The British Columbia government has promised to “pull back the curtain” on gas costs by introducing legislation that would force oil companies to reveal how they set their prices.
Named the Fuel Price Transparency Act, the law is a reaction to a BC Utilities Commission (BCUC) report released in the summer.
It found a lack of competition and mark-ups in the province’s gas market, including an unexplained 10–13 cents on every litre compared to gas sold in Washington.
The difference means drivers in BC pay an extra $490 million every year.
"It's incredibly frustrating to watch the price of gas shoot up for no reason, and British Columbians are tired of feeling ripped off whenever they fill up their vehicles," said Bruce Ralston, minister of jobs, trade and technology.
"This legislation sends a message to oil and gas companies: the days of setting your prices in total secrecy have come to an end."
Under the law, companies will be forced to share data on refined fuel imports and exports, fuel volumes at refineries and wholesale and retail prices.
Companies that do not comply could face fines or penalties.
"By pulling back the curtain, these companies will be publicly accountable for unfair markups and cost increases that cannot be explained," Ralston added.
"It will also produce a common set of facts moving forward, allowing us to properly evaluate other policy measures to bring fairness to the price at the pump."
