Alberta Suspends Gasoline Tax as Fuel Prices Remain High

Alberta Premier Danielle Smith has announced that her government will temporarily suspend its provincial gasoline tax starting on October 1. This move aims to alleviate the high cost of fuel for drivers in Alberta, with an estimated savings of 13 cents per litre on both gasoline and diesel.

The decision comes after a rebate program offered by the government in April, which provided $100 cheques to Albertans amid soaring global oil prices. However, the rebate program was criticized for being invasive and onerous, leading to a low application rate among eligible adults.

Smith cited that a tax cut may not always be passed on to consumers, but the current situation warrants direct action to reduce fuel costs. The federal government has already suspended its own fuel excise tax until January 31, which is expected to save drivers up to 10 cents per litre.