Ontario drivers can expect a significant drop in gasoline prices starting Thursday, with a decrease of 10 cents per litre due to the transition from summer to winter gas blends. Gas analyst Dan McTeague, the president of Canadians for Affordable Energy, advises that motorists should hold off on refueling until Thursday to take advantage of the expected price reduction. The new price is anticipated to fall to 133.9 cents per litre, a drop from the previous day’s rate of 143.9 cents per litre. This change could save drivers between $6 and $7 when filling up 50 to 60 litres of gas, making it a noteworthy financial relief for many.
The seasonal switch in gas blends is a biannual occurrence, taking place once in April and again in September. McTeague explains that the costs associated with producing summer-grade gasoline are higher due to the need for additives that help prevent evaporation in warmer weather. These additives, known as alkylates, contribute to increased production expenses compared to winter blends, which can utilize cheaper by-products like butane. The substantial price difference between these two gasoline types also highlights the financial implications of seasonal variations in fuel production.
Additionally, McTeague suggests that consumers in major cities such as Toronto, Ottawa, London, and Hamilton plan their fuel purchases for the evening hours to optimize savings. He notes that gas stations tend to lower their profit margins later in the day, which results in cheaper prices, often by 4 to 6 cents per litre. According to McTeague, the optimal time to refuel would be between 6 p.m. and midnight, when prices are expected to be particularly advantageous.
Furthermore, the gas prices are anticipated to decrease even further during the evening on Thursday, potentially reaching around 127.9 cents per litre. However, if market conditions remain unchanged, these prices could bounce back up to 133.9 cents per litre by the following morning. This fluctuation emphasizes the dynamic nature of gas prices and the benefits of strategic timing for consumers.
In conclusion, Ontario drivers are notified of a timely opportunity to benefit from lower gas prices due to the seasonal switch in blends, with an expected decrease of 10 cents per litre. The insights provided by McTeague highlight the broader economic factors that influence fuel pricing, as well as practical advice for consumers seeking to save money at the pumps. Planning refueling strategies and understanding the market can significantly affect gasoline expenditure for motorists across the province.
This price drop comes as a welcomed relief for many who rely on fuel for their daily commutes. As the colder months approach, consumers are encouraged to remain vigilant about changes in gas prices while considering the implications of production methods and timing on their fuel purchases. The information shared not only serves to educate drivers in Ontario but also underscores the importance of being informed about timing and market fluctuations when refueling.
