Wednesday, April 15, 2020

Gas prices in April 2020: a good news/bad news story.

The price for regular gas in Calgary is currently hovering around 60¢ per liter. It hasn't been that low since December of 2003!!!! The gas prices have been floating between $1.10 and 90¢ since June of 2019 so the drop is quite significant. That brings me to a couple good news/bad news scenarios.

It's April 12, 2020 and gas can be had for 58.9¢ per litre!!
Good news: gas is cheap. The bad news: there's nowhere to go! We are currently in a situation where provincial and national parks are closed, and we are required to stay home. One comment I've seen a couple of times asks the question "Is it just me or is anyone else getting three weeks to the gallon?"

Good news: gas is cheap. Bad news, the price of oil is incredibly low. Combined with the current pandemic this has resulted in massive layoffs and job loss in the oil and gas sector which is a major contributor to the economy here in Alberta.

Good news: gas is cheap. More good news: because travel is restricted that frees up funds that would normally be going towards gas. For those struggling to make ends meet it's one less thing to take out of the budget. If you're in a position to redirect that money it provides an opportunity to do those car repairs or upgrades you've been putting off. 

Kentucky gas price in 2011... $2.99 per gallon which is the equivalent of 83¢ per liter at the exchange rate in effect at the time while gas was $1.12 in Calgary.
We are quite fortunate that fuel costs in Alberta are already very low compared to a lot of places. The national average in Canada right now is about 93¢ per liter so we are well below that. In the USA the average price is 69¢ per liter with Wisconsin having the lowest price at about 49¢ per liter and California the highest of the lower 48 states at $1.06!

To put our prices in perspective here are some averages from around the world:
  • England: $1.98
  • Germany: $1.86
  • Japan: $1.86
  • NSW Australia: $1.02
  • Brazil: $1.21
  • South Africa: $1.06
Note: Price per liter of regular gas in Canadian dollars. Averages and exchange rates based on information published around April 11th, 2020. 1 US gallon = 3.78 liters.

Good news: gas is cheap. Bad news: prices will probably go back up when we get past all the craziness of the COVID-19 pandemic.
The mountains are calling. Kananaskis Country, Alberta
However, once this is over we will be able to go for a drive and enjoy our favorite roads, to visit friends in other places, and generally enjoy the outdoors. What are you looking forward to most from an automotive perspective? Leave a comment to let us know!

1 comment:

  1. The cheap gas is beckoning us to take a trip to the Yukon but alas, we'll have to wait until the Corona restrictions are lifted. In the meantime, we're looking forward to a leisurely drive through the Rockies at the end of May.

    I love the photos in this post!!