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By Regan Tate

Fuel cost relief for school authorities

Jun 22, 2022 | 10:28 AM

MEDICINE HAT, AB – The provincial government is helping school authorities deal with rising fuel costs for student transportation.

School budgets were based around average diesel prices of $1.25 per litre. On Wednesday, the average price of diesel per litre in Medicine Hat was $1.94. Fuel costs make up 20 to 25 per cent of a school authority’s transportation budget.

To address this the government is reinstating the Fuel Price Contingency Program. It is being enacted retroactively to March and will remain in place for the 2022-2023 school year.

$8.2 million in transportation funding will be allocated for March-June of this year based on an estimated average diesel price of $1.80 per litre. Eligible school authorities will receive the funds in July according to established bus route distances. For the upcoming school year, the government will monitor fuel costs and says relief will be provided accordingly.

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Education Minister Adriana LaGrange says fuel cost relief will help prevent service reductions and additional fees for families.

This contingency funding is in addition to the $310 million allocated for student transportation for the current school year. The Alberta government has also provided school authorities with about $2 million in relief for the 2021-22 school year by suspending collection of the 13-cent-per-litre provincial fuel tax on April 1.

Over the next three years, student transportation funding will incrase by $39 million to help address escalating costs for insurance, fuel, supplies, and training.