Motorists are likely hunting for bargains Wednesday – or giving in and doing a slow burn – after the price of gas jumped almost five cents overnight, just days before a long weekend.
Most service stations in the Toronto are charging an average of $1.40 for a litre of regular gasoline after a 4.5-cent spike at midnight, although some in the GTA are offering a bargain - if you can call it that - at $1.30 a litre.
One station in Whitchurch-Stouffville was reportedly charging $1.26 a litre Wednesday morning.
Prices are expected to remain at $1.40 a litre Thursday.
At $1.40, motorists are now paying almost 11 cents more per litre than they were at this time in 2011, even though crude oil prices are lower than they were a year ago, according to Tomorrow's Gas Price Today, a website that monitors and predicts fuel prices and trends across the country.
According to a statement on the website, which was founded by former Liberal MP Dan McTeague, "the industry's line for (Wednesday's) increase is due to the conversion from winter to summer gas."
McTeague's website isn't buying that explanation for the spike.
"This is a lame and well worn excuse," the website stated. "The fact is that fuel specs in Canada, unlike the U.S., don't change with the season. (The) increase is simply an excuse to ding motorists safe in the knowledge that no one will challenge this nonsense."
Analysts have offered several explanations for increases, including shortages caused by refinery shutdowns and political instability in the Middle East.
'Largely inexplicable'
But while oil prices are high, they have fallen off recent highs and there doesn't appear to be enough tightness in supply to raise prices so quickly, noted David Detomasi, an assistant professor of international business at Queen's University.
"It's pretty shocking and pretty severe and largely inexplicable ... it seems like something the gas providers feel they can get away with," he said of Wednesday's increases.
"The global economy is starting to recover but it's not in full swing yet. It's not as if we have a huge amount of constriction in the supply and demand market which may explain some of this."
There are fears the price of gas could jump to as much as $1.47 by the end of April.
Last week, some GTA gas stations were charging $1.28 a litre before a series of price hikes.
Cheap gas to be found
Here's a glimpse of some prices around Ontario, according to Tomorrow's Gas Price Today:
- Barrie - $1.37 per litre
- Brantford - $1.33
- Brockville - $1.32
- Caledon - $1.35
- Cornwall - $1.28
- Guelph - $1.40
- Hamilton - $1.36
- Kingston - $1.27
- London - $1.38
- Niagara Falls - $1.26
- Orillia - $1.25
- Ottawa - $1.33
- Sudbury - $1.41
- Thunder Bay - $1.35
- Windsor - $1.30
It's not just Ontario residents who are feeling the pinch at the pumps.
In Vancouver, most gas stations are charging $1.43 a litre, while people in Montreal are paying an average of $1.39, according to Tomorrow's Gas Price Today.
But there are cities paying considerably less than most, including Edmonton ($1.17) in oil-rich Alberta. Analysts attribute lower prices in Alberta to lower taxes.
By province, Alberta had the lowest gasoline prices at an average of $1.17 and Nova Scotia was the highest at just over $1.44 per litre, with Quebec the next highest at $1.43.
Elsewhere, in descending order, it was Newfoundland at $1.43, British Columbia at $1.371, New Brunswick at $1.367, Ontario at $1.364, Prince Edward Island at $1.334, Saskatchewan at $1.245 and Manitoba at $1.225.
With files from The Canadian Press
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