Sudburians welcome news of gas tax relief

As Jennifer Nowak has watched gas prices increase, she's been making a lot of adjustments. She now plans her errands much more carefully, to reduce the kilometres she puts in on the road. 

"I kind of delegate what's more, gas, food, you know, all that kind of stuff. So I notice a big difference. I don't plan trips unnecessarily, or I'm just more diligent about traveling. I really can't stand it," Nowak said. 

An announcement from the province on Monday that it plans to cut the provincial gas and fuel taxes for a six-month window was welcome news for Nowak, and for many others filling up with ever more expensive gasoline. 

If the legislation passes, the gas tax would be reduced by 5.7 cents per litre and the fuel tax by 5.3 cents per litre, starting July 1. 

University student Carson Bronicheski said he's been carpooling more, and trying to reduce the amount he drives because of rising gas prices. 

"It's sometimes tough to work a part time job and then have to go get gas every week and its almost what you're making during that week," Bronicheski said. 

Bronicheski said he was happy to hear the province's announcement. 

'Welcome move," says economist 

Economist Vijay Muralidharan, director of consulting at Alberta-based firm Kalibrate, agreed that a move to cut taxes is good news for consumers.

Muralidharan said it's hard to predict what will happen to fuel prices in the coming months, particularly with the unpredictability of Russia's war on Ukraine. But he said he expects gas prices will continue to increase, as the "fundamental issue of availability of supply has not been addressed in the market." 

Muralidharan noted people are affected not just by prices at the gas pumps, but also by the increasing costs of groceries and other goods as a result.

"Any move to soften the pricing, and soften the pricing on inflation is a welcome move, in my opinion," Muralidharan said. 

Electioneering? 

At a gas pump in Sudbury, Dean Keturi said while some savings on gas will be nice, he worries about a shortfall in provincial money. 

"Between that and the no more licence stickers, how are we making up this money? We're going to pay for it somewhere," Keturi said.

With a provincial election less than two months away, Keturi said the motivation for this latest promise seems to be pretty clear. 

"Doug Ford getting re-elected. It's a no-brainer," Keturi said. 

Filling up at a nearby pump, Jennifer Nowak agreed, the timing is likely tied to the upcoming election. But she'd glad she'll soon see costs go down, at least a bit.

"If [Ford] wants to make an impact, scrap the six months and make it forever and keep the prices down. Because people, especially up north, need to drive," Nowak said.