S/W Ontario gas prices

G’morning Bob  .................  Lately on the evening news there has been a lot of talk about the discrepancy in gas prices between the U.S. and Canada with the spread getting worse almost daily. Now they give plenty of reasons for the large gap in the price, such as taxes, lower Canadian dollar, selling Canadian product back to us after the American’s refine it, transportation and whatever other excuses they can think of when being questioned!!

 

 I would really like an explanation for the following!! :

 

I filled my tank at the local Canadian Tire Store here in London – the car took 65 Litres at $1.349/L = $87.70         -      

 

I drove to St.Thomas (Approx. 35 Kilometers) and happened to pass another Canadian Tire Store – their gas was selling for $1.233/L – Had I gassed up there the cost would of amounted to $80.15

Now my high school arithmetic tells me I paid $7.55 more to fill my vehicle.

 

The question is: Do I justify paying this additional $7.55 (to this same gas company) by saying it must be some transportation charge OR should I call it what it really is – Capitalism at it’s best: GOUGING AND GREED!!!

 

I’m thinking that if the market place (not only petroleum)  is allowed to increase prices unchallenged then pretty soon our National Healthcare we all love so much may cost us more than the country can afford!! 

 

I know, I know, it’s our sacred cow but our options will slowly run out!!

 

Later - Win

 

Thanks Win.... hopefully you don't expect a logical explanation about regional pricing differences from me.... I never could grasp why the Ottawa region was lower than Toronto since they are not in close proximity to a refinery.

 

I have come to the conclusion that the oil companies set prices according to what the regional market can bear. Now I know that they insist that there is no collusion .... stop laughing I am serious that's what I saw on Sun News so it must be a fact.

 

I once lived next door to an oil company representative and Fridays he would sit at home and call all his dealers telling them to change their prices.... all stations were doing the same thing but there isn't any collusion.

 

Taxes are the same across the Province so why the difference, can't be transportation because you are a hop, skip and a jump from Petrolia while I am less than 2 kilometers from the Oakville refinery and pay the same as London.... well I don't, Pat does.... I'm electric.

 

The oil companies get 36 billion dollars a year in subsidies from the Feds so the government has to re-coop those dollars from you and every other driver in taxes. It is yet another sad truth that I don't understand and we as Canadians have been numbed into ignoring.

 

It is not one gas station chain, one refinery...... it is one refinery.... many gas station chains