'Gas war' at B.C. pumps gets drivers revved up
Published Tuesday, September 11, 2018 9:18AM EDT
Peace at the pumps has come to Abbotsford, B.C., but for a short time Monday morning there was an all-out gas war.
The Abbotsford Costco dropped its prices first, bringing the cost of regular unleaded to a low 116.9 cents per litre. Others quickly followed suit, including a Petro-Canada where drivers lined up to pay 117.9 cents per litre. A nearby Chevron station still showed 137.9 on its signs, which is closer to the recent average price of 134.3 cents per litre in the city, according to GasBuddy.com.
“I was driving by and I made a U-turn to come back and fill up,” said one woman at the Petro-Canada station, adding she couldn’t recall the last time the prices were so low.
“In marketing, we call Costco a market disruptor,” said Lindsay Meredith, a professor at Simon Fraser University. “If Costco is undercutting you, you better match their price so you can sell your stuff. Once you clean up the tanks a little bit, back up goes the price.”
Indeed, by late morning most gas stations had returned back to prices above 130 cents per litre.