Gasoline report 2025: Lower prices at the pump don’t tell the whole story
A recognized authority in gasoline price monitoring, CAA-Quebec has released its 2025 annual report, revealing an overall decline in prices at the pump. But motorists in some areas still paid too much, and stubborn regional inconsistencies raise questions about price-setting practices and retail markups.
The average price of gasoline in Quebec decreased by 5.8% last year compared to 2024. This drop is largely due to the decline in oil indicators, particularly the cost of crude oil (WTI and Brent) and refined gasoline. Gas stations in Québec City and Sherbrooke were less greedy, with average retail markups down 34.5% and 13.8%, respectively. In Montréal, however, the markup fell by just 1.2%.
Despite high sales volume, certain large urban areas have some of the highest prices in Quebec, a pattern that’s hard to explain. Excluding Nord-du-Québec (169.4 cents/litre), the highest average prices in 2025 were in Montréal (158.3 cents/litre) and Laval (158.1 cents/litre). Yet these two regions, in addition to Montérégie had the highest sales volumes per service station in Quebec.
Another troubling regional inconsistency: Capitale-Nationale’s average price (153.6 cents/litre) was higher than in remote regions such as Côte-Nord (152.1 cents/litre) and nearly identical to gas prices in Bas-Saint-Laurent (153.9 cents/litre).
“At a time when the rising cost of living is putting more and more pressure on household budgets, motorists are naturally more sensitive to the price of gasoline. CAA-Quebec continues to closely monitor the market and engage with decision makers when necessary.”
Nicolas RyanPublic affairs director, CAA-Quebec
Regional observations
The price is right in Saguenay–Lac-Saint-Jean
Due to a price war that has been raging for more than two years, Saguenay–Lac-Saint-Jean had the province’s lowest average price at the pump in 2025 (142.9 cents/litre). What’s more, the retail markup was 4.3 cents/litre, the lowest average markup in Quebec and lower than the operating cost set by Régie de l’énergie (5.5 cents/litre) for remote regions such as Saguenay-Lac-Saint-Jean. gine and interior. All in all, this results in greater comfort and lower fuel consumption.
Healthier competition but markups still too high in Capitale-Nationale
Since the notice published by Régie de l’énergie in 2023, competition has improved in the Québec City area. In 2025, motorists saw wider day-to-day price variation at the pump, creating more opportunities to shop around in a more competitive fuel market. CAA-Quebec is still closely monitoring the situation. Average retail markups in Capitale-Nationale are still too similar to markups in remote regions, which raises a lot of questions.
Sherbrooke: Excessive stability a disadvantage to consumers
Prolonged price stability in Sherbrooke continues to be a big problem. Between April 28 and June 27, 2025, gas prices did not budge at the pump for 41 consecutive business days, defying the day-to-day volatility of oil markets. That kind of rigidity often masks an additional cost absorbed by motorists.
Highest taxes in Montréal
In 2025, Montréal once again topped the country for the highest proportion of tax in the price of a litre of regular gasoline: 33.4%. No other major Canadian city had a higher level of taxation. This increase is mainly explained by other provinces abolishing the federal carbon tax on April 1, 2025.
No price hikes before holidays
The myth that prices at the pump always go up ahead of a holiday weekend or the construction holiday is deeply rooted in the public mindset. But CAA-Quebec’s analysis tells a different story. Over 52 weeks, the price of regular gas rose on Fridays just 12 times in Montréal, twice in Québec City, and not once in Sherbrooke.
- In Montréal, none of the Friday increases included an unusually high retail markup compared to the previous days. What’s more, no price hikes were observed at the pump on the eve of the construction holiday, and the retail markup during that period remained moderate at between 5.9 and 9.1 cents/litre.
- In Québec City, the two Friday increases can be readily explained by unusually low markups in the preceding days, leaving retailers with limited flexibility. Again, there were no upward adjustments before the start of the construction holiday. During the two-week period, the markup varied between –3.7 and 4.3 cents/litre, underscoring just how tight conditions were for retailers.
- In Sherbrooke, the posted price remained perfectly stable at 153.9 cents/litre, before as well as during the holiday. But the retail markup fluctuated between 2.9 and 9.7 cents/litre.
Supporting figures
Average price per litre (cents/litre)
City | 2025 | 2024 | Change |
Montréal | 158.4 | 167.0 | -5.0% |
Québec City | 151.8 | 163.7 | -7.3% |
Sherbrooke | 154.7 | 164.5 | -6% |
Highest price observed at the pump
City | Highest price | Dates |
Montréal | 169.9 | September 4 |
Québec City | 164.9 | September 10–17 |
Sherbrooke | 162.9 | January 21–23 |
Lowest price observed at the pump
City | Lowest price | Dates |
Montréal | 136.9 | December 29–30 |
Québec City | 137.9 | July 2 |
Sherbrooke | 143.9 | December 29 (p.m.) and 30 |
About CAA-Quebec
CAA-Quebec offers a wide range of assistance services in a wide variety of sectors, drawing on a human approach. As a socially committed organization, CAA-Quebec strives on a daily basis to protect the interests of its members. And in keeping with its values of reliability and benevolence, it fosters responsible consumption and promotes road safety.
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