Order No. P.931220-3
IN THE MATTER of the Petroleum Products Act, R.S.P.E.I. 1988, Cap P-5.1
- and -
IN THE MATTER of an application filed under Section 32 of the Petroleum Products Act, supra, by PETRO-CANADA for decreases of from 1.1 to 2.8 cents per litre in the prices of gasoline products and 1.6 cents per litre in the price of diesel fuel contained in its dealer tank truck pricing schedule, due to market conditions.
Monday, the 20th day of December, A.D., 1993
BEFORE
Linda Webber, Chairman
John Blakney, Vice-Chairman
Interim Decision and Order
WHEREAS on 17 December 1993, Mr. Gordon Wall, Manager, Business Optimization - Atlantic for Petro-Canada, filed with the Commission an application under Section 32 of the Petroleum Products Act requesting approval for decreases in its dealer tank truck pricing schedule of from 1.1 to 2.8 cents per litre in the prices of gasoline products and 1.6 cents per litre in its price of diesel fuel. The reason given for this application was cited as being to remain competitive with major competition in Prince Edward Island and to better reflect current pricing trends in Atlantic Canada;
AND WHEREAS the Commission gave consideration to this application and information relating to regional pricing at its meeting of 20 December 1993;
AND WHEREAS it was determined that although differentials between grades of gasoline at the dealer level are much wider in other markets where pricing regulation is not in effect, and has been widened in this jurisdiction on an interim basis due to recent applications of other wholesalers, the Applicant has not, in the opinion of the Commission, provided sufficient justification for altering the existing differentials as is required by Section 36 (2) of the Petroleum Products Act;
AND WHEREAS it was further determined that before making a final determination in this matter, it will be necessary for the Applicant to file additional evidence, preferably cost-based, sufficient to warrant approval of the requested price adjustments;
AND WHEREAS the Commission, after consideration, approved the application on an interim basis only pending receipt of this requested information and making a final determination on the merits of the application;
THE COMMISSION THEREFORE ORDERS AS FOLLOWS:
1. THAT the following wholesale tank truck prices are to be charged dealers in Prince Edward Island supplied by Petro-Canada effective 12:01 a.m. on 21 December 1993:
PRODUCT
CENTS PER LITRE
(INCLUDING Federal Excise
and Provincial taxes)Regular unleaded gasoline 44.2 Mid-Grade unleaded gasoline 46.3 Premium unleaded gasoline 48.4 Diesel 41.4 2. THAT the above prices, with seven per cent G.S.T. added, shall be indicated on all documents accompanying deliveries of these products to said dealers.
3. THAT the prices quoted in this Order, with adjustments resulting from tax changes only, shall remain in effect until otherwise ordered by the Commission.
4. THAT additional evidence be filed with the Commission on or before 17 January 1994 in support of the requested gasoline grade differential adjustments, e.g. the additional costs incurred by the Applicant with respect to the production and distribution of mid-grade gasoline and premium gasoline vs. those attributable to the production and distribution of regular unleaded gasoline.
DATED at CHARLOTTETOWN this 20th day of DECEMBER, A.D., 1993.
BY THE COMMISSION:
Chairman
Vice-Chairman