Petroleum pricing in Nova Scotia

In the spring of 2004, some consumers and an association representing some retailers (the Retail Gasoline Dealers Association of Nova Scotia) complained about the rising price of gasoline and diesel fuel, and the closure of rural gas stations due to low volumes and low margins.

The transportation of the product is calculated based on six zones in Nova Scotia: There is no notice of change in prices.

In extreme circumstances, precipitated by a weather or perhaps a geopolitical event, a catastrophic interrupter could initiated whereby international product prices change by significant amounts, say ±15 cents per litre.

When this was first brought about many including in the New Democratic Party and the Retail Gasoline Dealers Association of Nova Scotia wanted a system similar to Prince Edward Island for lower prices.

The ones opposing this scheme argued that the PEI system not only keeps prices higher but it does not allow for competition.