The fluctuations in pump prices are a result of the supply and demand issues that influence the market price for gas, diesel and furnace oil traded on the New York Mercantile Exchange.

The Russian invasion of Ukraine has disrupted the supply of petroleum products and has caused great upheaval in global markets. While the supply has decreased, demand has increased, driving up the price of all petroleum products.

In addition, the recent increase in the federal carbon levy on Prince Edward Island added approximately 5 cents to a litre of gas and 7 cents to a litre of diesel. Using recent prices, the amount of federal and provincial taxes, including the carbon levy, now total 57 cents on a litre of gas and 60 cents on a litre of diesel.