Gas prices continue record-breaking surge in Calgary, across Canada

The price of fuel across Canada remains a central talking point among drivers who find themselves facing sky high prices at the pump.

According to the Canadian Automobile Association, the average price of gas nationwide is 208.4 cents per litre as of Tuesday morning.

Calgary's average price per litre is 1.88, the highest for the year.

In Alberta, the average price of fuel is around 183.6 cents per litre, according to GasBuddy.com.

SCHOOL BUS CONCERNS

Some Alberta school bus operators say the rising price of fuel is pushing them toward the brink  leaving questions about how some kids will get to school this fall.

"Much like the rest of the school bus industry, SOUTHLAND relies on government funding from school boards to cover these costs, and the increases we have witnessed in the last two years have been unprecedented, with fuel more than doubling in price," said Craig Loose, regional director for SOUTHLAND Transportation in an emailed statement to CTV News.

"While some of our contracts include fuel price contingencies, the majority do not, so there is no way to recover costs in these cases."

Loose says school busses are a safe and environmentally friendly mode of student transportation, but urgent attention is needed.

"If something is not done soon to address these costs, the shortfall will become impossible to manage. We ask the minister of transportation to bring back the Fuel Price Contingency Program so that we can continue serving our communities and getting children safely home each day," he said.

The company is a member of the Alberta School Bus Contractors Association (ASBCA), which is also calling for the province to increase funding so school districts can up their transportation budgets.

"They operate some big yellow machines out there that certainly need a lot of fuel," said Mark Critch, president of ASBCA.

He adds the imminent summer break means revenue for school bus companies is already dropping off, adding to concerns members are struggling to survive.

"Many of them, 34 out of the 100 members have told us they won't survive for September if something's not done," said Critch.

A province-wide fuel price contingency program was scrapped in 2013, it had been implemented on and off mirroring fuel price volatility in the market.

Critch said it should be reinstated once more, especially for the sake of smaller, remote routes.

In a statement from Education Minister Adriana Lagrange, she said school transportation funding will increase by $39 million over the next three years, including $9 million for the 2022-23 school year.

Fuel costs can be one quarter of a school board's student transportation budget, she added, and encouraged school boards to seek efficiencies and explore co-operative transportation opportunities.

"Alberta's government is currently exploring additional options to address rising student transportation costs. I hope to share more on this in the near future," said Lagrange.

Alberta Education says it's increased the transportation budget for the upcoming academic year by $9 million — and says its looking into other ways it can address student transportation costs.

TAX HOLIDAY EXTENSION

The inflated fuel cost is now sparking calls from the Alberta NDP to extend the gas tax holiday until at least October to help struggling Albertans.

The premier's office says the fuel tax suspension is contingent on the price of oil remaining above $90 per barrel, and will likely be extended.

Interim Finance Minister Jason Nixon says the province will likely extend the fuel tax relief program through to September, but further details or an official announcement are pending a government review mid-month.

Gas price experts say relief in the market is not right around the corner, as a distinct shortage of supply continues.

"It doesn't mean that refineries aren't doing their job, or their producers aren't doing their job," said Dan McTeague, editor of gaswizard.com and president of Canadians for Affordable Energy.

"It's just that the output is not meeting demand and matching demand, not just domestically in North America, but around the world."