Besides the usual costs associated with gasoline such as taxes, price of crude oil and so on, there are now other factors that are affecting this latest surge on ridiculous prices. First of all there is supply and demand. We have an oversupply of oil and an undersupply of Gasoline according to Marvin Ryder, a professor at McMaster University’s DeGroote School of Business in Hamilton..
Also, the Canadian dollar is once again slipping in value. Cruse oil prices are presented in US Dollars.
Then we have this .. US Refineries have to do maintenance and upgrades to switch production from Winter Gas to Summer Gas !!
However, prices are not expected to stay at this level and may dip back down in time for summer.