Fuel tax lifted, but shopping around still best option

The Flying J on Saamis Drive NW had lists its prices for diesel and unleaded gasoline. NEWS PHOTO SAMANTHA JOHNSON, Local Journalism Initiative Reporter

By SAMANTHA JOHNSON, Local Journalism Initiative Reporter, Medicine Hat News

January 4, 2023

As of Jan. 1, 2023, the UCP government has suspended the provincial fuel tax on gasoline and diesel. Theoretically, this should equal a savings of about four cents per litre at the pumps. Initially, the relief measure will remain in place for six months and end on June 30. The government intends to review the fuel tax on a quarterly basis after this date.

In a drive around Medicine Hat, the News discovered shopping around is more effective than relying on tax cuts by the provincial government. Unleaded prices varied from a high of 134.9 cents per litre to 115.9.

Diesel prices seemed to be steadier around the city, with prices ranging from 179.9 to 193.9.

Medicine Hat resident Susan Penrose said, “there’s not a lot I can do about (the price of gas). I don’t waste gas by speeding or idling.”

Penrose travels most days out to Midnight’s Trail to visit and ride her horse, which takes about 30 minutes door to door. In November she traded in her unleaded Toyota SUV for a diesel truck.

Compared to June of 2022, when unleaded was hovering around 189.9 and diesel was upwards of $2 per litre, things are looking good. Penrose says she has noticed a difference even since she first got her truck, which she never lets get much below half a tank in the winter. In November, it was costing her almost $100 for a half-tank of gas and now she’s paying about $60.

The vast differences in prices around town didn’t make sense to Penrose, who doesn’t shop around.

“I usually go to Co-op because I’m a member,” she said. “I find the Safeway too busy over there (on Division Avenue). I often go to the Co-op in Redcliff because I like that one.”

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Higher prices on the highway made more sense to Penrose because those passing through town or visiting are less likely to shop around and will use those stations because they are convenient.

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“If you don’t know the city, they are right there and easy to see.”

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