Gas, diesel prices drop by 20 over cents across N.L. after removal of federal carbon tax

Gas and diesel prices took a sharp decline across Newfoundland and Labrador on Tuesday after the removal of the federal carbon tax.

The Public Utilities Board (PUB) made the adjustment overnight to reflect the change, meaning all types of gasoline decreased by 20.3 cents per litre, with diesel dropping by 24.6 cents per litre.

Federal Liberal Leader Mark Carney dropped the highly debated consumer carbon tax in March as his first move as Canada's prime minister.

Commuters on the Avalon Peninsula will now pay about $1.52 per litre for regular gas and $1.70 per litre of diesel.

In central Newfoundland, expect to pay about $1.56 per litre of regular gasoline and $1.74 for diesel.

Elsewhere on the island, maximum prices range from about $1.52 and $1.66 per litre of regular gasoline. Maximum diesel prices range from about $1.71 to approximately $1.83 per litre in those same zones.

In central and western Labrador, regular gas will cost about $1.55 per litre, while diesel will runs about $1.59 and $1.74 per litre.

Elsewhere in Labrador, maximum regular gas prices range from $1.58 to $1.81 per litre. Diesel prices range from $1.76 to $1.87 per litre at most.

Furnace oil and stove oil heating fuel prices will not be adjusted Tuesday, since they are exempt from the federal carbon tax.

The PUB says the federal carbon tax rate for propane heating fuel is currently 12.38 cents per litre, "which is also being reduced to zero by the Government of Canada."

"The board's posted maximum prices for propane do not include taxation and therefore the board's published maximum prices for propane heating fuel will not be adjusted at this time."

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