As forecasted by GasBuddy Petroleum Analyst Patrick DeHaan a couple of weeks ago, prices of gasoline in Moose Jaw dropped by 21 cents over the long weekend down to 168.9 cents per litre at some stations. Other stations in town have their price listed anywhere from 166.9-179.9.
Since July 6, the price of gas has fallen by 40 cents from its peak of 206.9, which broke a record for the highest price per litre ever seen in Moose Jaw dating back to 2008.
DeHaan says there have been a number of factors that have contributed to oil prices plummeting in recent weeks.
“It’s because of economic concerns. The U.S. now has seen two back-to-back quarters of negative GDP, so they are rising risks that major economies in Europe, China, and the U.S. could be slipping into a slowdown or recession, which will generally curb the use of oil. The imbalances brought on by COVID-19 have lingered into this year. Then they were exasperated by Russia’s war on Ukraine. I’ve never seen this amount of volatility in my career doing this, it’s just been off the charts.”
On Tuesday, Saskatchewan’s average gasoline price is 168.3 cents per litre, while Moose Jaw is sitting at an average of 171.9. The price drops have been seen across the country as the most expensive fuel is listed at 205.9 in Terrace, BC. Prices in Lac la Biche, Alta., have dropped 28 cents down to 129.9 making it the cheapest price in Canada.
In the coming weeks, DeHaan is hopeful that motorists will continue to get relief at the pumps as he is forecasting prices to continue to go down.
“I’m hopeful that if we can avoid disruptions and things like hurricanes it’s not impossible we could see another drop like that in the next couple of weeks.”
Gas is certainly not as inexpensive as it was at this time last year. On August 1, 2021, the average price of fuel in Moose Jaw was 131.9, 40 cents per litre cheaper than it is right now in the city (166.9).