Gas prices have just changed in several NWT communities.
It was just announced that, effective immediately, fuel prices in ten of the 16 communities that are serviced by the Petroleum Products Program will be changed to reflect the cost of the fuel that was delivered during the winter.
The cost of heating and motive fuel will go down in Wekweètı̀, and gasoline prices will also be going down in Jean Marie River, Nahanni Butte, Tsiigehtchic and Whatı̀.
Fuel prices will be going up in Colville Lake, Délı̨nę, Gametì, Nahanni Butte, Sambaa K’e and Wrigley, largely due to increased transportation costs.
The Government of the Northwest Territories (GNWT) manages the procurement, transportation, and storage of fuel for 16 communities not serviced by the private sector. Local contractors run these government-owned fuel storage and dispensing facilities, selling fuel to both residents and businesses. As mandated by the NWT Revolving Funds Act, the GNWT must recoup all operational costs through the sale of petroleum products. The Infrastructure Department (INF) cannot charge customers less or more than the actual cost of delivering petroleum products to the communities.
A decline in fuel prices usually arise from a drop in wholesale market prices or decreased transportation costs relative to the expenses incurred when the petroleum products were previously purchased for those regions. Fuel prices are a reflection of the costs associated with both the old stock, bought at prior prices, and the new stock, obtained at the current market rates. As a result, the levels of remaining inventory also affect the pricing.
Prices go through at least two adjustments per year, once during the summer barge resupply, and once during the winter road resupply. Prices are also slightly adjusted for smaller fluctuations, such as the carbon tax. The next carbon tax adjustment will come on April 1st of 2025.
