Quebec report rejects gas price cap

In a report to be made public Tuesday, the board compiled gas prices in 52 cities around the province for a full year and calculated whether a price cap would have generated savings for motorists.

The report found that in 33 cities, including Montreal, Laval and Quebec City, a ceiling would not have made a difference.
Only drivers in five cities would have paid less, had a price cap been in place. In 14 cities, including Trois-Rivières and Drummondville, drivers would have paid more with a price ceiling.
The report also noted that in Montreal last year, gas prices tended to be lower on Mondays and higher on Thursdays.
"The Board can't affirm that adopting the mechanisms of a price ceiling would guarantee that consumers will be getting the lowest price," the Energy Board report concludes.
Quebec's Natural Resources Minister Clément Gignac is expected to reject the idea of a gas price ceiling, based on the report. Gignac was lukewarm to the idea in May, saying that a cap doesn't stop gas prices from going up, it simply limits volatility.
A ceiling for gas prices is in effect in the Atlantic provinces.
CAA-Quebec is also against a gas price cap, saying it has observed in Atlantic Canada that retailers tend to set the price of gas as close as possible to the maximum price, and motorists end up paying more.