Metro Vancouver drivers have seen some drop in gasoline prices with the recent plunge in crude oil prices, but more relief is predicted.

Crude oil’s dive slow to bring lower gas prices but more relief is forecast

Metro Vancouver gasoline prices predicted to drop to $1.25 or lower (with interactive chart)

The deep dive in crude oil prices in recent weeks has so far been slow to trickle down into lower gasoline prices.

But one petroleum industry expert predicts more relief from pain at the pumps is coming soon for Lower Mainland motorists.

“You guys are on the verge of a pretty sizable drop in the retail price there,” said Jason Parent, the Ontario-based vice-president of consulting for MJ Ervin and Associates.

He said the current average price of $1.30 per litre of regular gas in Metro Vancouver as of Friday – down from a midsummer plateau of around $1.42 – should continue to drop to $1.25 or lower.

Crude oil prices have fallen about 15 per cent from their July levels but the drop for retail gas has been barely eight per cent.

“We’ve seen some of that passed on at the pump but not quite all of it yet,” Parent said.

Crude oil makes up only about half of the cost of a litre of gas, but he said the sharp decline, plus the typical seasonal drop in gas prices as summer driving season ends, should translate into more savings for drivers.

“If you’ve got a sustained downward movement in crude prices – as we have – you will see that passed on for the most part, eventually.”

TransLink’s diesel bus fuel costs may also drop with lower crude oil prices.

Spokesperson Cheryl Ziola said it’s also possible lower gas prices will encourage more driving and result in TransLink collecting more fuel tax from the 17 cents a litre it levies, at least over the short term.

But cheaper gas can also cut into transit ridership if more passengers take their cars instead.

And Ziola cautioned trends of better fuel efficiency, slower growth in vehicle ownership and people driving less are forecast to continue to push down TransLink’s fuel tax revenue over the longer term.

Vancouver Historical Gas Price Charts Provided by GasBuddy.com

Just Posted

Langley thespian performs in upcoming rom-com

Mikayla Wust, a recent graduate at TWU, plays the lead in Beau Jest.

WATCH: Kwantlen artist paints and installs Indigenous mural in Fort Langley

First Nations painter Brandon Gabriel created a piece of art for Cranberries Naturally.

Family band from Aldergrove wins youth music award

The Springmans won a Fraser Valley Music Award for their album Happy Beach.

Langley East MLA could testify in logging lawsuit

Rich Coleman has been put on the witness list for a lawsuit against TimberWest.

Surrey woman plans to travel after winning $500,000

Frances Jarvos bought her winning ticket at Willowbrook Mall in Langley

New Canada Food Guide nixes portion sizes, promotes plant-based proteins

Guide no longer lists milk and dairy products as a distinct food group

UFV celebrates 2019 HOF class

Third annual Cascades Hall of Fame event occurs on Friday night

Giant ice disk equipped with webcam after surviving storm

Westbrook official Tina Radel says the livestream was requested by Brown University

Ousted B.C. legislature officials say report released to further blacken their reputations

James and Lenz say release was ‘Contrary to all principles of fairness and decent treatment’

B.C. animators land Oscar nominations

‘Animal Behaviour’ by Vancouver’s David Fine and Alison Snowden among several Canadians on the short list

B.C. legislature managers accused of excessive travel, personal expense claims

Clerk Craig James, security chief Gary Lenz call allegations ‘completely false’

Auto shop apologizes after B.C. employees disrespect memorial convoy

Mr. Lube staff members suspended after incident Sunday in Nanaimo

One-third of pregnant women think cannabis won’t harm their baby: UBC

Review of six U.S. studies found doctors didn’t communicate health risks of pot use

5 to start your day

Cash-for-signs policy pondered by Langley Township, defence argues Surrey mother didn’t have intent to kill daughter and more

Most Read