Gas prices set to spike to highest in 2 years
Simcoe Muskoka motorists are being warned to expect a significant hike in gasoline prices this week as prices rise to the highest level since August 2022.
According to Canadians for Affordable Energy president Dan McTeague, gas prices are predicted to increase 14 cents a litre at stations across the region and Ontario by midnight on Thursday.
That means motorists wanting to fill up on Thursday could do so at 179.9 cents a litre on average.
"In case anybody was counting, that's a number we haven't seen, a figure we haven't seen going back to August., 2, 2022," McTeague told CTV News on Wednesday. "These are very extraordinary events. We're seeing these prices move up dramatically as a result; I think we can expect that, certainly, inflation will be impacted by this."
This week's increase is due to the higher cost of summer-blend gasoline. The cheaper winter blend will return in the fall.
That's in addition to rising tensions in the Middle East, which are attributed to oil increases and Ottawa's rising carbon tax, which will all contribute to keeping prices at the pumps high this summer.
For motorists, the hike could have many deeper into their pockets.
However, for businesses that rely on transportation to operate, every cent hurts their bottom line.
"it is taking a major chunk of our profits for gas expenses," said Syed Haider, the owner of Barrie Courier Services. "It is challenging for us to raise the price to consumers."
Haider's business operates over 35 fleet vehicles on a 24/7 basis.
He said most of his clients are hospitals in the region, which requires drivers to travel anywhere from 400 km to 600 km per day.
Haider is meeting with his financial advisor to consider switching to electric, but he admits the upfront costs are daunting.
While he's still managing to make money, he said the demand for his services has decreased since the pandemic ended.
"They are still facing challenges," he added. "I can see figures. It is about 60 to 80 per cent that some are still down. The companies used to use us on a daily basis. Now, we have only three to five orders a month."
Craig Ellis of On Time Taxi has switched some of his vehicles to hybrid models to keep costs lower.
In total, Ellis has nine vehicles, split between his own company and as a broker with Deluxe Taxi in Barrie.
"We increased our rates last week, a small percentage of a kilometre," Ellis said.
Ellis anticipated the semi-annual hike and has factored in further gas hikes into how he raised his rates.
However, he's actively wanting to avoid putting the cost on his customers.
"We just can't keep gouging the customer," he added. "We've tapped out now."
CTVNews.ca Top Stories
The story of how a B.C. man found his birth mother
After his adopted parents died, Dave Rogers set out to learn more about his birth mother. DNA results and a little help from friendly strangers would put him on a path to a small town in England.
Montreal man on the hook for thousands of dollars after a feature on his Tesla caused an accident
A Montreal man is warning Tesla drivers about using the Smart Summon feature after his vehicle hit another in a parking lot.
Italy's white-collar mafia is making a business killing
Italy's mafia rarely dirties its hands with blood these days. Extortion rackets have gone out of fashion and murders are largely frowned upon by the godfathers.
Spike in 'violent rhetoric' since Oct. 7 attack from 'extremist actors,' CSIS warns
The Israel-Hamas war has led to a spike in 'violent rhetoric' from 'extremist actors' that could prompt some in Canada to turn to violence, the Canadian Security Intelligence Service warns.
Russia announces nuclear weapon drills after angry exchange with senior Western officials
Russia plans to hold drills simulating the use of battlefield nuclear weapons, the Defense Ministry announced Monday, days after the Kremlin reacted angrily to comments by senior Western officials about the war in Ukraine and Moscow warned that tensions with the West are deepening.
Summer forecast: What to expect as El Nino weakens
As Canadians brace themselves for summer temperatures, forecasters say a weakening El Nino cycle doesn’t mean relief from the heat.
Actor Bernard Hill, of 'Titanic' and 'Lord of the Rings,' has died at 79
Actor Bernard Hill, who delivered a rousing cry before leading his people into battle in 'The Lord of the Rings: The Return of the King' and went down with the ship as the captain in 'Titanic,' has died.
Dash cam catches moment suspected drunk driver hits parked car, sends it careening into North Shore flower shop
Police say it’s fortunate no one was injured or killed in a collision at North Vancouver’s Park and Tilford shopping centre Saturday evening that sent one vehicle careening into a flower shop and another into a set of concrete barriers outside a Winners store.
Israeli army tells Palestinians to evacuate parts of Gaza's Rafah ahead of an expected assault
The Israeli army ordered some 100,000 Palestinians on Monday to begin evacuating from the southern city of Rafah, signaling that a long-promised ground invasion there could be imminent and further complicating efforts to broker a cease-fire in Gaza.