According to a new report, Montreal and Quebec remain in the middle of the pack when it comes to gas prices and taxes, but one organization would like more done to reduce the cost for consumers at the pump.
The Canadian Taxpayers Federation (CTF) released its “Gas Tax Honesty Report“, which places Montreal sixth in the country (among cities and provinces) on its gas price ranking and Quebec eighth. Newfoundland and Labrador ranked first, followed by Vancouver.
The average price in Montreal, the report reads, is $1.75 with a pre-tax price of $1.07, and Quebec’s price is $1.70 after tax and $1.05 before.
On the CTF’s gas tax ranking, Vancouver is at the top, with Montreal at fifth (third among cities) and Quebec at sixth.
The CTF applauded Francois Legault’s government’s move to end the minimum gas price, and is asking for more cuts at the pump.
“For too long, the minimum prices artificially stopped gas stations from being more competitive and offering better prices, and Quebecers have all the reason to be happy to see it disappear for good,” said CTF Quebec director Nicolas Gagnon. “By getting rid of such a mechanism, the Legault government concedes that Quebecers are paying too much at the pump.”
Energy expert professor Pierre-Olivier Pineau said that the price floor protects small, independent gas stations so larger chains cannot drop their prices to a point that the small stations cannot match and sustain.
“It’s sometimes used as a strategy to make some businesses go out of business,” the HEC Montreal professor said in May when the suggestion of removing the floor was announced.
The CTF report says that between 38 and 39 per cent of the price at the pump in the province is tax equal to about 65 to 68 cents.