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MohawkWeekend wrote:So who is making the money in Canada from $7.22 CAD/$5.24 USD a gallon gas? The government?
MohawkWeekend wrote:So who is making the money in Canada from $7.22 CAD/$5.24 USD a gallon gas? The government?
MohawkWeekend wrote:Jet fuel in North America is now under $3 USD a gallon. Gasoline is selling for around $2.85 in Northeast Ohio with over $.50 cents of that being tax.
This tells me that refining margins are starting to collapse to just about a $1 USD per gallon for jet, diesel and gasoline. Not sure what break even is but if crude doesn't fall faster, some refineries are going to be losing money. And that makes marginally refineries more likely to close. Wouldn't that be wild if we'll need to subsidize those smaller refineries to keep them open? Kinda like the US is doing for old nuclear power plants. And right on time -
"California’s Newsom Proposes Limit on Oil Refining Margins". https://www.bloomberg.com/news/articles ... ng-margins
ACDC8 wrote:MohawkWeekend wrote:So who is making the money in Canada from $7.22 CAD/$5.24 USD a gallon gas? The government?
The oil companies - their profits have been skyrocketing, just as the grocery stores profits here have been as they keep pushing grocery prices beyond un-affordability.
In regards to taxes in Canada, other than the PST/GST or HST (depending on which Province you live in), taxes are fixed values so if you have a 10 cent per litre road tax, then that 10 cents remains 10 cents regardless of the price of gas.
On the plus side, we're down 60 cents CAD per litre from where we were two weeks ago and is now selling at 181.9 CAD per litre.