Gas prices in Alberta make significant overnight drop, not an April Fools’ joke

Filling up your gas tank just got noticeably cheaper for Alberta drivers despite the latest hike to the federal carbon tax.

Many gas stations in Calgary lowered their prices by 10 to 13 cents overnight, largely thanks to the provincial government’s decision to temporarily pause its 13 cents per litre gas tax.

That overnight dip from an average of around $1.67 per litre to about $1.55 means the average gas tank of roughly 60 litres will cost about $7.20 less to fill.

A similar price reduction took place in Edmonton overnight, with an average litre of regular grade gas going for $1.55 compared to $1.65 Thursday.

Calgary prices are still well above the $1.20 per litre average from this time last year. With so much uncertainty in the global energy market, experts say there is a chance that these lower-than-yesterday prices won’t last long.

“We might still see higher pricing at the pump,” said Vijay Muralidharan, a lead fuel and alternative fuel consultant with Kalibrate. “That’s not because the tax has not been passed through. That’s because the crude pricing and the refinery margins are still sky-high,”

He adds that there are still several other variables that could keep gas prices high, including the start of the driving season in North America which normally leads to an increase of around 10 cents per litre around this time of year.

Despite the province’s temporary removal of its gas tax, consumers are still at the mercy of gas companies who can set their own prices as they see fit.  The province plans to review its removal of the provincial gas tax in three months to see if should be reinstated.

Officials are also watching to see if the price of West Texas Intermediate will dip below $80 per barrel.

More information on what’s impacting gas prices in Alberta can be found here.

With files from CTV News’ Stephanie Thomas

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