Canadian petroleum analyst Dan McTeague says residents in the Greater Toronto Area should prepare for higher gas prices in the coming weeks.
“We are nowhere out of the woods yet and this problem will not be resolved [in September],” Dan McTeague, senior Canadian petroleum analyst with GasBuddy, told Global News Wednesday evening.
“We’re going to be looking at a much longer, protracted period of time when prices are going to be significantly higher than we expect heading into the winter turnover season.”
McTeague said in addition to the two-cents-a-litre increase the GTA experienced Wednesday, he said gas prices are expected to rise another three cents on Thursday and five cents on Friday. He said going into the weekend, the average gas price should be around 123.9 cents a litre.
Potentially adding to gas price woes locally, he said there could be an additional three-cent increase over the weekend based on Wednesday’s market trading.
McTeague said as much as 31 per cent of U.S. gas production is offline, and prices going forward will depend on the extent of damage in the southern United States.
“What’s important is the flooding because you can’t operate,” he said.
“You can’t bring in your crew, you can’t export your refined products if the transportation routes are down.”
While conditions in Houston appeared to improve on Wednesday, authorities warned that the crisis in the nation’s fourth-largest city and across the region is far from over. The storm, in fact, took a turn for the worse east of the city, close to the Louisiana line.
Beaumont and Port Arthur, Texas, struggled with rising floodwaters and worked to evacuate residents after Harvey completed a U-turn in the Gulf of Mexico and rolled ashore early Wednesday for the second time in six days. It hit southwestern Louisiana as a tropical storm with heavy rain and winds.
Forecasters predicted that a wobbling and weakening Harvey would be downgraded to a tropical depression late Wednesday or early Thursday and completely dissipate within three to four days.
With files from the Associated Press
Total shut in of Texas Gulf Coast refineries now @ over 30% of total US production of gasoline/diesel is likely the largest in US history— Dan McTeague (@GasBuddyDan) August 30, 2017
No - as we may be looking at higher prices for Saturday and Sunday https://t.co/NlCuuxlpE3— Dan McTeague (@GasBuddyDan) August 31, 2017
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