Gas price forecaster predicts cost at area pumps will hit nearly $1.70
Average gasoline prices in Edmonton increased by about five cents per litre on Friday, and a forecaster expects it to jump by another nickel to nearly $1.70 per litre on Saturday.
According to Natural Resources Canada, the average retail fuel price in Edmonton on Thursday increased by 5.2 cents per litre since Thursday (and 16.9 cents per litre since May 3) to hit 164.8 cents per litre on Friday.
Price prediction website Gas Wizard expects the cost of regular gas in the city to reach 169.9 cents per litre on Saturday.
Dan Mcteague, president of Canadians for Affordable Energy and manager of the Gas Wizard site, flagged demand as a contributing factor as jurisdictions lift public health restrictions created in response to the COVID -19 pandemic.
“The rush to get back to normal means a lot more demand,” he said, noting that the demand for gasoline typically tends to rise with the summer driving season.
Gas Buddy, a website and app that tracks prices across Canada and the U.S., reported individual service stations charging between 151.9 cents per litre to 168.9 cents per litre Friday evening.
The average retail price in Calgary also jumped from 163.7 cents per litre to 171 cents per litre between Thursday and Friday according to Natural Resources Canada. Gas Wizard expects it to reach 171.9 cents per litre on Saturday.
The pinch at the pumps has led to price increases for businesses such as grocers and brewers.
Blair Berdusco, executive director for the Alberta Small Brewers Association, said costs have jumped for everything from boxes to labels to brewing.
Still, she noted, those costs have been largely consumed by the craft breweries in an effort to stay competitive and affordable. For newcomers to the sector, it's easier said than done, and it is likely only a matter of time before the cost of a six-pack will also increase further.
“I think it's a fair assumption that at some point there is a tilt that will force the hand of any business,” Berdusco said. “We're optimistic it won't happen but you can only go so far until you're forced to make that decision.”