Gasoline:
Retail gasoline prices neither increased nor decreased by the end of September, ending the month at 184.3, the same as at the end of August
Retail gasoline prices in Canada were unchanged from a month earlier at 184.3 cents per litre at the end of September, after climbing to 195.0 cents per litre mid-month. Prices rose as already high crude oil prices were pushed higher in mid-September, with attacks on energy infrastructure in both the Middle East and Russia further threatening crude oil supplies. Despite the end of the busy summer driving season in September, unusually low gasoline inventories are keeping the gasoline refining margin (also referred to as the crack spread) elevated this fall, averaging close to 60 cents per litre in September and ending the month 18.2 cents per litre higher than a year ago. This, along with high crude oil prices, is keeping retail gasoline prices from the normal seasonal decline observed this time of year. Even with the federal government’s extension of the pause on the 10-cent-per-litre federal gasoline tax, pump prices remain high, more than 40 cents per litre higher than at the same time last year.
In September, regional differences in gasoline price changes were evident, with some markets rising and others falling. The largest price increase occurred in Kelowna, British Columbia, where prices rose 33.0 cents per litre over the month to 189.0 cents per litre. By contrast, prices in nearby Vancouver, British Columbia, recorded the largest declines from the end of last month, falling 16.0 cents per litre in September to 202.0 cents per litre by month’s end. At the end of September, the highest recorded prices were in Labrador City, Newfoundland, at 221.5 cents per litre, while the lowest were in Lloydminster, Alberta, at 159.7 cents per litre, a difference of nearly 50 cents per litre.
Diesel:
Retail diesel prices increased 23.9 cents per litre to 260.7 in September
High crude oil prices and record-high refining margins (crack spread) for diesel pushed diesel prices higher in Canada in September, up 23.9 cents per litre from a month ago, ending the month at 260.7 cents per litre. The crisis caused by the wars in the Middle East and Russia has disproportionately affected diesel inventories. Despite exceptionally strong refining activity this summer in North America, strong export demand for diesel fuel abroad amid the conflicts has led to exceptionally low inventories, keeping the diesel refining margin elevated. This is particularly true in North America, as seasonal demand for diesel fuel increases this time of year for agricultural and home heating use. In Canada, the diesel refining margin reached an all-time high on September 21, accounting for 142.2 cents per litre of the pump price. Compared to a year ago, the diesel refining margin ended September 72.8 cents per litre higher. Along with higher crude oil prices, retail diesel prices in Canada ended September 107.6 cents per litre higher than a year ago.
In September, except in Vancouver, British Columbia, where prices declined 1.3 cents per litre, all surveyed markets saw diesel prices rise, with the largest increase in Prince Albert, Saskatchewan, where prices rose 49.8 cents per litre over the month. At the end of September, Val d’Or, Quebec, had the highest diesel price at 295.9 cents per litre. Yellowknife, Northwest Territories, had the lowest price at 223.8 cents per litre.
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Kalibrate Canada conducts a daily survey of retail gasoline, diesel, propane, and furnace fuel prices in 77 Canadian cities.
Canadian petroleum prices are available for download and display using a variety of analytic tools on this website: Charting.kalibrate.com
