New Brunswick's gas winners and losers

Falling oil prices are already affecting businesses’ bottom lines and New Brunswick’s provincial coffers.

Lee Core's animal food company Corey Nutrition in Fredericton is saving about $40,000 a month because of a falling fuel surcharge on trucking into the states.

The tumbling fuel prices and a falling Canadian dollar are a sweet combination.

“Those two factors and combinations make us more competitive. It also, from the exchange point of view, makes our American competitors less competitive in Canada because they ship into us and it costs them more,” Corey said.

He's hoping for a third wish. Lower natural gas costs. The company uses natural gas to bake its pet food and heat its buildings.

While Corey Nutrition saves, the province loses. It's estimated it’s losing $120,000 a day at the pumps in HST.

Disposable income hopes

Finance Minister Roger Melanson thinks it will all work out. He’s hoping New Brunswickers will spend what they save on something that also charges HST.

"Some economist believe that those dollars if they're not being spent on gasoline price, they may be spent on other commodities and consumer goods,” he said.

The province will be saving on heating buildings and fuel for vehicles. It paid out more than $6 million in mileage claims last year.

The per kilometre rate is something the City of Fredericton is looking at.

Finance chair Bruce Grandy says any savings are good news. Be it on diesel, gas for the fleet, or on contracts already signed.

“If the price of gas goes down by a certain percentage, then there's a rebate that comes back to us through the bid price,” he said.

Grandy says they’re now crossing their fingers the winter is no worse than last.