Quote:
Originally Posted by 66olds442
You first stated that you were upset that gas was more expensive in Canada, but if it's refined here, than it should be more expensive there. It does have to travel back somehow.
Also I have no idea how much Canada adds on to Gas in taxes, in CAlifornia they add from .75-1.00 to the price of gas in just State taxes.
|
Actually, it doesn't. Its a screwy set-up. But basically, since most of the Canadian population is out east, most of the oil comes from tankers. Many of those tankers come from the middle east. There are a number of reasons (and speculated reasons) for this, but suffice it to say, most Canadian gasoline isn't made from Canadian crude.
As for tax, basically the entire difference is tax. Crude oil is crude oil, more or less. There are some differences sure, and we might have different blends and additives, but for the most part actual gasoline costs the same and the prime difference in price is tax. Also, to my knowledge most (but not all) gas taxes are flat charges of X cents per volume and not rate based. So government revenues don't go up much when gas prices go up. It might even go down if people adjust their driving habits to consume less fuel.