Rising gas prices creating trickle down effect on consumer goods
Gas prices are up across the region and, according to industry experts, they might not be dropping any time soon.
The increase at the pumps is also causing the price tag on consumer goods to jump.
"We are in the first inning of an energy crunch," says Dan McTeague, president of Canadians for Affordable Energy.
In Halifax's zone 1, regular self-serve is up 2.3 cents a litre, now sitting at a $1.439.
On Prince Edward Island, regular self-serve is $1.457. Diesel increased almost three cents to a little more than $1.50.
New Brunswickers are now paying $1.477 a litre, a jump of 2.7 cents.
Diesel increased to $1.55 a litre, up nearly 3 cents.
McTeague says part of the reason is the move toward renewable energy.
“Make no mistake, the green transition has a price and the price is not quite understood, nor is it being paid for, which for me, means that we’re moving to a $1.50 a litre in Nova Scotia,” says McTeague.
Home heating fuel and diesel are up too, making things difficult for the trucking industry.
For trucking companies, fuel is their second-largest cost behind labour.
Now, if the driver is an owner-operator, they have to front the cost of filling their rig.
“You can put $800 of fuel in your truck, you won’t get paid for that load for a month or more," says Jean-Marc Picard, president of the Atlantic Provinces Trucking Association. "Therefore you have to bear that cost upfront, which is a huge burden for some of those owner-operators."
A jump in gas also makes it more expensive for farmers to harvest fruit and vegetables. That, combined with the increase in shipping, means a trip to the grocery store will cost more.
"I’m sure a good chunk of those price increases is because of the cost to get to market and the cost on farms in terms of the usage of gas," says Dan Shaw, a marketing and consumerism professor at Dalhousie University.
McTeague doesn't see any decrease in prices on the horizon. In fact, he's predicting that jump at the pump to a $1.50 a litre could happen within the next couple weeks
CTVNews.ca Top Stories
American millionaire Jonathan Lehrer denied bail after being charged with killing Canadian couple
American millionaire Jonathan Lehrer, one of two men charged in the killings of a Canadian couple in Dominica, has been denied bail.
Health Canada to change sperm donor screening rules for men who have sex with men
Health Canada will change its longstanding policy restricting gay and bisexual men from donating to sperm banks in Canada, CTV News has learned. The federal health agency has adopted a revised directive removing the ban on gay, bisexual and other men who have sex with men, effective May 8.
Nearly half of China's major cities are sinking, researchers say
Nearly half of China's major cities are suffering 'moderate to severe' levels of subsidence, putting millions at risk of flooding especially as sea levels rise.
Judge says 'no evidence fully supports' murder case against Umar Zameer as jury starts deliberations
The judge presiding over the trial of a man accused of fatally running over a Toronto police officer is telling jurors the possible verdicts they may reach based on the evidence in the case.
Sports columnist apologizes for 'oafish' comments directed at Caitlin Clark. The controversy isn't over
A male columnist has apologized for a cringeworthy moment during former University of Iowa superstar and college basketball's highest scorer Caitlin Clark's first news conference as an Indiana Fever player.
Prince Harry formally confirms he is now a U.S. resident
Prince Harry, the son of King Charles III and fifth in line to the British throne, has formally confirmed he is now a U.S. resident.
'Shopaholic' author Sophie Kinsella reveals brain cancer diagnosis
Sophie Kinsella, the best-selling author behind the 'Shopaholic' book series, has revealed that she is receiving treatment for brain cancer.
LeBlanc says he plans to run in next election, under Trudeau's leadership
Cabinet minister Dominic LeBlanc says he plans to run in the next election as a candidate under Prime Minister Justin Trudeau's leadership, amid questions about his rumoured interest in succeeding his longtime friend for the top job.
U.S. vetoes widely supported resolution backing full UN membership for Palestine
The United States vetoed a widely backed UN resolution Thursday that would have paved the way for full United Nations membership for Palestine, a goal the Palestinians have long sought and Israel has worked to prevent.