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2007 Canadian Average Pump Price
Data Source: MJ Ervin & Associates
Petro-Canada Refining & Marketing Profit
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Here’s a breakdown of the factors that determine the price you pay at the pump. For more information about these factors, please visit our Pump Talk blog.
Taxes
- Taxes are one of the largest components of Canadian retail pump prices.
- In 2007, Canadians paid an average of 32.5¢ tax on every litre of gasoline. That represents a little over $16 on a 50-litre fill.
- Taxes on gasoline vary by province, which often leads to regional differences in pump prices.
Learn how much tax you pay on gasoline 
Crude Oil
- Crude oil is a globally traded commodity and the base product used to refine gasoline and diesel fuel.
- Canadian producers have no influence over world prices because our domestic crude oil production is a small fraction of total global production.
- Crude oil prices are influenced by changes in global supply and demand, current inventory levels and geopolitical events.
Refining and Marketing Costs
- This portion of the price covers all costs of operations — such as the costs of refining crude oil into gasoline, transportation and distribution charges, as well as all marketing and operational expenses at the retail level.
Profit
- The three per cent profit represents the overall 2007 Petro-Canada marketing and refining profit.
Wholesale Gasoline
- Wholesale gasoline is bought and sold on commodity markets, much like crude oil.
- As gasoline is a commodity that flows freely between Canada and the U.S., Canadian wholesale prices — the prices retailers pay — are tied closely to U.S. commodity prices.
- Any significant disruption in supply in the U.S., a market 10 times the size of our Canadian market, can impact wholesale prices throughout North America.
Learn more about wholesale commodity prices
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