Provincial gas tax will be removed Oct. 1, government announces

Fuel taxes applied by the Alberta government will be removed in just over a week, a move they say will save drivers 13 cents a litre for gas.

They are making the move to help Albertans cope with the increasing cost at the pump, a press release put out Sept. 22 said.

“With global uncertainty and prices rising, we are ensuring Albertans have the support they need to address the higher costs of everyday essentials,” Jason Nixon, president of the Treasury Board and Minister of Finance said in the statement. “It’s relief we’re able to provide thanks to our strong fiscal position, helping us make life more affordable.”

The announcement comes ahead of Alberta Premier Danielle Smith talking to the Calgary Chamber of Commerce this afternoon.

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Chamber president Deborah Yedlin said removing the tax will help individuals and businesses.

“With businesses facing rising costs and renewed pressure from U.S. tariffs, suspending Alberta’s fuel tax provides welcome relief,” Yedlin said. “Lower fuel costs will help businesses and consumers manage expenses and remain competitive in an increasingly uncertain environment.”

The press release does not say how much revenue the government will lose while the fuel tax is suspended.

Businesses will be monitored for price gouging and can be fined up to $300,000 and can be sentenced a maximum of two years in jail.

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