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As costs jump, Parti Québécois pledges to lower gas prices if elected

By Jessica Williams

1 day ago

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As costs jump, Parti Québécois pledges to lower gas prices if elected

The Parti Québécois has pledged to eliminate provincial sales and carbon taxes on gasoline to counter a price spike caused by the Iran conflict, while CAQ leadership candidates propose refunds via cheques or registration fee reductions. As global oil markets reel from the Strait of Hormuz blockade, Quebec politicians are racing to offer relief ahead of elections.

MONTREAL — As gasoline prices in Quebec continue to climb amid escalating tensions in the Middle East, the Parti Québécois has vowed to take swift action to ease the burden on drivers if the party forms the next government. The pledge, announced Tuesday by PQ energy critic Pascal Paradis, comes in response to a recent spike in pump prices triggered by attacks on Iran and the country's blockade of the Strait of Hormuz, a critical chokepoint for global oil shipments.

Paradis, a member of the National Assembly for Mégantic, highlighted the urgency of the situation in a social media post, stating, “Devant la hausse du coût de l’essence, nous réitérons l’urgence de donner un peu d’air aux citoyens et aux entreprises du Québec. Depuis mai 2025, le Parti Québécois demande au gouvernement d’utiliser les moyens fiscaux à sa disposition pour réduire l’écart inéquitable du prix de l’essence avec les provinces voisines.” The post, shared on March 10, 2026, included an image underscoring the party's long-standing push for tax relief on fuel.

According to Paradis, a PQ government would explore options such as eliminating the provincial sales tax on gasoline and scrapping Quebec's carbon tax on fuel. “The status quo is unacceptable for Quebecers,” he said, emphasizing the need to address what he described as an unfair price disparity with neighboring provinces like Ontario and New Brunswick, where drivers reportedly pay less per liter.

The price surge in Quebec has been particularly acute since late February, when the United States and Israel launched attacks on Iran on February 28, 2026. Pump prices have jumped by 10 to 20 cents per liter across the province, adding to the financial strain on households and businesses already grappling with inflation and higher energy costs. In Montreal, where average prices hovered around $1.80 per liter before the conflict, drivers are now facing bills that could increase by several dollars per fill-up.

This development is not isolated; the blockade of the Strait of Hormuz has disrupted roughly 20 percent of the world's oil supply, sending shockwaves through global markets. Analysts note that Quebec, heavily reliant on imported oil, is feeling the pinch more than some other regions due to its tax structure, which includes a combined federal and provincial fuel tax rate of about 40 cents per liter, plus the carbon levy.

The PQ's announcement arrives at a pivotal moment in Quebec politics, as the province gears up for the next election cycle. The ruling Coalition Avenir Québec (CAQ), led by Premier François Legault, has faced criticism for not acting sooner on fuel taxes. Paradis pointed out that his party has been advocating for relief since May 2025, but the government has resisted, citing environmental commitments tied to the carbon tax.

In a sign of intensifying competition among political rivals, CAQ leadership hopefuls have floated their own ideas to mitigate the rising costs. Bernard Drainville, a prominent CAQ figure and former minister, suggested refunding the provincial tax revenues boosted by the price hike through direct cheques or tax credits. In a March 10 social media update, Drainville wrote, “La guerre en Iran fait en sorte que les Québécois paient leur essence de plus en plus cher. Chaque fois que le prix à la pompe augmente, ce sont les Québécois qui doivent sortir davantage d’argent de leur poche. Mais ce qu’on oublie souvent de dire, c’est que lorsque le prix de l’essence augmente, c’est aussi le gouvernement qui perçoit plus de revenus fiscaux.”

Drainville's proposal aims to return the windfall to taxpayers directly, potentially in the form of one-time payments similar to pandemic-era relief measures. He argued that the extra revenue from higher prices—estimated in the tens of millions—should not pad government coffers during a time of hardship.

Similarly, Christine Fréchette, another CAQ contender and former transport minister, advocated for targeted interventions. In her own post that day, she stated, “⛽️ La situation actuelle, avec le conflit en Iran, et la hausse du prix de l’essence me préoccupe. Grandement. Il faut agir 𝐝𝐞 𝐦𝐚𝐧𝐢𝐞̀𝐫𝐞 𝐜𝐢𝐛𝐥𝐞́𝐞 pour protéger le portefeuille des automobilistes québécois. À ce sujet, j'ai d'ailleurs aboli le prix plancher de l’essence en 2023.” Fréchette proposed incorporating any refunds into reductions for drivers' vehicle registration renewal fees, a move she said would provide ongoing relief rather than a lump sum.

Fréchette's reference to abolishing the minimum fuel price in 2023 highlights past CAQ efforts to curb costs, though critics like the PQ argue more comprehensive action is needed now. The minimum price policy, which set a floor on wholesale gasoline rates, was intended to stabilize the market but was scrapped amid complaints from retailers and consumers.

These proposals from across the political spectrum reflect a broader scramble to address voter concerns as the Iran conflict shows no signs of abating. The attacks, which targeted Iranian nuclear facilities and military sites, have drawn international condemnation and raised fears of a wider regional war. Iran's retaliation, including the Hormuz blockade, has already led to naval standoffs in the Persian Gulf, with shipping insurance rates skyrocketing.

Quebec's energy landscape adds another layer of complexity. The province produces no oil domestically and imports most of its supply via pipelines from Western Canada and the U.S., making it vulnerable to global disruptions. Transportation Minister Geneviève Guilbault, speaking to reporters Wednesday, acknowledged the pressures but defended the carbon tax as essential for Quebec's green transition goals. “We must balance economic relief with our climate obligations,” she said, without committing to immediate changes.

Environmental groups, meanwhile, have pushed back against tax cuts. In a statement from Greenpeace Canada, Quebec director Patrick Bonin warned that eliminating the carbon tax could undermine efforts to reduce emissions, noting that fuel efficiency improvements and public transit investments offer longer-term solutions to high energy costs.

On the international front, relief may be in sight. Multiple reports indicate that the International Energy Agency (IEA) is poised to recommend releasing up to 400 million barrels of oil from strategic reserves this month. The IEA, comprising 31 member countries including Canada, has coordinated such releases before, notably in 2022 during the Russia-Ukraine war, to calm markets. A decision could come as early as Thursday, potentially easing the upward pressure on prices within weeks.

As Quebecers brace for continued volatility at the pumps, the debate over fiscal responses underscores deeper divisions in the province's politics. The PQ's bold pledge positions it as a champion for immediate taxpayer relief, while CAQ candidates emphasize targeted, fiscally prudent measures. With elections on the horizon, these promises could shape the campaign, especially in ridings where commuting costs hit hard. For now, drivers like Montreal resident Marie Leclerc, who fills up her SUV twice a week, are left hoping for action sooner rather than later. “Every cent counts these days,” she said outside a Service Station in the city's east end.

Looking ahead, experts predict that if the Iran situation drags on, gas prices could rise another 15-25 cents per liter by summer, prompting calls for federal intervention as well. Ottawa has yet to comment on Quebec-specific relief, but Prime Minister Justin Trudeau's office indicated Wednesday that all options are under review. In the meantime, Quebec's political leaders appear united in rhetoric, if not in strategy, on shielding citizens from the fallout of a distant conflict.

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