Albertans will see a partial refund of the provincial fuel tax on the price of gasoline and diesel starting Oct. 1, retailers have been told The UCP government to start collecting 4.5 øre per litres.
Retailers were informed of the change through a special notice issued by the province on September 21.
The government suspended the full 13 cents per liter levy earlier this year as a way to combat rising fuel prices and linked that relief to the average price of US West Texas Intermediate (WTI) – the benchmark crude for oil prices.
The government used the average closing price over a four-week period up to September 15 to determine this price. Over the four weeks, WTI averaged $89.26.
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The thresholds introduced in the fuel relief program have allowed Albertans to get the full 13 cents per liter rebate when the price averages higher than $90 a barrel.
Between $85 and $89.99, the fuel tax will be set at 4.5 cents per litre. Between $80 and $84.99, Albertans will be charged nine cents per litre. And any price under $80 per barrel will receive the full tax of 13 cents per barrel. liters reintroduced.
“In the first six months of the program, Albertans saved $630,000,000 in fuel tax relief,” Finance Minister Jason Nixon said in a statement.
“Albertans will save over $200,000,000 over the next three months with fuel tax savings of 8.5 cents per litre,” he added.
The NDP believes this tax increase is coming too soon.
“Albertans are finally seeing a little bit of relief, and the government is kind of getting that relief back from them,” said NDP energy critic Kathleen Ganley.
The opposition is calling on the government to extend the full savings of 13 cents per liter until the end of January 2023.
“Albertans are still struggling with high inflation and struggling with high utility prices. We believe that this little bit of relief that they are seeing at the pumps should go to Albertans instead of going to the provincial government.”
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