Gas prices have nation fuming

petrotrader · May 21, 2007

Give it a few weeks/months and we'll see retailers shutting off their pumps after they determine that the risk of being accused of price gouging far outweighs the potential profits...

As an aside, there is currently federal legislation in the works regarding price gouging that calls for fines of $500K per incident.

Issue Date: CSP Daily News, May 21, 2007

Ky. Station Owner Bags Pumps Over Prices Fears gouging accusation

LOUISVILLE, Ky. -- Joining a small but growing list of independent gas station retailers around the country, a Louisville, Ky., station owner has declined to sell fuel in protest of rising gasoline prices, reported WLKY-TV.

The owner of the Marathon station, near Interstate 64, has refused to sell gasoline for several days in protest of âskyrocketingâ prices, said the report.

Drivers were still rushing into the station Thursday, seeing the $3.09 advertised price on the stationâs sign, the report said. But that sign was from days ago.

âI was very disappointed, very disappointing,â motorist Linda Loyall told the news outlet. âI need gas.â

But the owner, who wanted to remain anonymous, told WLKY that he bagged his pumps because he would have to charge $3.40 per gallon just to break even and did not want to be accused of price gouging.

âI applaud the gentleman,â motorist Keith Bernard added. âHe should have a standing ovation.â

Earlier this month, Kentucky Attorney General Greg Stumbo filed litigation against Marathon Oil Corp., Marathon Petroleum Co. LLC and Speedway SuperAmerica LLC, charging the corporations with profiteering during the time of emergency following hurricanes Katrina and Rita. The companies are alleged to have overcharged Kentucky consumers more than $89 million in grossly excessive motor fuel pricing.

petrotrader · May 21, 2007

Quote from dougcs:

the gummit could help by permitting new refinery sites in an expedited manner.

Agreed. It's not rocket science, the last domestic refinery began operations in '76 and demand has increased exponentially since then.

Given the time it takes to build a new refinery, removed some of the red tape involved in expanding current refineries would be a good place to start but that's not likely to happen anytime soon either.

thriftybob · May 21, 2007

Put a $3.00 per gallon tax on it and there won't be any more supply problems, and people will buy economical cars without having to be forced to, the budget deficit will drop, the trade deficit will drop, demand will drop, then the price will drop too, and then the terrorists will starve.

version77 · May 21, 2007

I thought I saw on TV yesterday that if you take inflation into account,
gas back in 1981 in the US would of been $3.14 a gallon. Which
is pretty close to what it is now.

risktaker · May 21, 2007

Agree 100%

Quote from thriftybob:

Put a $3.00 per gallon tax on it and there won't be any more supply problems, and people will buy economical cars without having to be forced to, the budget deficit will drop, the trade deficit will drop, demand will drop, then the price will drop too, and then the terrorists will starve.

Gustaf · May 21, 2007

Quote from thriftybob:

Put a $3.00 per gallon tax on it and there won't be any more supply problems, and people will buy economical cars without having to be forced to, the budget deficit will drop, the trade deficit will drop, demand will drop, then the price will drop too, and then the terrorists will starve.

You sound like a Swedish politician, tax is the solution to all problems.

Now, where's my Truck n Suv's buyers guide.

hajimow · May 21, 2007

Quote from thriftybob:

Put a $3.00 per gallon tax on it and there won't be any more supply problems, and people will buy economical cars without having to be forced to, the budget deficit will drop, the trade deficit will drop, demand will drop, then the price will drop too, and then the terrorists will starve.

Do you mean the big oil companies?:eek:

ByLoSellHi · May 21, 2007

More of our oil is imported from Mexico and Canada than the Middle East.

Gotta' love the flagrantly erroneous information that the media throws around and people simply reiterate...

Comanche · May 21, 2007

Gentlemen, it is the modern day arms for hostages! We are not short on crude at this moment, and crude is being supported through the incredible gas crack spreads. Gasoline is what is easy to control in this country by artificially constraining refining capacity. Look at where utilization runs in May for years back, until the last 2 years. Capacity is being held back to run gasoline, resulting in a strong crude price.

Why? Political play of course. We have a deal to keep terrorism off of our soil, in return we keep the barrel priced high to support these mid-east economies. Can't control crude directly as you can through the refined products. That is why we have had a dismal refining utilization rate for last 2 years AND why valero and the likes has delayed capacity expansion projects that were slated to be in construction awhile back.

Politicians can make some jack too in their "blind" trusts!!

Weekly Refining Utilization since 1990:

http://tonto.eia.doe.gov/dnav/pet/hist/wpuleus3w.htm

hajimow · May 21, 2007

Quote from thriftybob:

Put a $3.00 per gallon tax on it and there won't be any more supply problems, and people will buy economical cars without having to be forced to, the budget deficit will drop, the trade deficit will drop, demand will drop, then the price will drop too, and then the terrorists will starve.

Increasing tax is not the solution. managing the budget wisely and using the budget in the right way is the key. You can increase the tax to $20 and then blow out the budget by blowing out everywhere with that budget. You will end up in the same place.