Eastern Canada sees price jump at the pump, but experts say gas costs could level off

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Eastern Canada sees price jump at the pump, but experts say gas costs could level off
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Gas prices rise to around 164.9 cents per litre across much of Ontario, as the price of oil edges just under US$80

After a surge in gas prices across Eastern Canada earlier this week, experts say costs at the pump could level off despite the typical high-demand period associated with this time of year.

The eight-cent jump was likely fuelled by the annual switchover to summer blends, which improves fuel efficiency in summer temperatures, but at an increased cost, said Roger McKnight, chief petroleum analyst at En-Pro International. But McKnight said this year could be an outlier, with inflation and the threat of a recession holding demand back. He called it a “state of flux” as analysts wait to see how the state of the economy will influence prices in the months ahead.“Gasoline prices are sort of the sacred cow. It doesn’t seem to matter how high the price goes, people will still got to get on the road unless there are other factors that are going to intimidate them to stay at home.

Teresa Di Felice, assistant vice-president of government and community relations for the Canadian Automobile Association’s south central Ontario branch, said the lasting impacts of world events such as the Russia-Ukraine war are also still taking their toll on fuel prices.“We’re still seeing unrest and more people are starting to drive again.

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