Drivers in Alberta can expect to see savings at the pump as the provincial government says it will watch for price gouging during the fuel tax suspension period. (Photo: Canadian Press)

By David Opinko

Alberta Government to watch for price gouging as fuel tax suspended

Jan 3, 2023 | 11:34 AM

LETHBRIDGE, AB – The provincial government says it fully expects gas stations to pass the savings onto consumers.

Effective January 1, 2023, the provincial fuel tax was fully suspended for a period of six months.

Minister of Service Alberta and Red Tape Reduction Dale Nally says drivers in Alberta can expect to pay 13.6 cents per litre less for gas and diesel.

Last month, Finance Minister Travis Toews said, depending on what type of vehicle you drive, vehicle owners can expect to save anywhere from $160 to $440 during the suspension period.

Nally adds that the government will do its part to ensure these savings are realized.

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“We expect fuel retailers to pass on these savings to their customers and are monitoring prices to ensure there’s no evidence of price gouging,” says Nally.

Nally says the Service Alberta and Red Tape Reduction’s Consumer Investigations Unit will keep a close eye on fuel prices.

“Businesses found guilty of price gouging can be fined up to $300,000 or receive up to 2 years of jail time,” Nally wrote in a letter.

Nally also took shots at the Alberta NDP and federal government for imposing carbon taxes, which he blames for expenses like fuel, utilities, food, and more increasing.

Premier Danielle Smith says in a tweet that the suspension of the provincial fuel tax is one way the Government of Alberta is supporting Albertans who are struggling with affordability.

According to GasBuddy.com, the average price for regular unleaded gas in Alberta is 128 cents per litre as of Tuesday, January 3, 2023. This marks an increase of 5.7 cents compared to the same time last week but a decrease of 7.7 cents from December 3, 2022.

Gas is a little bit cheaper in Lethbridge with gas stations charging an average of 125.9 cents per litre, unchanged from one week ago. It is, however, 14 cents less than in the same period last month.

READ MORE: Alberta Government to suspend provincial fuel tax Jan. 1