The Competition Bureau has reached an agreement with BVD Petroleum Inc. to resolve concerns related to its proposed acquisition of certain fueling assets from Cenovus Energy Inc. and Husky Canadian Petroleum Marketing Partnership. BVD operates Petro-Canada and Petro-Pass branded fueling stations and Cenovus operates Esso branded stations.
The Bureau concluded that the transaction would likely reduce competition between a Petro-Canada and an Esso gas station. These stations are located near one another along the Queen Elizabeth Way near the community of Glendale, between St. Catharines and Niagara Falls, Ontario.
Gas stations close to one another often compete for drivers by reacting to each other's prices. The Bureau determined that, without a remedy, the transaction would remove important local competition and could lead to higher gas prices in the area.
To address the Bureau's concerns, BVD has agreed to sell its Petro-Canada gas station and Petro-Pass cardlock facility to a buyer to be approved by the Commissioner of Competition. The Bureau is satisfied that this agreement resolves the competition concerns raised by the proposed transaction.
The Bureau is focused on protecting competition in sectors that matter the most to Canadians, including those at the heart of affordability concerns like retail gas.
