Title Image
Title Image Caption
Some refinery problems are likely to keep the price of gas higher than normal through the long weekend.
Categories

Gas prices have seen a tumultuous summer with refinery failures in North America throwing prices into the air across the country.

That, combined with summer fuel being more expensive and travel being more prevalent during the summer means that prices can be a concern for some.

Gas Buddy's Head of Petroleum Analysis Patrick De Haan says that prices are up headed into the Saskatchewan Day long weekend.

"We've seen prices shoot up here over the last week, really the last couple of weeks, all of that due to refinery issues down in the states, the provincial average is now about 164.3. That's up about 3 cents a litre from last week."

"It's also up about 12 cents a litre from where we were a month ago, so going into the long weekend, gas prices have been going up, and with a couple of new refinery issues down in the states, we may see a little bit more upward pressure on prices here over the days ahead before relief should start to arrive in mid to late August."

De Haan says that relief comes in the form of a moderate decline in gas prices which has been showing up recently, barring any major political or meteorological events.

"Typically, with the absence of a major hurricane, we do tend to see gas prices declining through the closing end of the summer and that is simply because gasoline demand tends to start declining as we get closer towards colder weather. So certainly some good news there, but a little bit of a hump at the pump that we'll have to get over here with some of those refinery snags that may still be ongoing."

Gasoline demand likely won't spring upwards for the long weekend as De Haan says many families instead spend the time relaxing at home.

"There may be a little bit more localized driving, but gasoline demand is not likely to be significantly higher. That's what we tend to find for most holidays, while there may be more Canadians on the road here going into the long weekend, all in all, people generally utilize these summer holidays to go rest and relax."

"So while more may be driving this holiday weekend to and from their destinations. It usually is a pretty quiet weekend aside from getting there and back, and so typically summer holidays don't usually lead to necessarily an increase in demand, but generally a shift in demand as more travel at the start of the weekend and at the conclusion of it."

Portal