Murray Wood: Elbows down, taxpayer subsidies for U.S. flights up
Murray Wood wonders why it's OK for Saskatchewan to prop up air travel to the U.S. with taxpayer dollars, but it was wro...
Commuters are not the only ones feeling pain at the pump. Saskatchewan courier services are also taking a hit with every delivery.
Oil prices have surged worldwide since the U.S. and Israel attacked Iran on Feb. 28, and despite a federal tax cut, gas prices in Saskatchewan have jumped nearly 30 per cent over the last week.
Last week, the federal government announced it would suspend the fuel excise taxes on gasoline and diesel from April 20 until Labor Day.
Read more:
- Some Sask. gas prices leap to $1.89/L on Thursday
- U of R economist unimpressed with federal government’s spring fiscal update
- Sask. flood risk continues as warmer weather approaches
As of Thursday afternoon, Gas Buddy reported fuel prices in Saskatchewan to be within the $1.53.9 to $1.89.9 per litre range.
Dean Galandie with Provincial Courier Service said his business has raised its prices to keep up with the fuel costs for around 30 trucks.
“It hits the bottom line, and the customer has to pay the price,” he said, noting a service the company used to charge $20 dollars for now costs between $25 and $30.
“Somebody’s got to pay,” he said.
Galandie said the business has not changed its day-to-day routes, but instead, the company has tried to offset rising fuel costs by adding a surcharge to bills.
He added when gas prices increase, the business applies an additional five to 10 per cent fuel charge at the end of the month to help cover those expenses.
Galandie remembered not too long ago, when he was paying $1.19 a litre. Now, he’s been paying around $1.75 per litre.
While Galandie said the customers don’t appreciate the higher prices, they understand the bigger picture behind it.
“They’re unhappy, but that’s just the way it is, they have to live with it,” he said.
Looking ahead, Galandie said introducing electric vehicles to the company would be helpful, but the business is not ready for that stage yet.
“They’re quite priced when it comes into a big, one-ton truck,” he said.
At the end of the day, Galandi said when fuel prices go down, the business will also make an effort to lower its prices.
“We like to look after our customers,” Galandie said.
