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Gasoline prices in Metro Vancouver headed for $ 2 due to Ukrainian uncertainty

Sanctions on Russia’s oil exports against provocative invasions into Ukraine are squeezing already scarce fuel supplies and raising local gas prices.

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The soaring gas prices, which hit a record of 186.9 cents per liter in most of Metro Vancouver on Wednesday, leave limited options for dealing with limousine company manager Kyleso.

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“Our travel charges are controlled by (Passenger Transport Commission) and it is said that we can charge a 5% fuel surcharge,” says Seo.

Gas prices have already risen 30% in the last five months, and the cost of a round trip from Vancouver to Whistler was $ 70 last fall, compared to $ 90 for gas, according to Seo. Did.

And if prices go up, “all we can do is pray for gas prices to go down,” Seo said. Settled.

Long-time oil analyst Dan McTig estimated that after hitting a record of 186.9 cents per liter on Wednesday, it would rise another 7 to 193.9 cents on Thursday and another 7 to 200.9 cents on Friday.

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McTeague, an analyst at GasWizard.ca, a fuel price forecasting website and president of Canada’s Affordable Energy, said: It can be even uglier in the short term. “

On Tuesday, Canada joined sanctions on Russia, which bans the country’s oil imports. This has been largely symbolic since Canada last purchased oil from the country in 2019, but the price of North Sea Brent crude, a key indicator, has risen by 7.6%. Wednesday is $ 112 per barrel.

“Sooner or later the market will find a true (level), but only if there is absolute certainty that there is an alternative supply,” McTieg said. “And now the world wants more oil (but) less.”

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Meanwhile, McTeeg said high prices have pushed up all costs, from food to agriculture, agriculture and forestry, and “even the (production) costs of electric vehicles will go through the roof.”

Film industry location scouts, Cyframe, are trying to maintain a more open-minded view of high prices for reasons, but they are influencing the bottom line of the company he works for.

“The withdrawal of these fuels is the result, so when you find out that there are many difficulties in Ukraine, you will feel guilty (dissatisfied) that it has affected me,” Frame said. Said.

“Yes, it definitely affects our bottom line, so I hope it doesn’t last long,” Frame said of his employer, Location Fixer.

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The frame vehicle is a more fuel efficient Ford Escape hybrid, but his job is to drive for hours a day, and he burns a tank and half the gas a week. It costs $ 80 now, compared to $ 65 last summer.

“Is it really slowing me down because my work needs to get to these places,” Frame said. “I have to keep doing that, it’s not really an option. I have to pay more.”

The Metro was already struggling to distribute fuel for several weeks at the end of November last year when transportation on the Trans Mountain pipeline was interrupted. Catastrophic storms and washouts were forced to close while the crew supported their rights to the road.

Mr. McTigue said Trans Mountain’s shipments have “returned to near normal,” but the company is likely still catching up with delivery promises due to the interruption. And McTeague argued that Canada, which has significant reserves, could now fill part of oil demand, but “takeaway capacity” means an additional pipeline that helps alleviate short-term problems. there is not”.

“The risk premium (of oil prices) is based on Vladimir Putin’s ability to fund the war in Ukraine.” And this is Russia wise, even after the dust has settled. Even if you decide to do something and get out of hell, it will be a long-term entanglement (Ukraine). “

depenner@postmedia.com

twitter.com/derrickpenner

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Gasoline prices in Metro Vancouver headed for $ 2 due to Ukrainian uncertainty

Source link Gasoline prices in Metro Vancouver headed for $ 2 due to Ukrainian uncertainty

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