In Canada, gas prices are determined by a combination of factors, including the global price of crude oil, refining costs, distribution costs, taxes, and competition among gas stations. The price of crude oil is set by the global market, influenced by supply and demand dynamics, geopolitical events, and other factors.
Governments at various levels in Canada impose taxes on gasoline, including federal and provincial taxes, as well as in some cases, municipal taxes. These taxes can vary by province and city, contributing to regional differences in gas prices.
While there is no single entity that sets gas prices across Canada, the Competition Bureau of Canada monitors the market to ensure that competition laws are followed and that there are no illegal anti-competitive activities affecting prices.