Annual Spring Gas Price Spike

[Boges]

So tonight in Southern Ontario gas prices are going up 4.5 cents/Litre to like $1.40 something.

Panic time!!!!

Yet 3 of the last 4 springs we've seen huge spikes in the price of gas. In 2008 it was 1.30/litre plus all summer until the economy tanked.

2009 I don't remember a huge spike, then again I was worried about losing my job because of the shitty economy.

So is anyone panicking? Can you afford $1.50/litre gas to get to work. Telling people to drive less is irrelevant most people have no other option than to commute, and moving to where you work in an era where you don't work at the same place for a long time isn't a realistic option.

I'm in a situation where I only have to fill up every two weeks but my wife has a significant commute. It's a tough spot, but this spring hike is nothing but profit taking. If the demand stays the same through this spike the oil companies will see no reason to lower the price.

Last year the price reach $1.40 plus in for 2 or 3 days then it went slowly down because of the outrage. I suspect the same thing to happen here.

[Moonlight Graham]

Seems every time the snow melts and the weather gets nice the gas goes up. Been like this for years. What are we supposed to do? OPEC owns us all.

[Shady]

Seems every time the snow melts and the weather gets nice the gas goes up. Been like this for years. What are we supposed to do? OPEC owns us all.

People drive more, and more people drive in the spring and summer.

[Topaz]

I heard that the prices will keep going up until after the May 24 holiday. Only way to get the prices to fall is to reduce the number of litres we buy and build up the supply. Gas only stays good for about 4-6 weeks so they can't keep it long.

[Jack Weber]

Let's all thank the oil soaked cabal of money grubbing scum for being the oil soaked cabal of money grubbing scum that they are!

Edited April 3, 2012 by Jack Weber

[MiddleClassCentrist]

Thank you oil companies.

I started carpooling this week.

If it goes up to 1.50, my budget will still reflect a 0.75/l drive into work.

Edited April 4, 2012 by MiddleClassCentrist

[Bonam]

I dunno, but for me gas remains one of the cheapest component costs of car ownership. I don't think my driving habits would be substantially impacted until prices started going up somewhere in the $5+/L range.

[bush_cheney2004]

I dunno, but for me gas remains one of the cheapest component costs of car ownership....

Agreed....gas is still cheaper than Diet Coke. Pay up or walk.

[The_Squid]

Obama's fault...

[Boges]

Agreed....gas is still cheaper than Diet Coke. Pay up or walk.

Do you require 50+ Litres of Diet coke to be satiated? If you have to fill your care up more than once a week that's more than $100/week just for gas.

What's your weekly food budget?

Insurance for most people is $150 a month or so. I'm guessing Bonam is driving 2 clicks to work each day.

Edited April 4, 2012 by Boges

[Shady]

Agreed....gas is still cheaper than Diet Coke. Pay up or walk.

Exactly. People pay more per litre or per gallon for Coke, Pepsi, coffee, milk, and even water.

[Boges]

Exactly. People pay more per litre or per gallon for Coke, Pepsi, coffee, milk, and even water.

Actually Milk is cheaper that gas. About $4.50 a gallon.

You can make coffee purchased at the grocery store for much cheaper than gas.

Water from the tap is far cheaper that gas. Bottled water at the grocery store is pretty cheap if you buy it by the case too. Ditto with Soda.

It's a false comparison though because a Litre of gas is pretty useless, when you usually need more than 50 litres to fill your tank.

Edited April 4, 2012 by Boges

[Shady]

It's a false comparison though because a Litre of gas is pretty useless, when you usually need more than 50 litres to fill your tank.

Nope. Nobody actually needs 50 litres in their tank, unless they're going on a long trip somewhere requiring many many hours of driving. Otherwise, any normal person can buy say 10 litres, and it will last quite a while in the city, going from home to work, etc.

[Boges]

Nope. Nobody actually needs 50 litres in their tank, unless they're going on a long trip somewhere requiring many many hours of driving. Otherwise, any normal person can buy say 10 litres, and it will last quite a while in the city, going from home to work, etc.

Why would anyone do that?

You fill the tank up when it's empty unless you want to keep going back everyday.

For example on Monday I heard the price of gas was probably going up for Wednesday so I filled up my tank even though it wasn't empty. About 30 litres. Hopefully I won't need gas again for two weeks.

[Shady]

Why would anyone do that?

To mitigate the cost. Also, why would one want to pay for that much up front, when if they wait a week, they could save 5 to 10 cents per litre? It's just common sense.

