'Gas war' raging in Windsor with prices below purchasing cost

An all out "gas war" is raging in Windsor with prices varying widely across the city, according to an expert who tracks the cost of fuel.

The price per litre ranges by 20 cents or more, depending on where you fill up, according to gas price expert Dan McTeague.

The petroleum analyst for GasBuddy said he was surprised to see so many stations in the city selling their product for around 90 cents a litre.

"Those prices are about 14 to 15 cents less than what it costs for most gas stations to purchase their fuel," McTeague explained. "That really does qualify as the classic definition of a gas war, and it means that these are tough times for a gas station, but it is an absolute boon for motorists in the Windsor area."

He added there must be "vigorous" competition in Windsor to have stores selling fuel as a loss leader in order to get people through their door.