PUB gradually adding 4 cents to the base price of gas
Increased supply cost is leading to increased retail prices on the island
Newfoundland and Labrador's Public Utilities Board will slowly introduce an increased base price for petroleum products on the island.
A pricing review detailing the changes was presented Monday.
Price adjustments for retail gasoline, diesel and furnace oil will begin on Feb. 6. These retail markups will increase by no more than one cent per-litre over the course of four weeks.
Most zones, such as the Avalon Peninsula, will see a total retail markup of four cents per litre on these products.
After the retail markup increases are implemented, a zone differential increase will be applied in equal amounts over two weeks.
There will be no changes to wholesale pricing of gasoline, diesel or furnace oil.
Changes to price setting, other fuels
The PUB announced Monday that maximum price adjustments will occur on Friday each week rather than Thursday, starting March 21. This new price setting process is consistent with other Atlantic provinces.
The price of propane will increase by two cents per litre, or less, in most zones effective Feb. 6, but will increase by up to five cents per litre in other zones.
"The combined total allowed markup and zone differentials for propane heating fuel will increase to reflect increase in the cost of supply," reads the pricing review.
Also noted in the review is maximum pricing will cease for stove oil heating fuel starting Feb. 6.
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