Cableguy
05-10-2007, 05:53 PM
It's one study where Canadians likely won't be surprised by the results. Consumers in this country are being cheated at the gas pump, according to an investigation by the Canadian Centre for Policy Alternatives (http://www.policyalternatives.ca/). The think tank found that motorists are being overcharged between 15 and 27 cents per litre depending on where they're filling up.
"For example, drivers in Toronto are currently being overcharged 15 cents per litre," said CCPA research associate Hugh Mackenzie (http://www.hughmackenzie.ca/Site/Hugh%20Mackenzie.html), who did the analysis. The economist figures that the gouging has taken place since Hurricane Katrina (http://en.wikipedia.org/wiki/Hurricane_Katrina)in August 2005. Since that time, prices have been consistently higher than they should be, taking costs of gas production and distribution into account.
Drivers in Vancouver (http://www.city.vancouver.bc.ca/) fare the worst - they're apparently paying 27 cents a litre more than they should. In Winnipeg (http://www.winnipeg.ca/interhom/)motorists are overpaying by 21 cents a litre, in Halifax (http://www.halifax.ca/)19 cents per litre, and 18 cents per litre in Edmonton (http://www.edmonton.ca/portal/server.pt).
"And every penny per litre generates an additional $1 million for the oil and gas industry every day from gasoline sales alone," says Mackenzie, who has developed a calculator (http://www.gasgouge.ca/)to determine how much consumers are overpaying depending on what they pay and where.
His report claims once the oil companies broke the psychological loonie-a-litre level, it was open season on your wallet. And they'll use whatever excuse works. When the problem is in the U.S.- like a shortage or a hurricane - that's the reason for a sudden spike. But if there's a refinery fire in Nanticoke, what's happening Stateside no longer matters, and the problem is here. The study calls both explanations "after-the-fact rationalizations for the price-gouging opportunities seized by the oil industry, or noise introduced into the discussion to distract attention from what is really going on."
For Toronto motorists willing to wait to fill up, the Canadian Tire gas bar at Queensway and East Mall (http://maps.google.com/maps?ie=UTF8&q=Queensway+and+East+Mall+toronto&ll=43.617903,-79.546251&spn=0.006338,0.014291&z=16&iwloc=addr&om=1)was charging about 20 cents a litre cheaper than the average price at other stations on Thursday as part of a special promotion. But that deal won't last, and drivers should be aware that they'll probably have to wait at least a half hour to fill up there. When asked, many motorists said they weren't surprised about having to pay more than they should be.
"Nothing will change," says William McDonald. "The oil companies will decide what they're going to charge you."
Lynd Hutchison agrees: "I'd like to see it go back to 50, 60 cents a litre. No (I don't think it'll happen), gas companies want too much of a profit."
The study information can be found from the CCPA's website:
http://www.policyalternatives.ca/
To find out how much you're being cheated on gas, try the gas gauge calculator:
http://www.gasgouge.ca/
Link to report (pdf):
http://policyalternatives.ca/documents/National_Office_Pubs/2007/Gas_Price_Gouge_2007.pdf
Gas prices across Canada
http://fuelfocus.nrcan.gc.ca/price_map_e.cfm#allprices
"For example, drivers in Toronto are currently being overcharged 15 cents per litre," said CCPA research associate Hugh Mackenzie (http://www.hughmackenzie.ca/Site/Hugh%20Mackenzie.html), who did the analysis. The economist figures that the gouging has taken place since Hurricane Katrina (http://en.wikipedia.org/wiki/Hurricane_Katrina)in August 2005. Since that time, prices have been consistently higher than they should be, taking costs of gas production and distribution into account.
Drivers in Vancouver (http://www.city.vancouver.bc.ca/) fare the worst - they're apparently paying 27 cents a litre more than they should. In Winnipeg (http://www.winnipeg.ca/interhom/)motorists are overpaying by 21 cents a litre, in Halifax (http://www.halifax.ca/)19 cents per litre, and 18 cents per litre in Edmonton (http://www.edmonton.ca/portal/server.pt).
"And every penny per litre generates an additional $1 million for the oil and gas industry every day from gasoline sales alone," says Mackenzie, who has developed a calculator (http://www.gasgouge.ca/)to determine how much consumers are overpaying depending on what they pay and where.
His report claims once the oil companies broke the psychological loonie-a-litre level, it was open season on your wallet. And they'll use whatever excuse works. When the problem is in the U.S.- like a shortage or a hurricane - that's the reason for a sudden spike. But if there's a refinery fire in Nanticoke, what's happening Stateside no longer matters, and the problem is here. The study calls both explanations "after-the-fact rationalizations for the price-gouging opportunities seized by the oil industry, or noise introduced into the discussion to distract attention from what is really going on."
For Toronto motorists willing to wait to fill up, the Canadian Tire gas bar at Queensway and East Mall (http://maps.google.com/maps?ie=UTF8&q=Queensway+and+East+Mall+toronto&ll=43.617903,-79.546251&spn=0.006338,0.014291&z=16&iwloc=addr&om=1)was charging about 20 cents a litre cheaper than the average price at other stations on Thursday as part of a special promotion. But that deal won't last, and drivers should be aware that they'll probably have to wait at least a half hour to fill up there. When asked, many motorists said they weren't surprised about having to pay more than they should be.
"Nothing will change," says William McDonald. "The oil companies will decide what they're going to charge you."
Lynd Hutchison agrees: "I'd like to see it go back to 50, 60 cents a litre. No (I don't think it'll happen), gas companies want too much of a profit."
The study information can be found from the CCPA's website:
http://www.policyalternatives.ca/
To find out how much you're being cheated on gas, try the gas gauge calculator:
http://www.gasgouge.ca/
Link to report (pdf):
http://policyalternatives.ca/documents/National_Office_Pubs/2007/Gas_Price_Gouge_2007.pdf
Gas prices across Canada
http://fuelfocus.nrcan.gc.ca/price_map_e.cfm#allprices