How do gas stations have the same price changes at the same time?
Mar 18, 2019 10:55:30 #
clint f.
Loc: Priest Lake Idaho, Spokane Wa
If you think the gas station is making a killing at $.03 or $.04 per gallon look what the taxman gets. Nearly $1.00 per gallon in WA last time I looked.
Mar 18, 2019 11:01:36 #
Mar 18, 2019 12:02:16 #
clint f. wrote:
If you think the gas station is making a killing at $.03 or $.04 per gallon look what the taxman gets. Nearly $1.00 per gallon in WA last time I looked.
Hopefully that dollar helps to keep the roads repaired.
Depends on the state.
Mar 18, 2019 12:13:22 #
hj wrote:
Can someone in the petroleum industry (not guesses by everyone else) explain how gas stations all change their prices, up or down, at the same time? Seems like collusion to me.... and they use any excuse to jack the price including rumors on the world stage not facts.
They all work together and corporate tells them all when and how much!
Mar 18, 2019 12:17:11 #
hj wrote:
Can someone in the petroleum industry (not guesses by everyone else) explain how gas stations all change their prices, up or down, at the same time? Seems like collusion to me.... and they use any excuse to jack the price including rumors on the world stage not facts.
Here in Williamsport prices vary greatly from station to station.
Mar 18, 2019 12:52:12 #
What gets me mad is when it goes up it goes up by .6c when it comes down it only comes down by .2c
Mar 18, 2019 13:32:09 #
paulrph1
Loc: Washington, Utah
Toby wrote:
I remember when prices were based on costs. If the cost when up you didn't change the price until you had used all of the old cheaper product. The world is moving faster today. Not saying it's worse, just different.
During the '60s when they had the gas wars I worked at a service station and when they had a gas war the owner would send his trucks up north to fuel up and he did it for the time the war was on 24/7 and he would stockpile the cheaper oil for later use. He even wanted gas wars to he could get it at the cheaper price.
Mar 18, 2019 13:52:16 #
It is not collusion by Big Oil as too many believe.
This has been investigate ad nausea and never found to exist.
It is a complex worldwide industry.
Did you know that we consume close to 90 million barrels of crude oil daily? Try to replace that quantity of energy with anything else.
Most stations are owned by individuals who are aware of competition and current market prices. That is called good business.
Always keep in mind that the government takes more in taxes than the station owner and oil company make. See EIA website.
It is a highly competitive and low margin business.
Factors that influence pricing are supply of product, cost of crude oil which fluctuates frequently, competition, etc.
Have you priced Star Bucks coffee by the gallon, or shampoo and perfume lately? Now there is true and predatory pricing.
Try buying gasoline in socialist nations like Venezuela, which has an abundance of crude oil, but socialism and corruption rule.
The USA is a wonderful place to live!!
Support individual freedom and capitalism! Beware of Bernie Sanders, AOC, etc. who will destroy this engine of freedom and individual rights.
This has been investigate ad nausea and never found to exist.
It is a complex worldwide industry.
Did you know that we consume close to 90 million barrels of crude oil daily? Try to replace that quantity of energy with anything else.
Most stations are owned by individuals who are aware of competition and current market prices. That is called good business.
Always keep in mind that the government takes more in taxes than the station owner and oil company make. See EIA website.
It is a highly competitive and low margin business.
Factors that influence pricing are supply of product, cost of crude oil which fluctuates frequently, competition, etc.
Have you priced Star Bucks coffee by the gallon, or shampoo and perfume lately? Now there is true and predatory pricing.
Try buying gasoline in socialist nations like Venezuela, which has an abundance of crude oil, but socialism and corruption rule.
The USA is a wonderful place to live!!
Support individual freedom and capitalism! Beware of Bernie Sanders, AOC, etc. who will destroy this engine of freedom and individual rights.
Mar 18, 2019 14:10:12 #
Mar 18, 2019 14:13:34 #
A long-time friend of mine worked in the petroleum business on the retail side. I asked that same question and he told me that the prices are based on the "current replacement price". He explained that even though their tanks were near full the prices were adjusted based on what the supplier would charge to refill them at that time which can change daily.
He also explained that there are 'seasonal blends' based on pollution emissions which can be imposed on a local basis. Those additives affect the price which is why you can drive down the road and find the prices different because those stations are not required to carry "the blend". Shortages also occur when the required blends run low even though there is plenty of other or non blended fuel available.
Diesel fuel competes with home and commercial heating, industrial needs and farming needs so it too not only follows the replacement costs but demand needs as well.
He also explained that there are 'seasonal blends' based on pollution emissions which can be imposed on a local basis. Those additives affect the price which is why you can drive down the road and find the prices different because those stations are not required to carry "the blend". Shortages also occur when the required blends run low even though there is plenty of other or non blended fuel available.
Diesel fuel competes with home and commercial heating, industrial needs and farming needs so it too not only follows the replacement costs but demand needs as well.
Mar 18, 2019 14:16:17 #
there is not enough storage capacity at any given gas station to hoard cheap gasoline.
During the 1970's shortage most drivers tried to keep the tank full. That caused an "enormous mobile tank farm" that contributed to further shortage.
Hoarding begats shortage.
Keep track of how often the fuel truck visits a station. In urban areas it is quite often.
During the 1970's shortage most drivers tried to keep the tank full. That caused an "enormous mobile tank farm" that contributed to further shortage.
Hoarding begats shortage.
Keep track of how often the fuel truck visits a station. In urban areas it is quite often.
Mar 18, 2019 14:16:18 #
brucebc
Loc: Tooele, Utah
The gas price fixing scam was investigated in Flagstaff, Az about 20 years ago and the results were; one man owns all the stations except the Maverick. So he set what ever and when ever prices he wanted, end of story.
Mar 18, 2019 14:26:02 #
Maverivk must have done good.
Free enterprise is good. No competition is bad, just try PEMEX in Mexico.
Free enterprise is good. No competition is bad, just try PEMEX in Mexico.
Mar 18, 2019 14:28:14 #
IT IS MAGIC........or maybe they saw it on TWITTER from the whitehouse.....hahaa
Mar 18, 2019 14:34:50 #
Seasonal blends!
Try California.
Results are the highest priced gasoline in the US with limited refining capacity.
Do not CALIFORNICATE your State
Try California.
Results are the highest priced gasoline in the US with limited refining capacity.
Do not CALIFORNICATE your State
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