Pump relief: tax cut drops gas prices

Travelling just got cheaper for Albertans after gas prices saw a significant drop on April. 1, 2025. 

The reason, federal consumer carbon tax was dissolved across Canada. 

According to Gas Buddy the cheapest gas station finder app prices are different across Lethbridge. 

On April. 5, 2025 there is a 37 cent spread between gas stations, the lowest $1.29 and the highway $158.9 for unleaded regular gas. 

Ian Rasmussen, a Lethbridge Polytechnic student expresses he is happy to see the drop in price. 

“As a student who lives off campus, the lowering of gas prices is super helpful,” says Rasmussen. 

Travelling is now cheaper, but also the commute to work, running errands and driving to school.

Carver Johnson, a Lethbridge Polytechnic student, believes it is not enough of a price decrease. 

“Any amount of savings helps but it is not enough to help those of us who are living on a budget.”

With the lowering of gas prices, it is cheaper for students who are far away from Lethbridge to travel back and visit their families.

Ron Doiron, a Forman at Whitecap Resources, says he expects to see more active drivers on the road. 

“It’s good that the prices are down, maybe the average person will drive a bit more,” says Doiron. 

According to the Government of Canada website by the Department of Finance Canada posted on Mar. 22, 2025 “These actions refocus federal carbon pollution pricing standards on ensuring carbon pricing systems are in place across Canada.”

However for the oil and gas industry it is hard to know how this will affect them. 

Doiron says that there are lots of things happening behind the scenes. 

“With an increase in demand we could see more revenue for oil and gas companies but it could be short-lived,” says Doiron. 

There has not been a set end date for the federal consumer carbon tax to return. 

Individuals may have been receiving quarterly cheques and noticing a bonus in their bank account, however this will not continue.

The dissolvement of this tax results in the last quarterly carbon rebate being sent out on April. 22, 2025, according to the CRA website. 

The Canadian carbon rebate was created to “return direct proceeds from the federal fuel charge to residents of provinces where it applied”, according to the Government of Canada website by the Department of Finance Canada posted on Mar. 22, 2025.

The federal election is set to take place on April. 28, 2025 with advanced voting beginning April. 18, 2025. 

Oil and gas companies across the country are nervous about the removal of consumer tax during election time. 

Dorion says only time will tell with the upcoming election being so close to the federal consumer carbon tax stoppage. 

“Depending on who’s running our country after April 28th these lower prices may stay in effect or they will be back on,” says Doiron. 

The prices of gas continue to fluctuate in Lethbridge but there are options when it comes to fueling up your vehicle across the city. 

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