The provincial fuel taxe rate is set to increase on April 1.
Under the province’s fuel tax relief program, tax rates for gasoline and diesel are adjusted quarterly based on the average price of a barrel of West Texas Intermediate (WTI) oil.
The fuel tax is fully reinstated when prices fall below $80 per WTI barrel.
“Two years ago, the Government of Alberta introduced the fuel tax relief program to help Albertans facing high prices at fuel pumps,” said Drumheller-Stettler MLA Nate Horner, who is also the minister of finance.
“Since then, the program has saved drivers more than $2 billion and helped slow the rise of inflation in our province.”
As of April 1, the provincial fuel tax for gas and diesel will be 13 cents per litre.
“The fuel tax relief program is designed to save Albertans money when oil prices are high and bring in needed government revenue when oil prices drop,” said Horner.
According to a release, average oil prices dropped below $80 per barrel in the most recently quarterly review period.
Horner added revenue from the fuel tax in 2024-25 is projected at $1.4 billion.
“(The revenue) will help fund everything from better roads to improved health care and more supports in the classroom to continue to meet the needs of our growing population. “
Horner said even after the fuel rate increase takes effect, Albertans will continue to pay “some of the lowest fuel prices in the country.”
Learn more about the fuel tax relief program at alberta.ca/about-fuel-tax.