Quebec moves to ditch floor price on gasoline, make retail market more competitive | CBC News
Quebec plans to remove the floor price on gasoline and other fuels, Economy Minister Christine Fréchette announced Monday in a news release.
“Our goal … is to improve competition so that Quebecers pay less for their gas,” Fréchette said in the release, adding that the move will also help protect the economy and consumers.
A floor price is the lowest legal price that can be paid in a market for goods and services.
In Quebec, the floor price for gas was written into Quebec’s Petroleum Products Act and was introduced in the 1990s. It was intended to prevent larger players in the gas market from undercutting smaller players.
The current mechanism, the news release reads,”limits competition between retailers and, as a result, leads to higher prices in the long term.”
“It no longer has its place,” said Fréchette’s parliamentary assistant, Samuel Poulin.
The government also wants to boost transparency around gas prices, so consumers can be better informed.
Starting in 2026, retailers will be required to report any changes in gasoline and diesel fuel prices to Quebec’s energy board, Régie de l’énergie, in real time. The board will then be required to make the information available online.
Quebec has successfully managed its own carbon pricing system for years without issue. But with the federal consumer carbon tax officially abolished, the province’s system is standing out.
To implement the new measures, the government will be proposing amendments to Bill 69, an Act to ensure the responsible governance of energy resources.
The amended bill will then have to be passed into law.
