Shediac gas stations locked in price war
Gas stations are charging 107.9 cents per litre
Shediac drivers are reaping the benefits of a gas price war in the seaside town that is pushing down the cost of gas by about 15 cents a litre.
The regulated maximum price of gasoline is 126 cents per litre, but some gas stations in Shediac are charging drivers 107.9 cents per litre.
Dave Collins, the vice president of Wilson Fuels, one of the stations embroiled in the price war, said his location is the cheapest because he gives an additional discount of two cents a litre to anyone paying with a debit card or cash.
Wilson said he's selling gas below cost during the price war.
"While there is no minimum pricing law in New Brunswick, so prices can go down. It's been a long time since we've seen a price war, but that's what it looks like," he said.
Customers have their choice of gas stations to save about 15 cents less per litre.
Bernard Lafontaine pulled off the highway just to refuel in Shediac and take advantage of the cheaper prices.
"I was just driving by so I stopped, I was here earlier this week, for other business so I knew there was something going on," he said.
"It's actually cheaper today than it was two days ago."
Lafontaine said he probably saved between $10 and $15 just by stopping in Shediac to fill up his tank.
He said he remembers when gas price wars were much more common in the area.
The New Brunswick government brought in gas price regulation in 2006.
The Energy and Utilities Board sets the price of gasoline, diesel, heating fuel and propane every Thursday based on the previous week’s trading on the international markets.
The regulatory board sets the maximum price for the products, but it does not set a minimum price, so gas retailers are able to charge lower prices.
The provincial government has ruled out minimum gas prices in the past.