Surrey-Whalley NDP MLA Bruce Ralston says cutting fuel taxes to lower thumping gas prices at the pump would only create a price gap that gas companies would then fill.
Ralston, now B.C.ѻýs minister of energy, mines and low carbon innovation, said in a press statement in 2019, following the release of a BC Utilities Commission investigation into gas prices, that British Columbians are being ѻýripped offѻý at the pumps.
ѻýPeople feel like theyѻýre being ripped off when they fill up at the gas station. And theyѻýre right,ѻý he said at the time.
But gas prices today, as any local commuter knows too well, have soared much higher than they were even back then.
Ralston noted the Fuel Price Transparency Act gives the utilities commission, an independent energy watchdog, the power to monitor wholesale and retail prices ѻýto make sure fuel companies arenѻýt taking advantage of the current conditions.
ѻýAnd some of the price increases are part of, reflection of the rise in the world price and the government doesnѻýt have control over that and neither do the local suppliers,ѻý Ralston pointed out.
The government, however, does have control over fuel taxes.
ѻýYeah, yeah, but what is very clear and I think thereѻýs been a lot of discussion about this, but what would happen if we were to take off or take away the fuel tax, for example a carbon tax? The gas companies would just fill that and take the money for themselves,ѻý he countered.
Ralston cited ѻýa very good exampleѻý contained in the utilities commissionѻýs most recent report comparing gas prices in Squamish with those in West Vancouver.
ѻýIn West Vancouver they pay the TransLink, 17.5 cents per litre and in Squamish they donѻýt. And guess what the gas prices in Squamish are? Theyѻýre higher than in West Vancouver. So they just fill it in, and they just take the money.
ѻýSo we donѻýt think in the long-term itѻýs good policy to take away the carbon tax. I mean, weѻýre in a climate crisis,ѻý Ralston said. ѻýI get that small businesses, whether youѻýve got a delivery business or youѻýre driving your kids to soccer, any of that kind of stuff, it is an additional financial burden, thereѻýs no doubt it, but taking away the taxes wonѻýt result in any relief itѻýd just be more money for the gas companies.ѻý
Meantime, Premier John Horgan is expected to roll out a plan soon to tackle high gas prices.
ѻýWeѻýre working on that, I mean I canѻýt get ahead of the premierѻýs office on that ѻý thereѻýs internal discussions and processes that are going through,ѻý he said. ѻýWe understand that that the crisis is now and the prices are up now, so donѻýt think thereѻýs any effort to delay it, but you canѻýt do these things at a snap of the finger.ѻý
How does Ralston feel about paying more than $2 per litre at the pump?
ѻýIѻým not crazy about it,ѻý he replied.
tom.zytaruk@surreynowleader.com
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