Whereas in November of 2019 the BC government introduced the Fuel Price Transparency Act to help bring transparency to transportation fuel pricing in the province; And whereas resulting BC Utilities Commission studies and data collection has found higher retail markup margins in specific rural markets, such as in March 2022 the BC Utilities Commissions Exploration Project 3, Retail Margins and Price Factors for Select cities including Golden, Revelstoke, Powell River, Sicamous, Whistler and Squamish, as well as stations in nearby cities found that sampled gas stations in those markets appeared to earn higher margins on each litre of gasoline sold than the sampled retail stations in Metro Vancouver and the BC average; And whereas consumers in these and other rural markets often pay more per litre for transportation fuels such as gasoline and diesel than consumers in Metro Vancouver where there is an additional 18.5 cents per litre TransLink tax: Therefore be it resolved that UBCM ask the BC government to follow through with legislative andor regulatory action that will provide relief to consumers in rural BC fuel markets that experience chronic unexplained retail transportation fuel markups and higher than average transportation fuel prices.
Ministry of Energy, Mines and Low Carbon Innovation Since 2019, this Government has taken a series of proactive steps to provide a greater level of transparency to how fuel prices are set around the province. The Fuel Price Transparency Act FPTA aims to look behind the curtain of the market for gasoline and diesel by collecting information and publishing from companies selling fuel in the province. As administrator of the FPTA, the British Columbia Utilities Commission BCUC has launched and maintains an open and transparent website that provides insights into the various components that make up our fuel prices the price of crude oil, wholesale margins, retail margins and taxes. We believe information behind fuel pricing should be available to British Columbians so that companies will be publicly accountable for unexplained markups and cost increases. If the BCUC identifies any egregious market behaviour, Government will review the evidence and take appropriate action to protect British Columbians. Dedicated motor fuel taxes, which apply in certain regions in the province, go to three organizations: the South Coast British Columbia Transportation Authority TransLink; BC Transit; and the BC Transportation Financing Authority. The dedicated tax on clear gasoline and clear diesel fuel sold inside the TransLink region is 0.185 per litre. Purchasers of gasoline or clear diesel inside the TransLink service area where this dedicated tax applies must pay the fuel levy at the pump. Prices vary from one region to another for several reasons, including delivery costs, municipal taxes and local competition. Some communities or neighbourhoods have more gas stations than others and this generally helps keep prices lower than in areas with fewer gas stations. The Province of BC does not regulate the retail price of gasoline or diesel. This means that prices can fluctuate as BC relies on a competitive market to determine the price consumers pay for fuels. There are currently no mechanisms in place in BC through which to regulate the price of gasoline or diesel. The BCUC is currently undertaking a more detailed analysis beyond the wholesale gasoline market looking at the difference between prices at the pump in relation to retail prices across Canada. We look forward to reviewing this analysis, which is expected to be released in November 2024. The topic of household energy affordability is a priority for Government. Budget 2023 included a number of affordability measures, including an increase in the Climate Action Tax Credit.