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Oh but they are. Alberta's producers are forced to sell at a discount due to low/no pipeline capacity. What keeps Canada's gas prices high are lack of refining
by Danieru 4y ago
Oh but they are. Alberta's producers are forced to sell at a discount due to low/no pipeline capacity.
What keeps Canada's gas prices high are lack of refining capacity. Much of Canada's oil is shipped down south, refined in America, and sold back to Canadians.
- jleyank 4y agoI would check this as there is refining capability throughout Canada to handle local consumption. Shipping refined gas is a problem as it goes boom too easily, Canada needs the pipelines to get their product to market as Alberta is landlocked. Newfoundland has open access but it’s at the back of beyond. Edit: https://www.cer-rec.gc.ca/en/data-analysis/energy-commodities/crude-oil-petroleum-products/report/2019-gasoline/index.html https://www.cer-rec.gc.ca/en/data-analysis/energy-commoditie... Turns out that building key pipelines in other countries is stupid as a Canada to Canada pipeline went through the us. Probably cuz it was cheaper and who would have thought there’d be a difference of opinion between neighbours.
- Danieru 4y agoNice reference. It even has a page with historical graphic data showing the gradient in gasoline prices. In 2019, the newest year, it lists Edmonton at 118.9cents and Vancouver at 167.4cents. A rather massive gradient considering in theory these two markets are connected by pipeline. Note how Kamloops, also in BC and subject to the same taxes, is at 139cents.
- jleyank 4y agoIt’s also tougher to refine. Heavier than the good stuff which frustrates the producers.