Gas prices on the rise for 2017

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2017 will be an expensive year for drivers. Gas prices are going up two cents a litre tonight, but this is only the beginning.

Senior petroleum analyst Dan McTeague says this is mostly because of the organization of petroleum exporting countries, and their agreement to cut supply. Everyone is used to gas prices changing by the hour, but 2017 will be a different year when it comes to energy.

The Provincial Government’s cap and trade on gas will begin on January 1st in hopes of reducing carbon dioxide emission. This means the price of gas will increase by 4.3 cents a litre in addition to the regular fluctuations that are already seen at the pumps today.

‘It wouldn’t surprise me to see $1.16 a litre or $1.17a litre in just five short days”

The average compact sedan, such as a Honda Civic has a fuel tank that holds 45 litres. At a $1.10 a litre, it would cost about $50 to fill up. Add the 4.3 cents a litre for cap and trade, and that same car would cost about $52 to fill up.

McTeague says cap and trade will not deter people from using their vehicles. He believes it will just contribute to a poorer economy. He says by summer time, $1.25 a litre for gas could be the new norm.