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Drivers might see a slight increase in prices at the pumps, but it’s not going to last long.
“Maybe a four or five cent increase to $1.07, $1.08 but just as quickly as it goes up, by this time next week we will be back down to where we are today,” Senior Petroleum Analyst for GasBuddy.com Dan McTeague told Gormley on Wednesday.
He said the price of oil has been staying fairly steady since the middle of March and its been retailers who are pushing up the price to pay for overhead fees.
“Right now, it costs every gas station in Saskatoon and Regina about $.96, $.965 to buy their fuel taxes in, so the rest really represents what we call the retail margin and it’s what it takes for gas stations to run their pumps, pay for electricity, honour credit cards and pay for other overhead,” McTeague said.
He added retailers selling at a $.065 retail margin is not a lot.
He also said there currently isn’t anything indicating there could be a large price increase for the May long weekend.
— With files from Gormley.
