Gas prices dropped across much of Canada on Tuesday, including in northern Ontario.
“I think they’re great for at least for today. Who knows what’s going to happen tomorrow,” a Sudbury resident said.
In Greater Sudbury, gasbuddy.com said prices fell to $1.247 a litre, compared to around $1.60 around the same time last year.
“The prices are amazing,” another Sudbury resident said.
“I haven’t seen them this low in a long time, so we’re pretty excited about it. Thinking about stocking up on it a little bit, too, with jerry cans and stuff.”
While prices traditionally fall at this time of year before providers switch to more expensive summer blends, the drop is attributed to the federal government ending the carbon tax April 1, which had been adding 15 to 20 cents per litre.
“It’s a 10 per cent decrease, but that’s pretty important,” said David Soberman, marketing professor at the University of Toronto.
“If you have to fill your car up two or three times a week, that’s 10, 20, 30 extra dollars in your pocket, which I think makes a difference in these inflationary times.”
Tax was divisive
David St. Georges is the community engagement specialist with ReThink Green, a Sudbury-based environmental advocacy organization.
St. Georges said while the carbon tax had some benefits, it was divisive.
“I’m sad that it wasn’t the right tool, but I’m hopeful the right tool will be presented in the months or years ahead,” he said.
“I think this gives us the opportunity to find a tool that both sides of the political spectrum … can engage in that will actually maximize the reduction of carbon, because, you know, if you fight against that system that is put in place for the benefit of everybody, it’s not going to be a good system.”
Soberman said with the federal election coming up April 28, he doesn’t believe whoever is elected will renew the carbon tax.
“At the same time, there is obviously a need for us to try to reduce carbon emissions and reduce our consumption of fossil fuels,” he said.
“For me, the big question is how a country like Canada will actually ever reach its carbon gas emission targets unless it does something about it. I think we’re in a bit of a quandary. Not only are we unsure about how to reach that as Canadians, but on a global basis on how to reach that.”
Meanwhile, Soberman added gas prices won’t inflate significantly any time soon.
“The main thing that drives these prices as well is the price of crude oil,” he said.
“And that is driven by many things across the globe, including the performance of our economy. So, we’ve seen a bit of a softening of the crude prices in recent months. And, if that continues, then we can probably expect to see fairly stable fuel prices for the next few months.”
