Montreal gas prices hit lowest mark in 18 months

Montreal motorists woke up on Friday to the lowest gas prices seen in the region in over a year.

Prices hovered or even went below $1.50 a litre at stations in the region.

The Esso on Sherbrooke Street East in Pointe-aux-Trembles had the lowest price on the island ($1.50), according to the site GasBuddy.com, while a handful of stations in Kahnawake on Montreal's South Shore were selling regular fuel for $1.49.

Below is a map of some of the lowest prices at gas stations in Montreal and the South Shore:

Montreal's average gas price - $1.56 - was almost 20 cents below the average cost of fuel in Montreal in July ($1.75). Prices have not been this low since February 2023, according to GasBuddy. 

The average price across Quebec was $1.57, and across Canada it is $1.52.

Gas prices dropped to their lowest point in over a year on Sept. 6, 2024 and experts say they will go down further in the coming weeks.

Going lower before going back up

Canadians for Affordable Energy president Dan McTeague said gas prices have dropped around 18-19 cents per litre in 2024 from 2023.

"It's something you normally don't expect since we're still in the last days of summer and summer gasoline is still being circulated," said McTeague. "These are prices that just don't make a lot of sense."

McTeague said that though there have been supply disruptions and lower oil inventories, prices have not risen this year.

"There has been no slowdown in demand; it's been very robust in North America," said McTeague.

McTeague explained that the drop in price has a lot to do with hedge funds lowering the price of barrels of oil. Prices will get even lower, he added, when gas changes from summer to winter blends, which are cheaper to make.

However, McTeague warned that down the road, prices may shoot up again.

"It's interesting. It's a boon for consumers. It's great news, but it's a bit of a head-fake, and it's a dangerous one because there is going to be a correction in the market when we see there is a supply crunch," said McTeague.