Gas prices plummet in B.C.'s Lower Mainland

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Gas prices are once again on the move in B.C.’s Lower Mainland but this time in the other direction.

The sticker price at many pumps sit at 203.9 cents per litre which is a 10 cent drop from last week with prices potentially falling an additional three or four cents this week.

President of Canadians for Affordable Energy and gas analyst, Dan Mcteague, told CTV News on Monday morning that the relief is being felt across North America with oil prices dropping from $86 per barrel to around $81.

He says this was a response to a risk premium that was put on oil as a result of escalating tension in the Middle East last week. Although, this week, McTeague believes markets feel more comfortable with oil prices being lower while local factors are also driving down the price.

“In the Pacific Northwest, the four refineries we have, seem to be doing well including our own in our own backyard here at Parkland,” said McTeague. “Everyone seems to be back up and running.”

He went on to say that the utilization rate has increased during a time of the year when refineries are finishing their spring maintenance while switching to summer fuel blends.

Gas prices in the Vancouver area are some of the highest in Canada and McTeague believes that won’t change. The instability of the market will continue over the coming month as the kickoff to the summer driving season begins in the United States.

“Anything can happen over the next four weeks and we could see a resumption of prices should something unforeseen or unforetold take place,” said McTeague.