Albertans experienced significant price shock at the pump this Wednesday morning, with gasoline prices spiking overnight to as high as $1.849 per litre in Edmonton and $1.869 in Calgary. This dramatic increase follows a 10-cent cut to the federal excise tax, which took effect in April.
Industry analysts suggest these higher prices are the new normal due to the ongoing war impacting global supply, particularly concerning the Strait of Hormuz. Refineries are also facing challenges with feedstock due to the conflict.
The sustained high fuel costs are prompting many Albertan drivers to seriously consider electric vehicles (EVs) as a way to mitigate rising expenses. Experts note that while public transit and cycling are alternatives, higher fuel prices effectively act as a tax increase, requiring budget adjustments.
Analysts advise motorists to shop around for the lowest prices, but the overarching trend indicates continued higher prices, with crude oil prices remaining strong amid global turmoil.