A potential recession may not bring with it any relief in fuel prices.

Concerns have been raised about limited production and refining capacity worldwide, forcing greater upward pressure on oil prices with the CEO of Shell even suggesting to a European audience that rationing may be necessary.

Senior Investment Advisor with Short Financial, a branch of IA Private Wealth in St. John’s, Larry Short, says the Bank of Canada is trying to curb rising inflation with interest rate hikes, but that may not have an impact on fuel prices even if the economy dips into a recession.

He cites as an example, pent up demand due to supply chain issues and decreased production in China.

Eventually, that demand will be filled says Short. The long-term solution to help lower fuel prices is building more refineries and producing more oil.