Mr. Speaker, last spring gas prices increased 8 cents to 10 cents a litre across Canada without justification. When I called for action by the Liberal government to stop this gouging by their masters, the big multinational oil companies, the Liberals blamed the provincial governments which by the way have no jurisdiction to regulate nationally established pricing practices.
NDP MPs organized a boycott of Imperial Oil for one week in May resulting in thousands of consumers joining the boycott and effectively driving down prices in Saskatchewan by about 4 cents a litre and in British Columbia between 2 cents and 3 cents a litre.
Finally the Government of British Columbia launched an inquiry as did New Brunswick. In June the federal government, through the Bureau of Competition Policy, initiated a criminal investigation of the oil companies' gas pricing practices. The boycott was called off pending the outcome of the criminal investigation.
During the course of these inquiries being announced, the oil companies dropped their prices to create the perception that there was some competition. Yet all companies dropped their prices at about the same time to the same level. In late August and early September prices went up again. In Saskatchewan they went up 3 cents to 4 cents a litre.
The reasons given by the oil companies were laughable. In the spring big oil said prices were up because of the expectation of Iraq oil coming to market. In the latest increase big oil said prices were going up because of the expectation that Iraq oil would not be coming on to the market. Then when people laughed at these stupid, unfounded bizarre explanations for Saskatchewan's increase, big oil said that the increase was due to local conditions.
What are local conditions? According to Imperial Oil's own gas station managers, they were called by their head office in Calgary and instructed to increase their prices locally. That is what oil companies call local conditions.
The real reason for the increase is clear. There is a big increase in spring which is seeding time in Saskatchewan, and a big increase in the fall which is harvest time in western Canada, in Saskatchewan. Gouge farmers early, gouge farmers often. That is the slogan of the oil companies when there is no choice but to buy fuel for the two crucial business cycles: seeding and harvest.
These silly, stupid antics by the oil companies only hurt middle class working Canadians and business while increasing big oil's profits which leave Canada. Imperial oil this year took out $1 billion Canadian by buying Exxon shares which were held by Imperial Oil. These are reasons enough not to just investigate gas pricing but to have an energy price review commission which would have oil companies justify their prices with accuracy and truth, not smoke and mirrors.
As a result of this latest increase, Saskatchewan is paying 4 cents to 12 cents a litre more than other provinces. Quebec now is being charged 54.9 cents a litre; Ontario, 53.9 cents; Manitoba, 57.9 cents; Alberta, 50.9 cents. When the tax differences are factored out, Saskatchewan is still paying 4 cents to 6 cents a litre too much. That is in a province where we produce, refine, process and export our gasoline.
That is why I have asked the director of criminal matters in the Bureau of Competition Policy to focus its criminal investigation in Saskatchewan to ferret out the unfair gouging practices of the oil companies. I feel assured that the criminal investigation into the pricing practices of oil companies in Saskatchewan will be helpful in reducing the gouging which currently exists. Hopefully, it will call on the oil companies to account honestly for their actions.