COLE HARBOUR, N.S. -- It’s now almost a year since a state of emergency was first declared in Nova Scotia.

There’s no question the economy has stalled during the COVID-19 pandemic.

To protect consumers, the provincial state of emergency that’s been in place for nearly a year has a section that prohibits price gouging.

Part of the Emergency Measures Act prohibits price gouging on necessities like gasoline, but the price at the pump has gone up about 50 cents a litre during the state of emergency.

"It would appear that the regulation that has been imposed obviously to take into account a short-term emergency would of course not been able to take into account and extend an emergency," said Dan McTeague of Canadians For Affordable Energy said via Zoom from Toronto.

According to the Emergency Measures Act, "no person in the province may charge higher prices for food, clothing, fuel, equipment, medical supplies or for the use of property, services, resources or equipment than the fair market value of the same thing immediately before the emergency."

A look back shows the maximum price for self-serve gasoline in Halifax on March 20, 2020, was 73.8 cents a litre. That was two days before the province declared a state of emergency.

"The Emergency Act is speaking to is exorbitant profits that businesses aren’t permitted to take on," said Nova Scotia Premier Iain Rankin.

But keeping up with global price increases is necessary.

Petroleum analysts say if a retailer couldn’t pass on wholesale price increases, their business would close.

"The problem is if you were a station owner and the government strictly forbids you to pass your price difference onto the pump, that could put you out of business," said Patrick De Haan, a petroleum analyst with Gas Buddy.

Another factor to consider is that petroleum suppliers would simply divert their shipment by tanker or pipeline to regions and retailers that are able to pay the market value for their oil, creating a shortage here.

"It’s nice to say that we have this regulation to protect consumers, but ultimately it will have the unintended consequence and effect of actually harming consumers uniquely here in the province versus any other jurisdiction I can think of," said McTeague.

So, the extra cost at the pump is necessary to keep the economy rolling.