Gas prices in Canada see one of the ‘biggest’ drops ever.

It’s likely that many Canadians have noticed that the price of gas has gone down in recent weeks. At the same time, Reuters reported that CEOs of Canadian oil and gas producers said on Tuesday they are seeking to avoid making abrupt decisions as global oil prices hover around four-year lows and recession fears grow.
There are a few possible reasons for these price declines, some specifically for Canadians, along with factors affecting drivers and consumers globally.
Shortly before calling the federal election, the federal Liberals eliminated the consumer carbon price and maintained the industrial carbon price for large emitters. April 1 was the day the consumer carbon price ended. At the majority of gas stations across the nation, there has been a drop of approximately 15 to 20 cents per liter thus far this month. It’s one of the biggest (gas price) decreases we’ve ever seen across Canada. That goes to show how much the carbon tax has been costing Canadians,” says Patrick De Haan, a petroleum analyst at GasBuddy.But, there’s more to the story when it comes to the cheaper cost of gasoline.
Stock markets have sold off since U.S. President Donald Trump started a trade war by imposing tariffs on other countries, including Canada, prompting fears of a global recession.
The outlook for supply and demand determines the price of oil. If a slowdown in the economy is expected, consumers and economies will likely use less oil for planes, shipping boats, trains, industrial equipment, and more than just cars and trucks. Positively, gas prices have dropped significantly thus far this month, easing many people’s anxiety when the dashboard light comes on. The national average is hovering around $1.30 per litre, down from the Canadian Automobile Association’s national average from one year ago of $1.63 per litre. So, an average fuel tank size of 50 litres means that a tank costs about $15 less to fill now than it did one year ago. SUVs and pickup trucks, which are larger vehicles, may save even more.