Canadians likely won’t notice an increase in gas and diesel prices brought on by new federal clean fuel regulations, according to a federal briefing note. Blacklock's Reporter says officials say that given the usual volatility at the pumps, the added cost will blend into regular fluctuations.A May 8 memo from the agriculture department estimates the Clean Fuel Regulations will increase prices by 13¢ per litre for gasoline and 16¢ for diesel by 2030. But it claims “most consumers, including farmers,” are unlikely to notice the change.The regulations, introduced in 2023, require increased use of ethanol and biodiesel — fuels that are generally more expensive. Gasoline will need to contain up to 15% ethanol, up from the current 5%..“In 2030 Canadians who drive fossil fuel-powered vehicles may see an increase of between 6¢ and 13¢ per litre for gasoline and 7¢ to 16¢ per litre for diesel,” the note reads, adding that market forces also play a major role in pump prices.Officials insist the added cost should not be seen as a tax. “Regulations are not a tax and are a market-based mechanism designed to spur innovation of clean technologies,” the note says.A 2023 analysis by the parliamentary budget office pegged the cost impact at 17¢ per litre of gas, a similar estimate to the latest briefing..The new note comes amid growing concerns that climate policies will increase household costs. A 2024 report from the federal Net Zero Advisory Body called for sweeping climate reforms that also address housing, food security, and affordability issues.Meanwhile, a separate 2024 study published in the Journal of Public Health warned that high fuel costs are already affecting millions of Canadians. Researchers found that between 6% and 19% of households face “energy poverty” — defined as spending over 10% of annual income on home heating and cooling or paying more than double the national median for energy costs.“Energy poverty is not yet on the national policy agenda,” the study concluded..Due to a high level of spam content being posted in our comment section below, all comments undergo manual approval by a staff member during regular business hours (Monday - Friday). Your patience is appreciated.
