The federal government has asked the Competition Bureau to monitor the fuel market to ensure that there is no collusion in determining the price of gasoline as the war in Ukraine sends prices skyrocketing petrol.
The government expected fuel prices to rise in the wake of the Russian invasion of Ukraine, which began on February 24, said Minister of Innovation, Science and Industry François-Philippe Champagne, Monday.
“I took the Competition Bureau to ask them to put teams in place to ensure that there is no collusion, that there are no unfair practices,” he said. -he said during a press conference to announce the construction of a GM plant that will manufacture components for electric vehicle batteries, in Bécancour.
The comments come as the price of gasoline has surged across the country in the wake of the invasion in Ukraine. The price at the pump crossed the psychological threshold of $2 at some Montreal gas stations this weekend.
In Montreal, the average price at the pump is $1.94 per litre, according to data from CAA-Quebec. The organization estimates that the price at the pump should be $1.85, depending on market conditions. In Quebec, the average price is $1.84 per litre, which is equivalent to the “realistic” price under market conditions, again according to CAA-Quebec.
The surge in fuel prices is part of a broader context of oil supply and demand in world markets, adds Jonatan Julien, Quebec’s Minister of Energy and Natural Resources, who was also , at the press conference. “Clearly, what is happening in Ukraine means that the supply is a little damaged and that has an impact on prices. »
In the morning, the price of a barrel of oil was up US$2, or 1.71%, at US$117.84, according to the West Texas Intermediate index in New York. This is a 58% increase from the price of US$74.45 on December 31, 2021.
Quebecers do not have to worry about the supply of oil since all of the fossil energy consumed in Quebec has come from Canada and the United States since 2019, assures Minister Julien. “There are no supply issues. »