You fill the tank up when it's empty unless you want to keep going back everyday.

Nonsense. You'd have to be doing a lot of driving to have to keep going back everyday. Perhaps once or twice a week.

[Boges]

To mitigate the cost. Also, why would one want to pay for that much up front, when if they wait a week, they could save 5 to 10 cents per litre? It's just common sense.

Nonsense. You'd have to be doing a lot of driving to have to keep going back everyday. Perhaps once or twice a week.

It's a moot point. You're still buying gas at that price with a car that has the same gas mileage. So whether you buy it 50 litres a time or 10 litres a time it still costs the same unless you watch Tomorrow's Gas Prices Today.

[The_Squid]

Fuel efficient vehicles help mitigate the price.... I have a car with a 4-banger that gets great mileage as long as I am easy on the gas-pedal.... although it does take premium fuel, so I am paying ~$1.50/L. My truck uses significantly more fuel, but I only use that to tow the boat or if I am using logging roads, or in the snow. And, as far as trucks go, it isn't all that big.

I think the gov't should regulate gas prices.... consumers are getting screwed.

[bush_cheney2004]

Water from the tap is far cheaper that gas. Bottled water at the grocery store is pretty cheap if you buy it by the case too. Ditto with Soda.

But plenty of people buy bottled water from vending machines at far higher cost than petrol. There is a market at that price. People who don't want to pay $1.40 per liter for gas will have to make different choices.

It's a false comparison though because a Litre of gas is pretty useless, when you usually need more than 50 litres to fill your tank.

No it's not....I see people buying five or ten liters when their cash flow requires it. Filling the tank has always been a luxury and is not mandatory. Years ago, we would pull up to a full service station and shout "Fill 'er up!" as an exception, not the rule. Retailers would give away free plates or glassware to encourage fill ups or minimum purchases. People got so spoiled by cheap gas prices that filling up became commonplace.

[bush_cheney2004]

I think the gov't should regulate gas prices.... consumers are getting screwed.

In Canada, government is actually increasing the price more with tax policy.

[Boges]

But plenty of people buy bottled water from vending machines at far higher cost than petrol. There is a market at that price. People who don't want to pay $1.40 per liter for gas will have to make different choices.

That's a false comparison. I can buy coffee and bottled water cheaper, I don't have to go to Starbucks or Timmy's. You pay for the convenience of having it come out of a machine or poured in a paper cup for you.

Just like buying medicine, toiletries or other staples cost's more at a Convenience store than it does at a Wal-Mart or a Loblaws.

I have no choice but to buy gas at pretty much the same price at every station.

It's not like I get a discount if I buy it bulk.

[bush_cheney2004]

...It's not like I get a discount if I buy it bulk.

You could if you planned better. Some retailers lets customers lock in future prices, just like the big boys. Gas is cheap, especially compared to Europe.

Some of you are too young to remember no gas at all...at any price. Not pretty.

[Boges]

You could if you planned better. Some retailers lets customers lock in future prices, just like the big boys. Gas is cheap, especially compared to Europe.

Some of you are too young to remember no gas at all...at any price. Not pretty.

Maybe in America, never heard that here.

[Guest American Woman]

Some of you are too young to remember no gas at all...at any price. Not pretty.

When was there no gas at all?

[bush_cheney2004]

When was there no gas at all?

1970's .....oil embargo led to gas shortages and closed retail pumps in many parts of the US. Other schemes had odd even calendar days to ration gas by license plate number. Signs would actually read: "No Gas".

http://www.youtube.com/watch?v=PF-NIIXDffE&feature=related

[August1991]

In Canada, government is actually increasing the price more with tax policy.

That's a good point.

There is a 10 cent per litre federal excise tax on all gasoline. In Quebec, in addition, there is a 17.2 cent per litre excise tax. In Montreal, there is an additional 3 cent per litre excise tax. Lastly, the PST/GST adds 15% to the retail price (tax on a tax). I just saw gasoline at about 1.45 per litre in Montreal. About 50 cents is tax and about 95 cents goes to the retailer.

I think Vancouver also has municipal taxes on gasoline and BC has similar gasoline taxes.

In US terms, without tax, this would put a US gallon at about $3.40.

Incidentally, the 10 cent per litre federal excise tax amounts roughly to a CO2 (carbon) tax.

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IMHO, given current technology, gasoline taxes are a lousy way to tax road congestion although arguably a good way to pay for road construction. We will soon move to road use charges either with GPS or some other technology.