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Why is gas more expensive in Quebec than in Ontario?


Taking a vacation from the Montreal area to the Ottawa area, I noticed the gas prices are at least 10 cents cheaper in Ontario than in Quebec. Does anyone know the reason for this?

Is it a provincial tax that Ontario just doesn't have?

Mostly it's because the Quebec provincial government levies a higher provincial gas tax per litre than Ontario. Check the pumps, the amount of provincial and federal tax per litre issometimes posted on the pumps. There may also be a slight increase in the cost of gas per litre from the gas companies because Quebec is farther from the refineries than Ontario.

TAX

Taxes

more taxed in Quebec than Ontario

Both provinces have provincial taxes, just as all states in the U.S. have taxes as well as the federal fuel tax.

Montreal is closer to the eastern coastline. States and provinces that are coastal seem to have higher fuel tax rates. About the only exception is the state of Georgia in the U.S. Fuel tax rate per litre is 1.5 to 2 cents higher in Quebec than it is in Ontario.

Higher fuel tax rates mean the cost of fuel will be higher.

looking at this from an economic standpoint, there is less supply and more demand in Montreal than in Ottawa.

The refineries are in Ontario, the tax system is different and the most obvious answer is that the Politicians who could do something about the price collusion bet wen the gasoline retailers are in Ottawa so they want to give them the impression that they are giving all Canadians lower prices.

because Quebec has all the french...and they enjoy taxing everything more so they can waste it trying to spread there frenchness....ex changing signs, enforcing language laws exc so yea its taxes

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