The provincial fuel tax will be partially reintroduced in Alberta as of January 1, 2024. (Photo: Korzeniewski | Dreamstime.com)

By David Opinko

Alberta fuel tax to partially return in 2024

Dec 11, 2023 | 5:02 AM

LETHBRIDGE, AB – Drivers could see themselves paying slightly more at the pump as of the new year.

The Government of Alberta has confirmed to Pattison Media that it is set to “return to its permanent fuel tax relief program,” as of Jan. 1.

Back on Dec. 20, the province announced that it would fully suspend the fuel tax for the first six months of 2023. It was later extended to the end of the calendar year.

The pausing of the provincial gas tax meant Albertans saved 13 cents per litre every time they filled up. Then-Finance Minister Travis Toews estimated at the time that it would save motorists around $6-$18 each time they went to a gas station.

Savannah Johannsen, Press Secretary for the Office of Treasury Board and Finance, now tells Pattison Media it is being “slowly phased back” as defined in the program rules.

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The fuel tax will be applied quarterly at a rate that corresponds with the average price of West Texas Intermediate (WTI).

“Albertans will save some or all of the provincial fuel tax on gasoline and diesel when WTI is $80 per barrel or higher during each quarter’s review period,” Johannsen said.

She explains that, on Jan. 1, Albertans will save at least four cents per litre in the provincial fuel tax compared to if it came back in full.

According to GasBuddy.com, the price for regular unleaded gas in Alberta averaged 124.4 cents per litre (c/L) as of 4:40 a.m. on December 11, 2023.

That marks a decrease of 3.6 c/L compared to the same time last week, down 9.8 c/L from a months ago, and a drop of 5.8 c/L over the last year.