeding at the BCUC, for the Fuel Prices Transparency Act. This photo was taken February 23.

How much is gas elsewhere? (Week of Feb 15.)

Canadian average $1.60

qathet $1.79.9 (highest during the feb 15 week))

Vancouver $1.77

Fort St. John (cheapest in BC) $1.52.2

Calgary $1.46.6

Toronto $1.58.2

Montreal $1.67.1

Halifax $1.58.4

Nunavut $1.09.9

Weekly average, Feb 15 2022

Prices as reported at Kalibrate Global, formerly Kent Group. And, at Nunavut’s PPD, and local gas stations.