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HomeNewsBC Economist suggests excess profits tax to deal with surging gas prices

BC Economist suggests excess profits tax to deal with surging gas prices

Gas prices are at an all-time high.

The price per litre of regular is nearing 2 dollars in the Bulkley Valley after a steep rise following the invasion of Ukraine by Russia.

Most stations are either at 194.9 or 195.9 cents per litre while the 7-11/Esso location is 169.9.

In nearby Burns Lake, the majority of locations are at 193.9 cents per litre while the Mobil is ten cents cheaper at 183.9.

In Houston, the Co-op Cardlock is 170.0 while the Petro Canada/7-11 is 175.9.

However, economist Marc Lee of the Canadian Centre for Policy Alternatives in BC told Vista Radio higher pump prices are simply an opportunity for more profits.

“The gas we are now paying two dollars a litre for comes from oil that is coming from Canadian soil. The vast majority of it is coming from Alberta. There are long-term investments companies are making when developing those resources.”

Lee mentioned the supply side is fairly stable from year to year, as is the annual demand for gas.

He also stated we should not automatically face much higher prices simply because the world price has risen.

“Consumers have been convinced against their will that they have to take 50% (higher prices) for gasoline. I think we should be either regulating the price of gas and making sure we don’t have this type of hike happening or implementing an excess profits tax.”

with files from Mike Patterson, Vista Radio staff

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