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Cutting fuel tax won鈥檛 reduce high prices at the pumps, Surrey MLA says

Bruce Ralston, B.C.鈥檚 minister of energy, mines and low carbon innovation, noted in 2019 consumers were already getting 鈥榬ipped off鈥 at the pumps
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Surrey-Whalley NDP MLA Bruce Ralston, minister of energy, mines and low carbon innovation. (Black Press Media file photo)

Surrey-Whalley NDP MLA Bruce Ralston says cutting fuel taxes to lower thumping gas prices at the pump would only create a price gap that gas companies would then fill.

Ralston, now B.C.鈥檚 minister of energy, mines and low carbon innovation, said in a press statement in 2019, following the release of a BC Utilities Commission investigation into gas prices, that British Columbians are being 鈥渞ipped off鈥 at the pumps.

鈥淧eople feel like they鈥檙e being ripped off when they fill up at the gas station. And they鈥檙e right,鈥 he said at the time.

But gas prices today, as any local commuter knows too well, have soared much higher than they were even back then.

Ralston noted the Fuel Price Transparency Act gives the utilities commission, an independent energy watchdog, the power to monitor wholesale and retail prices 鈥渢o make sure fuel companies aren鈥檛 taking advantage of the current conditions.

鈥淎nd some of the price increases are part of, reflection of the rise in the world price and the government doesn鈥檛 have control over that and neither do the local suppliers,鈥 Ralston pointed out.

The government, however, does have control over fuel taxes.

鈥淵eah, yeah, but what is very clear and I think there鈥檚 been a lot of discussion about this, but what would happen if we were to take off or take away the fuel tax, for example a carbon tax? The gas companies would just fill that and take the money for themselves,鈥 he countered.

Ralston cited 鈥渁 very good example鈥 contained in the utilities commission鈥檚 most recent report comparing gas prices in Squamish with those in West Vancouver.

鈥淚n West Vancouver they pay the TransLink, 17.5 cents per litre and in Squamish they don鈥檛. And guess what the gas prices in Squamish are? They鈥檙e higher than in West Vancouver. So they just fill it in, and they just take the money.

鈥淪o we don鈥檛 think in the long-term it鈥檚 good policy to take away the carbon tax. I mean, we鈥檙e in a climate crisis,鈥 Ralston said. 鈥淚 get that small businesses, whether you鈥檝e got a delivery business or you鈥檙e driving your kids to soccer, any of that kind of stuff, it is an additional financial burden, there鈥檚 no doubt it, but taking away the taxes won鈥檛 result in any relief it鈥檇 just be more money for the gas companies.鈥

Meantime, Premier John Horgan is expected to roll out a plan soon to tackle high gas prices.

鈥淲e鈥檙e working on that, I mean I can鈥檛 get ahead of the premier鈥檚 office on that 鈥 there鈥檚 internal discussions and processes that are going through,鈥 he said. 鈥淲e understand that that the crisis is now and the prices are up now, so don鈥檛 think there鈥檚 any effort to delay it, but you can鈥檛 do these things at a snap of the finger.鈥

How does Ralston feel about paying more than $2 per litre at the pump?

鈥淚鈥檓 not crazy about it,鈥 he replied.



tom.zytaruk@surreynowleader.com

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About the Author: Tom Zytaruk

I write unvarnished opinion columns and unbiased news reports for the Surrey Now-Leader.
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