What a difference 12 hours can make.
Overnight, the price of gas in some parts of Canada fell between six and nine cents a litre, following a drop in the price of oil to below $92 US a barrel.
Some analysts had predicted the prices at Canadian pumps would drop, but not so quickly. Most suggested prices might start to fall next week, once the Texas refineries shut down by Hurricane Ike returned to 100 per cent capacity.
U.S. President George W. Bush on Monday said the storm's disruption would be felt at the gas pumps.
"There's going to be a pinch," Bush said. "I wish it wasn't the case, but it is."
The overnight drop in gas prices in Canada was due to the fact that Hurricane Ike caused less damage to the refineries than had been feared.
Last week, prices across Canada spiked by as much as 13 cents per litre in anticipation of gasoline supply disruptions caused by the storm as it loomed over the Texas coast, home to about 20 per cent of U.S. refining capacity.
Some, including Conservative Leader Stephen Harper, said it appeared to be price gouging on the part of the oil companies.
On Monday, Canadian motorists were paying an average of $1.42 per litre.
But even with the drop in prices, some say the cost of gas is still too high.
"It's breaking my budget completely," said Lethbridge resident Cheryl Lesergent, who paid $1.36 per litre to fill her Jeep Cherokee Tuesday. "I have really no money for any extras, like no movies, no clothes. No more T-bones!"
Lesergent said she wants to know who is profiting from the high fuel prices and why she isn't seeing some relief at the pumps.
Calgary energy industry consultant Michael Ervin said the wholesale price of gasoline is what drives the price consumers ultimately pay.
"Even though crude oil prices are continuing to decline, we're only just today seeing a decrease in wholesale gasoline prices," Ervin said.
"But certainly, with that decrease we're very shortly going to see in Calgary and other markets declines in gasoline prices at the pump."
