HALIFAX, Nova Scotia -- Nova Scotia's regulated fuel prices moved in opposite directions this week, with gasoline climbing 3.6 cents per litre while diesel remained unchanged, according to the province's Energy Board. The new maximums for regular self-serve gasoline were set between 168.9 and 173.8 cents per litre, depending on the zone, while diesel ranged from 185.4 to 190.3 cents per litre.
Gasoline Increase Driven by Benchmark and Policy Change
The gasoline increase was propelled by two factors: a higher benchmark price and the removal of a forward-averaging credit that had previously held down wholesale costs. The Energy Board's data shows the benchmark for regular gasoline rose by 1.58 cents per litre, while the forward-averaging component shifted from a negative 1.60 cents to zero, adding another 1.60 cents. Combined, these changes boosted the net wholesale cost by 3.18 cents per litre.
For diesel, the benchmark actually declined by 0.17 cents per litre, but this was offset by a 0.17 cent increase in the forward-averaging component, leaving the net wholesale price unchanged at 116.81 cents per litre. The board applies forward averaging to smooth out price volatility, but this week it had a notable impact on gasoline.
Diesel Premium Remains Elevated
Despite the flat movement, diesel remains significantly more expensive than gasoline. The regulated diesel price is 16.5 cents per litre above regular gasoline across all price zones. In Zone 1, the most populous area, diesel minimum and maximum prices held at 185.4 to 188.4 cents per litre for the second consecutive week.
The trucking industry received some relief as Nova Scotia's diesel fuel surcharge was reduced to 36% on June 19, down from 44% at the beginning of the month. However, the regulated diesel price cap remains unchanged, indicating that the surcharge reduction may not fully offset the cost burden for transport companies.
Market Context and Company Impacts
Fuel retailers such as Alimentation Couche-Tard Inc (TSE:ATD) benefit from the price cap system, which can keep pump prices stable even when wholesale costs fluctuate. For transport and logistics firms like TFI International Inc (TSE:TFII), diesel costs are a major expense, and the elevated diesel premium adds pressure to margins. TFI trades on both the NYSE and TSX under the ticker TFII.
The Energy Board's orders also maintain policy-related costs. The Clean Fuel Regulations adjustment remains at 9.04 cents per litre for gasoline and 10.07 cents for diesel. The credit-card fee retail mark-up is unchanged at 0.7 cent for gasoline and 0.8 cent for diesel.
Oil Markets and Refined Product Trends
Global crude oil prices have been relatively subdued, with Brent crude at $73.02 a barrel and West Texas Intermediate at $69.86 as of Tuesday. Analysts at UBS Group AG (SWX:UBSG) noted that previously stranded ships have become available as Gulf shipping activity picks up. A Reuters poll of 31 economists and analysts lowered the 2026 Brent crude forecast to $84.50 a barrel, down from $90.44.
In the U.S., refined product markets remain firm. The Energy Information Administration reported RBOB gasoline at New York Harbor at $3.05 a gallon and low-sulfur diesel at $3.32 as of June 29. The Gulf Coast 3:2:1 crack spread rose 4.8% to $58.33 a barrel, indicating healthy refining margins.
The Energy Board has issued two diesel interrupter orders this month, on June 16 and June 17, ahead of the weekly price settings on June 19 and June 26. These orders allow for temporary adjustments to the price cap in response to supply disruptions.
