Analyst argues feds and province should look into providing drivers with a tax rebate due to record gas prices

METRO VANCOUVER (NEWS 1130) – Paying more for gas than anyone else in Canada is nothing new for people in Metro Vancouver. But we’ve hit a new — and unfortunate — benchmark.

The price at the pump here — $1.619 at some stations — is higher than it’s ever been anywhere in North America. That beats a record from 2008, when people in L.A. had sticker shock while gassing up.

Dan McTeague with GasBuddy.com says, with no end to the high prices in sight, a lot of people are changing their plans — and the impact will be felt all over the economy.

“I would not be surprised to see this summer to be one in which people will withhold their discretionary spending. And that does have an effect on pretty much everything else.”

McTeague argues the feds and the province should be looking at providing drivers with a tax rebate because they are the ones cashing in, in thanks to all those taxes you pay on every litre you pump into the tank.

McTeague was part of two federal Liberal governments that offered Canadians rebates to offset high prices back in 2001 and 2005.

“I think there’s a breaking point. And I think people have reached that,” says McTeague. “Above $1.50, that was one thing, but $1.60, I think, puts us a lot closer to where many people consider this to be unaffordable.”

McTeague adds he has heard from a lot of people who are heading south, gassing up at about 50-cents a litre less than on this side of the border.

He says that’s saving them upwards of $50 a week.