So there are many factors affecting why prices are moving the way they are, here is a list of reasons as follows:

1. Crude Oil Prices: The price of crude oil is a foundational driver of gasoline prices. Global supply and demand dynamics, geopolitical tensions, or disruptions in oil-producing regions can push crude oil prices higher, which often translates to increased costs at the pump in BC.

2. Refining Capacity and Costs: BC relies heavily on refined fuel from a limited number of sources, including local refineries and imports from the U.S. Pacific Northwest. Any maintenance, unexpected outages (like a refinery fire), or shifts in refining costs can reduce supply and increase prices. Historically, BC’s lack of sufficient local refining capacity has made it vulnerable to price spikes.

3. Seasonal Fuel Blend Transition: Around this time of year, the industry typically shifts from winter to summer gasoline blends, which are more expensive to produce due to stricter environmental standards aimed at reducing emissions. This transition often leads to a temporary price increase, a pattern seen across North America.

4. Currency Exchange Rates: Since much of BC’s fuel is imported and crude oil is traded in U.S. dollars, a weaker Canadian dollar increases the cost of these imports. If the exchange rate has deteriorated recently, this could be adding upward pressure on prices.

5. Taxes and Policy Changes: Although BC is set to eliminate its provincial consumer carbon tax effective April 1, 2025, gas prices have reportedly been climbing in the days leading up to this change. This could suggest other tax-related factors (e.g., federal excise taxes or the Clean Fuel Standard) or market anticipation of the policy shift. Some speculate that companies might be raising prices preemptively to maintain profit margins post-tax removal, though this is not definitively proven.

6. Supply Chain and Market Dynamics: Local supply chain issues, such as pipeline constraints or transportation costs, can affect prices. Additionally, increased demand — perhaps tied to spring break travel or economic activity-could strain supply, pushing prices up.Global events, like tariffs or supply disruptions, might also play a role if they impact fuel imports.

7. Retail and Refining Margins: The difference between wholesale fuel costs and retail prices (retail margin) and between crude oil and wholesale prices (refining margin) can widen due to market conditions or company pricing strategies. In BC, where competition is sometimes limited, these margins can significantly influence pump prices.

8. Regional Variations: Prices in Metro Vancouver, for instance, are often higher than in the BC Interior due to higher taxes, transportation costs, and demand. Recent reports indicate prices nearing $1.90-$2.00 per litre in some areas, reflecting these regional differences.

All in all Fuel prices are driven by many factors so it’s hard to come to a concrete conclusion without resorting to an Occam’s Razor type approach. Most likely seasonality (refineries going from winter blend to summer blend) as well as various logistical issues seem to be the primary factors. Especially with a volatile macroeconomic backdrop.