Factors that Affect Gas Pricing

Factors that Affect Gas Pricing

The price of a tank of gas is one of the biggest financial concerns for drivers. Knowing what drives those prices can help you keep some dollars in your pocket. Here’s 5 factors that can affect the cost of gas at pacific pride cardlock locations and beyond.

Gas Stations on the Same Corner

Gas stations are sensitive to customer awareness of their pricing. This means they will either price match or lower their price based on local competition—bringing the cost down for you.

Gas Prices Change Quickly

Everything from the weather to foreign markets can have an impact on gas prices. If you want to stay ahead, keep an eye on severe weather in the oil producing places of the world. The seasons also have a big impact. More people vacation in warmer months which drives prices up.

Prices Can Be Higher at Different pacific pride cardlock Locations

There are a few reasons for this:

  • Areas with fewer competition typically have higher prices.
  • Provinces that are able to sell more gas can lower prices because they have a higher volume of sales.
  • It costs more to ship fuel to hard to reach places than it does well connected areas.

Differences Between Canadian and American Gas Prices

While the prices may seem different, once you factor in regional taxes and convert USD to CAD, they wind up being similar. Canadian gas prices often come in a little bit lower than American.

The Impact of Other Fuel Costs

While gasoline prices usually follow the cost of crude oil, other fuels, such as those used for home heating and diesel, don’t usually have an impact on gas. These other fuels have a much more fixed usage and are often negotiated in bulk which keeps their prices stable.

Edward Powell

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