Gas prices are expected to reach an annual high this summer across Canada and into fall, with more than one factor causing the increase, experts say.

  • Cam@lemmy.world
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    1 year ago

    Gas prices will not fall until the oil sector in Canada has the freedom to operate and expand without the government trying to destroy the industry.

    And inflation needs to get under control.

    It is insane that Canada is rich in oil and decides to import so much oil from the middle east.

    • Pxtl@lemmy.ca
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      1 year ago

      They bought you a pipeline.

      And Canadian oil leaves Canada. Increasing output may help global prices and petro-province revenue, but it won’t do a thing for local prices.

      And climate change is real.

    • ZC3rr0r@lemmy.ca
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      1 year ago

      The article pretty much spells it out - OPEC controls the price of oil globally through their massive hand in the supply side of the industry. Even if you get your wish and have O&G completely deregulate here in Canada, the reality is that they aren’t going to make a dent in global oil prices regardless of output. If we produce a ton of oil, OPEC simply shuts their taps further until the prices equalize to a point that benefits the members of the cartel.

      Other than a reduction in taxes on gasoline at the pump, Canada has very little effective means of changing the cost of oil globally.

      Unless you’re suggesting we turn into Venezuela #2 and we turn all oil companies and wells into government property, build a crap ton of refining capacity on the tax payer’s penny and sell the resulting oil products at cost / at a loss. But frankly, that outcome is even worse as now we’d have 50 cents/L gas, but all our other taxes would go through the roof.

    • joshhsoj1902@lemmy.ca
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      1 year ago

      And to clarify. Canada is a net exporter of oil. But most of that oil goes west and to port. About 10% of the oil we import is from the middle east. The majority of the oil we import is from the US. And we mainly import oil because it’s cheaper to import it than it is to move that much oil east.

      At this point it really doesn’t make sense to build infrastructure to to move oil east, and really since oil is one big market, us selling and then buying doesn’t really matter…