PEI

P.E.I. gas price hits another record; heating oil, diesel also up

The price of gas rose for the third Friday in a row and is at a new record high. Prices for diesel and heating oil were up for the second time this week.

Previous gas price record was set last week

Gas prices climbed over $2 a litre in mid-May, and have stayed there. (Graham Hughes/The Canadian Press)

The price of gas rose for the third Friday in a row and is at a new record high. Prices for diesel and heating oil were up for the second time this week.

This was the regular weekly review from the Island Regulatory and Appeals Commission.

The minimum price at the pump for a litre of regular gasoline is up 5.7 cents to $2.18. Last week's price was also a record high.

The pump price of diesel was up the same amount, 5.7 cents, to $2.28. The maximum price for heating oil rose a penny to $1.74. Friday's increase came in addition to an unscheduled adjustment on Tuesday.

Diesel and heating oil prices are still lower than records set at the end of April.

IRAC has added a page to its web site to explain why gas prices are so high.

It notes the Russian invasion of Ukraine has disrupted the supply of oil from Russia. It also references an increase in the carbon levy, which added five cents to the price of gas and seven to the price of diesel.

Analysts have also laid some of the blame on the pandemic.

Many refineries shut down with low demand during the pandemic, and refining capacity has remained low as demand increased. That high demand and low supply has allowed the refineries that are operating to increase their profit margins.

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