Gas Prices - Page 34

WarrenC12 · #**661** Posted **May 28, 2019, 3:13 PM**

Quote:

Originally Posted by WestCoastEcho

The US West Coast is already short on gas and jet fuel supplies to begin with. And many of the US refineries on the West Coast sell the bulk of their product through long term contracts, meaning BC gets whatever scraps we can get from the spot market to fill our existing needs. This is why when a refinery goes down in Washington, fuel prices spike significantly in BC.

Possibly, but also note that recent documents revealed that Parkland was only operating at 80% of capacity, right around the time of our record high gas prices.

Perhaps we should "put Canada first" and stop all exports of oil to the increasingly unfriendly Communist China and make sure Parkland has all the supply it needs to refine, and the excess goes to WA state.

Just a thought...

WarrenC12 · #**662** Posted **May 28, 2019, 3:14 PM**

Quote:

Originally Posted by mezzanine

That’s the same problem AB oil has now with the TMP and its expansion. Pipeline space is sold on contract to the highest bidder.

https://www.straight.com/news/1240246/ma...peline-will-not-solve-bcs-gas-price-woes

Absolutely. It would be good to know the specifics of those contracts, when they expire, what penalties there are to break them, and so on.

We own the pipeline now, might as well exercise the control we have for our benefit.

lubicon · #**663** Posted **May 28, 2019, 6:30 PM**

Quote:

Originally Posted by WarrenC12

Possibly, but also note that recent documents revealed that Parkland was only operating at 80% of capacity, right around the time of our record high gas prices.

Perhaps we should "put Canada first" and stop all exports of oil to the increasingly unfriendly Communist China and make sure Parkland has all the supply it needs to refine, and the excess goes to WA state.

Just a thought...

I've got zero issues with this provided Parkland pays world prices for the product.

Migrant_Coconut · #**664** Posted **May 28, 2019, 8:46 PM**

Quote:

Originally Posted by WestCoastEcho

It's very much supply and demand playing a role as here in BC, there's insufficient supply compared to demand, and government policy has a ton to do with the lack of supply and a lack of ability to expand said supply.

Also, note that BC's refining margin is already high because the Parkland refinery doesn't produce regular gas; it specializes in high margin products, such as Premium gas, which allows it to generate a higher margin on its minimal output. It is a boutique shop that generates correspondingly high margins.

Notice how Montreal, Toronto, Calgary and Halifax have significantly lower wholesale prices; all 4 cities are in jurisdictions where there's more supply than demand, or access to supply from neighbouring jurisdictions, which causes prices to deflate. As a infographic as to how the situation looks on the supply side:

https://www.canadianfuels.ca/Blog/June-2...lly-use-mostly-U-S-gasoline-in-our-cars/

According to that graphic, the other region with supply problems is Ontario... but Toronto's gas is cheaper than Montreal or Halifax.

WestCoastEcho · #**665** Posted **May 29, 2019, 2:51 AM**

Quote:

Originally Posted by Migrant_Coconut

According to that graphic, the other region with supply problems is Ontario... but Toronto's gas is cheaper than Montreal or Halifax.

Toronto is at tidewater, and is connected to the entire pipeline network out east. They can get feed from both Quebec, the mid-Eastern US, and from the Maritimes. They don't have a supply issue because Ontario is extremely well connected by multiple high capacity pipelines connecting Ontario to multiple jurisdictions.

Quote:

Originally Posted by WarrenC12

Possibly, but also note that recent documents revealed that Parkland was only operating at 80% of capacity, right around the time of our record high gas prices.

Perhaps we should "put Canada first" and stop all exports of oil to the increasingly unfriendly Communist China and make sure Parkland has all the supply it needs to refine, and the excess goes to WA state.

Just a thought...

TransMountain comes under the jurisdiction of the NEB, and even though the government is the owner, all decisions regarding the pipeline, and allocations is conducted by the independent NEB.

WarrenC12 · #**666** Posted **May 29, 2019, 5:40 AM**

Quote:

Originally Posted by WestCoastEcho

TransMountain comes under the jurisdiction of the NEB, and even though the government is the owner, all decisions regarding the pipeline, and allocations is conducted by the independent NEB.

LOL I think you're being a bit naive.

WestCoastEcho · #**667** Posted **May 29, 2019, 6:33 AM**

Quote:

Originally Posted by WarrenC12

LOL I think you're being a bit naive.

That's the current legal situation, along with the fact that Trans Mountain is considered legally, a 'common carrier'. Beyond what has been allocated as being for marine transportation, the NEB cannot discriminate regarding the type of cargo, and the destination of the cargo.

