The summer road trip just got more expensive with the price at the pump jumping to over $1.50/litre.
As you grumble about how much it costs to fill up, let’s start with some good news:
“I don’t expect this to be long-lasting and I don’t expect it to get much higher,” says Jason Parent, an analyst with MJ Ervin and Associates.
“There was as bit of a run-up on crude prices over the last few weeks. That’s driven wholesale prices up along with it… actually, quite a bit; in the six to seven cent range,” he adds.
This time last year, the price was $1.37/litre. Parent says crude oil prices are being driven by summer supply and demand.
“Then OPEC came out with a report that said they expect global demand to be up in 2014,” he tells us. “That drives the speculation on crude prices, and it drove it up quite a bit over the last couple of weeks. That’s what you’re seeing now.”
Prices are even higher in Metro Vancouver because of extra taxes; the average price in Canada is currently $1.32/litre.