A fuel pricing watchdog is warning of a grim future for oil and gas prices.
Major global volatility means that prices at the pumps won’t be going down anytime soon according to Dan McTeague, President of Canadians for Affordable Energy.
Speaking on VOCM Open Line with guest host Darrin Bent, McTeague speculated on how U.S. politics plays a part in influencing oil and gas prices across the world, including in this province.
“They’re short-selling oil and gasoline. As much as prices have gone up, they could have been a lot higher. We could be talking two-forty, two-fifty, given the shortage that’s in the world today and it’s a real shortage…and I think it’s being led by the Trump Administrations Treasury Department.” McTeague said “They’re actually forcing down the price of oil because they know, politically, going to five dollars a gallon in the United States is going to be a wrecker.”
On the global stage, Canada has a lot to offer and a large role to play when it comes to diesel, and McTeague believes that will make all the difference for this province “and Canada is pumping as much as it can, thank God they are because if it wasn’t for us, the Americans would be damn short.” McTeague said. “They can talk about being the suppliers of the world. They do supply a lot of gasoline. Why? Because their oil can produce gasoline, but it can’t produce diesel. No diesel, no maritime fleet. No diesel, no jets. No diesel, no railway. No diesel, no military. No diesel, no mining, no agri- you get what I mean. Diesel is the global workhorse. Canada provides a lot of that.”
He also believes projects like Bay du Nord could strengthen Canada’s economy in the long-term. For the foreseeable future, however, people in this province can expect higher prices across the board.
