GTA residents could soon see gas prices “take off” over the next week, with a four-cent hike expected overnight, an industry analyst tells CP24.
Dan McTeague, the president of Canadians for Affordable Energy, said Friday’s rise will be followed by a one-cent hike on Saturday and potentially another increase of four or five cents per litre by mid-week.
Prices are currently hovering around 1.54 cents per litre.
McTeague told CP24 that concerns over the debt ceiling crisis have subsided and that is one factor that is likely to cause prices to “slap back.”
“Fundamentals haven’t played a very important role in energy pricing as of late… markets have been more preoccupied with recession, interest rates, debt ceilings and the factors around the world that have very little to do with supply and demand,” McTeague told CP24 on Thursday.
“As early as week, we are going to see a pretty significant increase. How much and when it is a little bit more difficult to determine but we are in for probably what could be a 20 to 25 per cent correction at the pumps. So if you are not happy with $1.57, you are certainly not going to be happy with $1.65 to $1.75.”
Speaking to CTV News Toronto last month, McTeague said he doesn't believe prices this year will hit levels seen last summer, when gas skyrocketed to $2.15 per litre last June.