WarrenC12 · #**668** Posted **May 29, 2019, 2:04 PM**

Quote:

Originally Posted by WestCoastEcho

That's the current legal situation, along with the fact that Trans Mountain is considered legally, a 'common carrier'. Beyond what has been allocated as being for marine transportation, the NEB cannot discriminate regarding the type of cargo, and the destination of the cargo.

The NEB exists at the whim of Parliament.

whatnext · #**669** Posted **May 29, 2019, 7:39 PM**

Quote:

Originally Posted by WarrenC12

The NEB exists at the whim of Parliament.

It's funny how some of our posters are against the Liberals telling the NEB what to do in terms of filling the people's pipeline, yet at the same time were happy for the government to tell the NEB what it should do in the pipeline approval process...

Trainguy · #**670** Posted **May 31, 2019, 5:50 AM**

Alberta just dropped the carbon tax and now the price at the pump is $104.9. If the Libs put their own carbon tax in, that's political suicide. The NDP found that out recently in Alberta. The Libs are probably going to get tossed in October anyway.

retro_orange · #**671** Posted **May 31, 2019, 6:26 AM**

Quote:

Originally Posted by Trainguy

Alberta just dropped the carbon tax and now the price at the pump is $104.9. If the Libs put their own carbon tax in, that's political suicide. The NDP found that out recently in Alberta. The Libs are probably going to get tossed in October anyway.

Oh?

WarrenC12 · #**672** Posted **May 31, 2019, 1:24 PM**

Quote:

Originally Posted by Trainguy

Alberta just dropped the carbon tax and now the price at the pump is $104.9. If the Libs put their own carbon tax in, that's political suicide. The NDP found that out recently in Alberta. The Libs are probably going to get tossed in October anyway.

The carbon tax accounted for pennies on the liter, if the price dropped more than the tax, it's probably market manipulation by the powers that hate the carbon tax, so they can overemphasize its effect on prices.

Anybody with a brain knows the federal carbon tax is a backstop, and will be applied now that Alberta has cancelled theirs.

whatnext · #**673** Posted **May 31, 2019, 2:28 PM**

Quote:

Originally Posted by Trainguy

Alberta just dropped the carbon tax and now the price at the pump is $104.9. If the Libs put their own carbon tax in, that's political suicide. The NDP found that out recently in Alberta. The Libs are probably going to get tossed in October anyway.

At this point the federal Liberals shouldn't be caring one bit what Alberta thinks or wants. It is pointless electorally.

logicbomb · #**674** Posted **May 31, 2019, 3:13 PM**

Find it ironic that Alberta is seeing massive forest fires and choking their own province along with other provinces with smoke but yeah, cheap gas!!!

the.tru.albertan · #**675** Posted **May 31, 2019, 3:55 PM**

Quote:

Originally Posted by logicbomb

Find it ironic that Alberta is seeing massive forest fires and choking their own province along with other provinces with smoke but yeah, cheap gas!!!

Fuel price and wildfire have no correlation to each other. We've had massive forest fires since forever ago.

the.tru.albertan · #**676** Posted **May 31, 2019, 3:57 PM**

Trudeau WANTS high fuel prices. He was asked about the situation in Vancouver. I believe his exact words were 'exactly what we want.'

SFUVancouver · #**677** Posted **May 31, 2019, 4:05 PM**

Now this is going to shock people, and I realize that it is wholly without precedent, but the price of gas went up 12.5 cents a liter overnight in Kelowna just in time for the weekend.

WarrenC12 · #**678** Posted **May 31, 2019, 4:13 PM**

Quote:

Originally Posted by SFUVancouver

Now this is going to shock people, and I realize that it is wholly without precedent, but the price of gas went up 12.5 cents a liter overnight in Kelowna just in time for the weekend.

Was cheap in Vancouver last night, I saw a lineup at 149.9 I believe. I wish the government would stop changing the carbon tax all the time.

Airboy · #**679** Posted **May 31, 2019, 4:24 PM**

The 1.04-1.06 gas is only temporary. Our fuel cost always drop just after May long weekend. Then they will start climbing through the summer. Figure our price at the pump will be up 20cents but July.

The price for a barrel of oil went down yesterday as well.

Wholesale fuel prices were also down a bit.

The carbon tax is still on the big emitters.

whatnext · #**680** Posted **May 31, 2019, 4:39 PM**

Quote:

Originally Posted by the.tru.albertan

Fuel price and wildfire have no correlation to each other. We've had massive forest fires since forever ago.

I believe he was refrring to Climate Change and wildfires.