The Energy and Utilities Board begins a public hearing this morning to review the maximum retail price margins for gasoline – diesel – and home heating oil. The Board hired Gardner Pinfold Consultants to review the maximum margins – delivery costs – maximum price charged by retailers providing full service at the pumps.
The Gardner Pinfold report is recommending a 7.6% increase in the retail margin for gas and diesel. That would raise the current margin for retailers from 6.8 cents per litre to 7.3 cents per litre. The report also recommends maintaining the full service charge at 3 cents per litre.
The report is also recommending a 12.2% increase in the retail margin for furnace oil translating to an increase of 2.6 cents per litre. Gardner Pinfold says dealers are faced with increasing costs and stable or declining heating oil sales volumes. The report also suggests rejecting the recommended price increase could lead to supply interruptions or loss of supply in areas of the province where delivery costs are highest.
The full public hearing follows a preliminary public forum and motion hearing last week. The hearing is being held virtually through a Zoom link. You can email the Board at general@nbeub.ca to obtain sign information for the hearing. It is scheduled to conclude on Friday.
A copy of the Gardner Pinfold report can be found here.