Petroleum pricing in Prince Edward Island is regulated by the Island Regulatory and Appeals Commission of Prince Edward Island.
Marketers buy on the basis of the "rack price" and the price set by refiners willing to supply Prince Edward Island retailers, mainly the Esso refinery in Dartmouth, Nova Scotia or Irving Oil in Saint John, New Brunswick. The commission determines a "wholesale price" or "Approved Dealer Base Price" based on commodity prices from the NYEX. The commission then sets a "tank truck price" which includes Federal Excise Tax which is 10 cents per litre for Gasoline and 6 cents per litre for Diesel as well as the provincial petroleum tax. The "retail price" is established at 5 to 7.5 cents per litre for full serve gasoline and 4 to 5.5 cents for self serve gasoline. All prices have an additional 5% goods and services tax added.
Prices are reviewed every 15 days or whenever the price raises or falls on the market sufficiently to interrupt the cycle by triggering an interrupting formula.
The people in Prince Edward Island are notified of any changes in the price via the Island Regulatory and Appeals Commission website or through the media. Price changes are usually closely guarded to prevent runs on supply at local service stations.
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