I am absolutely fed up with gasoline prices! I just filled up my 2007 Toyota Yaris and it cost me a whopping $43! Obviously I'm joking…gas prices are still not bothering me.
With the summer driving season approaching it will be interesting to see how high pump prices go. I always find it fascinating to read articles about truck and SUV sales vs. higher gasoline prices and whether or not the prices are affecting consumer behaviour. I am in the camp that believes that it will take significant appreciation in the price of petrol for North Americans to change behaviour by driving less, or opt for more fuel efficient vehicles. The migration to more fuel efficient vehicles may have already begun in earnest, however I do not believe the trend has gained any momentum as of yet.
What will it take for North Americans to adapt? I'm not sure. One thing that is interesting is how the Canadian dollar plays into the price of fuel in Canada. If the Canadian dollar was back even close to the levels it sat at years ago we would be in for significant pain at pumps compared with where we are at now. The reason for this is that our fuel marketers buy gasoline in U.S. dollars. So the price I paid today, which was about $1.10 / liter would have actually cost me closer to $1.35 if the Canadian dollar was back at $0.80 U.S. In that case my thirsty Yaris would have taken almost $53 worth of the smelly stuff….
Now if Petro Canada's (PCA) stock price would only perk up....
9 comments:
Well were here in Montevideo UY expat CDN'S
gas is $1.45 CDN per litre and they still drive like crazy!!
BTW good blog...I read it often!
Hi Neil,
Wow, I just looked that up on Google maps. Montevideo really looks like a great spot right on the ocean. Your weather is likely very nice as well? I think I'd take $1.45/L and the good weather over mega snow and $1.10/L.
Maybe its time to buy a bike.. Bicycle..
I recently paid $3/gallon in the US Midwest. I think this comes out to 80 US cents/liter.
You'll know when we've reached the boiling point once you see cars on the morning commute with more than one person in them!
It makes me wonder how high gas prices will have to go before people will stop commuting to the office in large vehicles. The highways in the morning are filled with solo commuters driving big trucks and SUVs, probably paying $100+ per week in gas.
Fortunately I live 5km from work and fill up my fuel efficient car once per month. The extra $20 or so in monthly gas costs have not had much impact on my budget.
MG...The weather here is fabulous..!!! Clear blue skies...temps in the 28's most days....July/Aug is a bit cooler. W/ 22% IVA tax on everything it is getting expensive!! But hey paradise has its cost..and no snow to shovel! And no car needed, busses are great taxi are cheap and imagine we walk everywhere...!!
I like the Yaris as a fuel efficient alternative to a hybrid vehicle. I truly believe that part of the solution has to be better city planning (in addition to more transit, and more fuel efficient vehicles). I am fortunate enough to live where I work, but many people aren't (or choose not too). We need more jobs close to home that enable us to drive less, and walk and bike more. But that takes such big thinking at a government level, I am not sure it is on anyone's radar, at least here in BC.
I'm with Preet (& MG). Far too many people still think it's inconvenient to car pool. Solo riders sit in traffic every morning and see car poolers whiz past them and it still doesn't faze them. Apparently we all have too much time and too much money! ;)
I can't get over how little gas prices seem to phase people. It is just seen as a necessary evil. I just wonder where it would end.
If it cost $250 to fill up a full size pick up truck would people who didn't really need them still own them?
If it cost someone $300 per week in gas money just to get to work and back would they consider working closer to home, or start a business from their home?
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