SAINT JOHN – The provincial regulator has rejected a deal that would have seen gas prices rise in New Brunswick.

The Energy and Utilities Board announced its decision today to deny an agreement between Irving Oil, a government-hired intervener and other parties.

Irving was scheduled to have a hearing before the EUB next week on its request for an increase in the wholesale margins of 22-to-25 percent on gasoline, diesel fuel and heating oil.

But the company reached an agreement with the other parties late last week, and asked the EUB to scrap the hearing in favour of the agreement.

The EUB turned down that request today, and a public hearing will go forward as scheduled next Monday.