Canadians to save on gas as carbon price ends

Canadians will soon notice lower prices due to the end of the consumer carbon price, according to a report from Desjardins Economics. The change takes effect on April 1 after a decision from Prime Minister Mark Carney and his cabinet. Motorists can expect to save almost 18 cents per litre on gasoline. This means filling up a standard 50-litre tank could cost about $9 less. The report also suggests that the price of natural gas will decrease by 12.8 percent after the carbon price ends. The carbon price affects all provinces except British Columbia, Quebec, and the Northwest Territories, which have their own systems. British Columbia plans to eliminate its carbon price in response to the federal decision. Desjardins predicts that inflation will decrease by 0.7 percent in April, lowering the annual inflation rate to 2.1 percent. However, experts warn that it may take time for Canadians to see the effects on grocery prices, as transportation costs lower. Other factors, such as global prices and demand, also influence gas prices, which may affect savings. Inflation is expected to ease for about a year, but rising prices related to trade tensions with the U.S. could offset these savings. In summary, while Canadians will likely see immediate savings at the gas pump, the overall impact on inflation and prices will unfold over time.