Drivers across Ontario will see noticeable relief at the pumps on Thursday with a 10-cent drop due to the summer-to-winter gas blend switch, according to a gas analyst.
Dan McTeague, president of Canadians for Affordable Energy, is urging drivers to wait until Thursday to fill up their tanks where its expected Ontarians will see the price for a litre of gas fall to 133.9 cents a litre — ten cents cheaper than 143.9 cents a litre on Wednesday.
When it comes to how much money drivers will be saving at the pumps, McTeague said around $6 or $7 for most of them who are pumping in 50 to 60 litres of gas.
This is due to gas stations switching from the summer to winter blends. The switch happens twice a year, once mid-April and the other in mid-September.
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“It cost more for refiners to make summer-grade gasoline, mostly to prevent gasoline from evaporating in higher temperatures,” McTeague said. “Gasoline is very volatile, so they have to put additives in the fuel to make it more resistant to evaporation, and it’s called alkylates.”
“In the winter, they don’t have to use alkylates as much. They can use a butane, which is a very cheap by-product … It’s butane in the winter, alkylates in the summer and the difference in price between the two is pretty substantial.”
McTeague also recommends drivers in major cities such as Toronto, Ottawa, London and Hamilton fill up after “supper time” to maximize on savings.
“I never buy my gasoline in the mornings or afternoons … 6 p.m. to midnight is the best time to go and visit your gas station,” he said.
“That’s because gas stations tend to surrender their profit margin, their retail margin but it takes them to operate their gas stations to make it all in the morning … you’re often going to save anywhere from four to six cents a litre on any given day.”
McTeague added that on Thursday gas prices at most stations will likely be down in the evening hours to around 127.9 cents a litre.
“And by the next morning, if nothing changes on the market, it’ll be back at 133.9 [cents a litre],” McTeague said.
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