Canadian Retail Petroleum Industry Overview
A Canadian government agency contracted us to provide a comprehensive overview of the Canadian retail petroleum industry. Our study included an in-depth view in the areas of upstream; petroleum refining; supply logistics; wholesale marketing; retail marketing; gasoline pricing; and price regulation. Our report provided our client a relatively concise overview of an industry composed of several layers of infrastructure, sometimes complex relationships among and within the stakeholder organizations, and in particular, characterized by limited public understanding of the infrastructure and competitive mechanisms that affect prices and profits.
Canadian Petroleum Markets Study
For a consortium of clients which included two federal government departments and the Canadian Petroleum Products Institute, we have released a major industry study of competitiveness in the Canadian Petroleum Retail industry. Entitled the “Canadian Petroleum Markets Study”, this 105-page document still serves as an oft-cited reference for understanding the petroleum marketing industry in general, and competitiveness issues in particular. The study provided some unique insights into the state of competitiveness and price differentiation in the Canadian petroleum marketing industry, one of the most competitive markets in the industrialized world. A copy of this study can be found by clicking “Canadian Petroleum Markets Study“.
Petroleum Retail Infrastructure
For over 15 years, we have conducted the National Retail Petroleum Site Census, providing an accurate and comprehensive overview of Canada’s retail petroleum infrastructure. This now annual report is the definitive source of information about the numbers of retail gasoline outlets in Canada. It also provides important insights into the trends in the industry with respect to brand diversity, types of marketers, types of dealers, corporate control of retail outlets and pricing, average throughputs, and the emergence of non-traditional petroleum marketers and outlets.
New Brunswick Distillate Price Forecast
A natural gas marketer engaged us to develop a model to forecast wholesale and retail distillate prices in New Brunswick to be used in the determination of market-based natural gas prices. We analysed and interpreted historical price data to provide a recommended formula to determine heating oil prices for each of six customer segments. Our recommendations formed an integral component of the marketer’s application for a rate change to the New Brunswick provincial regulator. We successfully defended our recommendations before the New Brunswick Public Utilities Board.
British Columbia Diesel Fuel Price Analysis
A Canadian mining company enlisted us to provide a detailed analysis of diesel fuel prices in British Columbia. Our analysis described and quantified the key constituent price components of diesel fuel and the factors that might affect these components in the future. Our study applied these factors to present a quantitative estimate of future diesel fuel taxes, refining and marketing margins in British Columbia for the years 2009 to 2019.
Gasoline Market Economics in Nova Scotia
For the Province of Nova Scotia, and in partnership with another consultant, we conducted a comprehensive review of the Nova Scotia retail fuel industry. We documented and analyzed the infrastructure trends in that province, and we identified and assessed the regulatory options for addressing the principal stakeholder issues. We participated in interviews with a variety of industry stakeholders, and we collected, presented, and analyzed a number of price and margin data related to pump prices.
Brief to Commons Committee
We were engaged to provide a brief to the House of Commons in regards to concerns that the oil industry is not sufficiently “transparent” on the matter of pump prices. Our expert testimony at the Commons Standing Committee was able to provide some insights and an increased understanding of fuel prices in Canada.
Retail Price Projections
An automobile manufacturing company requested us to provide retail gasoline price projections to 2020. Our report also included detailed notes on our price projections broken down to each component: crude prices, margins and tax projections.
Report on the Current Relationship between Retail Prices and Crude Prices
A national industry association enlisted us to provide them insight into the nature of the relationship between crude and retail gasoline prices. Our report provided a deeper understanding of the component prices of gasoline and the factors affecting each.
Retail Petroleum Market Overview
A provincial government branch contracted us to provide financial advisory services in connection with fuel economics. Our report provided a deep understanding of the competition factors involved in the gas retailing business, types of ownership and operating structures, key components and drivers of profitability at retail fuel sites.
Short-Term Outlook for Gasoline and Diesel Costs
Annually since 2010, a Canadian municipality enlisted us to assist annually with forecasting wholesale gasoline and diesel prices including low-range, high-range and “best estimate” predictions with explanatory analysis of our estimates to assist the municipality in the forecasting operating budget expenditures.
Report on Understanding Retail Transportation Fuel Pricing in Ontario
We were engaged by a provincial government branch to provide an in-depth analysis of the Ontario fuels pricing structure. Our report provided a broad review of the Ontario petroleum industry that has enabled the public and government to have a better understanding of the dynamics of petroleum prices and markets, the factors that influence retail price-setting, and why retail fuel prices can vary from one retailer to another or from one market/region to another. A copy of this report can be found by clicking “Understanding Retail Transportation Fuel Pricing in Ontario“.
Brand Value Analytics
We were engaged by a Canadian fuels marketing company to evaluate through a detailed statistical analysis the brand value and performance of specific brands within specific markets and by fuel grade. Our analysis of the data and subsequent presentation to the company provided key insights into average site throughputs and brand performance illustrating the significance of branding, and perceived brand value, on site volume performance.
Brief – Ontario Pump Prices
We were engaged by a national industry association to provide a briefing document. Our briefing provided an overview of price and pricing dynamics, with a particular focus on the Ontario market and also included commonly asked questions about the fuel industry.
Report on Canadian Petroleum Industry
We were engaged by a national industry association to provide a consumer and government oriented briefing on the Canadian downstream petroleum sector. Our report provided an overview of the entire downstream sector including refining, supply and distribution, wholesale and retail markets, as well as the dynamics affecting pump prices and pump price regulations in Canada.
Newsletter – Report on Diesel Pricing in Canada
we were engaged by a national transportation company to provide a monthly newsletter that delivers timely updates on ongoing fuel market insights to better understand diesel prices in Canada. The newsletter summarizes Canadian, US, or global events that affect the oil/fuel market and provides insights into how these events are likely to impact prices.
Brief – Northern Ontario Prices Briefing Note
In 2018, we were engaged by a national industry association to provide a briefing document whose objective was to explain the disparities of gasoline prices within Northern Ontario markets relative to markets in Southern Ontario. Our report assisted this association in its efforts to bring a better understanding of fuel price dynamics to government stakeholders.