P.G. Enjoying Cheapest Gas in B.C.
Prince George, B.C. – This weekend would be a great time to fill up your gas tank if you live in Prince George.
Dan McTeague, senior petroleum analyst at Gasbuddy.com, says at $1.02.4 up to $1.02.9 or even $1.03 a litre, the city is enjoying some of the cheapest gas prices in the province.
“It’s very close to that. You may get the odd station here and there offering it as cheap as that but no, generally speaking, as far as the Interior, as far as Vancouver, Vancouver Island, Prince George as a community is the cheapest in all of the province.”
He attributes the cheap gas to a price war in town “that doesn’t really allow them (gas station owners) to make a whole lot of money selling you gasoline.”
“Let me put it in perspective, it costs gas station owners in Prince George about 97, call it 98 cents a litre to buy gasoline wholesale with taxes in,” says McTeague.
“They’re selling it for $1.02.4 up to $1.03 and take into account the cost of honouring credit cards and other programs and they’re not really making any money. Selling gas in Prince George today is not a very profitable proposition and motorists are the ones to benefit.”
But he warns the cheap prices won’t last much longer.
“Id’ say until mid-week next week. By Wednesday we could see prices move up a bit and that’s only because the wholesale price is likely to increase by a penny or a penny and a half,” says McTeague.
“It becomes a real tipping point if it now costs them say 99 cents to a dollar to buy their gasoline. They cannot economically sell gasoline for a $1.02 then lose their shirts.”
He says that means gas prices will rise anywhere from three to seven cents a litre.
“And no, it has nothing to do with the long weekend coming up next weekend in both Canada and the U.S.”