Canadians' Perceptions of the Fairness of Gas Prices and Government Regulation

In response to recent increases in gasoline prices, the majority (76%) of Canadians feel that the oil industry sets gas prices unfairly. However, over one-half (52%) of Canadians are opposed to government regulation of the industry, according to a National Angus Reid Poll conducted among 1,503 Canadians between September 23rd and 30th, 1997.

The highlights of the poll findings include:

Oil Industry Sets Gas Prices Unfairly

• Over three-quarters (76%) of Canadians feel that "gas prices are unfair because the oil industry sets them as high as they can get away with, regardless of real market forces". In comparison, two in ten (20%) Canadians believe that "the prices that oil companies charge for gas are fair, because they reflect real market forces, such as supply and demand and the cost of oil". (Table 1)
• Residents of Atlantic Canada (84%) are more likely than other regions of Canada to feel that gas prices are unfair.
• On the other hand, Albertans (35%) and the most affluent (25% among those with annual household incomes of $60,000 or more) are disproportionately more likely to believe that the prices that oil companies charge for gas are fair.

Opposition to Government Regulation of Gas Prices

• Just over one-half (52%) of Canadians believe that "the government should not directly regulate gas prices and should leave it up to the marketplace", compared to under one-half (44%) who feel that "gas prices should be directly regulated by the government to protect consumers from unfair pricing". (Table 2)
• Opposition to government regulation of gas prices is predominantly stronger among Albertans (64%), British Columbians (61%) and the most affluent (59% among those with annual household incomes of $60,000 or more).
• Conversely, support for government regulation of gas prices is more likely to be found among Atlantic Canadians (58%).

This National Angus Reid Poll was conducted by telephone between September 23rd and 30th, 1997 among a representative cross-section of 1,503 Canadian adults.

These data were statistically weighted to ensure the sample's regional and age/sex composition reflects that of the actual Canadian population according to the 1991 and 1996 Census data.

With a national sample of 1,500, one can say with 95 percent certainty that the results are within ±2.5 percentage points of what they would have been had the entire adult Canadian population been polled. The margin of error will be larger within regions and for other sub-groupings of the survey population.

For more information on this news release, please contact:

Darrell Bricker
Senior Vice-President
Angus Reid Group
(613) 241-5802

John Wright
Senior Vice-President
Angus Reid Group
(416) 324-2900

Bob Richardson
Vice-President
Angus Reid Group
(416) 324-2900

Christian Bourque
Senior Research Manager
Groupe Angus Reid
(514) 877-5550