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Sunday, March 19, 2017

Important Question

As of 9:23am this morning
Why are gas stations RAISING gas prices when there's an oil glut and the price is well below $50.00 per barrel?

Local gas station owners appear to be ripping off consumers because the last time oil was this low, we were under $2.00 per gallon. Shouldn't this be a serious issue here considering the facts involved?

Last night, Cheers on Route 13 South (Sunco) by SU, went from $2.21 at 6:30pm to $2.23 at 8:04pm.

Where did they see fit to raise the gas pricing with the above scenario?

UPDATE for 11:36AM comment:

Oil has been down for months. MONTHS!



31 comments:

JoeAlbero said...

Heck, when oil was the low in the past it was under $1.00 a gallon. Get rid of the corn and stop screwing up all of our small equipment/engines. Lower the damn price and believe me, people will spend more money and instantly rebuild our failing economy.

KCSr said...

I don't understand it either. Does seem like price gouging but I don't know enough about it to say.

Anonymous said...

Exactly, Joe. Transportation costs are a part of driving prices up across the board. Consumers should be complaining about this price gouging going on. It is not ethical nor free market principle. It's just plain greed.

Anonymous said...

Thats why i go to sams club to get gas always at least 10 cents cheaper most of time other day was 2.14 when all others were 2.24

Anonymous said...

1007 that's not always the case. There's some times when they're the same price as that Oceanic gas station by the U-Haul-It on Route 13 North. Sometimes the Exxon by the Mall matches the Sam's Club price, too. I watch the local gas companies as well as the commodities trading on oil and this is just ridiculous. I've also noticed, when oil goes down it takes local gas companies a long time to lower their prices to match the trading, even though the gas they have delivered has cost them left because of the oil price.

Price gouging is illegal. Hope these local mooks know this!

Anonymous said...

Royal farms card saves you 10 cents a gallon.

Anonymous said...

Local gas station owners clearly don't watch Fox Business to see their cover is blown. I've also noticed the corner of College & Snow Hill Road has a tri-gas station pricing fix. Chicken Man, Royal Farms and the other station on the corners there are constantly leveling their prices so they all match, and usually higher (sometimes by 5-10 cents) than the Shore Stop and Exxon closer to the SU campus on 13 and S. Division St.

Anonymous said...

These local stations don't realize people are watching their prices and it's no secret the oil prices are falling due to the glutton. What are they going to do when they start drilling off Alaska? They're going to be hurting because they got use to the fat profit margins they've enjoyed thinking us consumers were naive of what's going on. Stupid.

Anonymous said...

Sunco has that gas deal with the new Acme that Giant has with the Shell stations. Is that why Cheers is jacking up their gas now?

Anonymous said...

There's absolutely NO viable EXCUSE for gas to be over $1.50 right now. NONE! Local gas stations are ripping people off.

Anonymous said...

damn Why are you cussing so much this morning? So how do we drive our vechiles to work to make money until gas prices go down?

Anonymous said...

Plenty of times Sam's is only 1 to 2 cents cheaper. So guess I should spend my limited income on a Sam's Club membership.

Anonymous said...

1031 Your buddy Jake put in all those fancy bike lanes, why not ride a Schwinn and leave your big gas guzzler at home?

Anonymous said...

That's just it with Sam's Club, 1034, they're not cost effective especially for people who are single or couples. Not like a two-person household can eat the bulk items up before they go rancid and who really needs toilet paper for the next decade to eat up storage in small apartments? Sam's is not a good deal unless they have some major electronic you're after but add the $35 membership cost and it's just as expensive as buying it at other non-membership required retailers.

Anonymous said...

Let the markets set their own prices. I seriously doubt that Joe Blow and Raj Gumpta are in collusion on setting local gas prices. Maybe there was a supply problem from the refinery. Maybe there was refinery maintenance like they normally do in late winter.
I don't think there's a smoking gun here at all. Many of you think all the gas station owners are out to get us. In fact, very little of their profit comes from gas, so it's in their interest to keep gas prices low to get customers into the store where the profit margins are.
Just sayin'.

Rebel Without a Clue said...

The Sunoco at the VA/MD border was $2.13 this morning on the way to work and the RoFo across the street was $2.19. Go figure. Since I drive to VA to work five days a week I generally buy my gas down there and if not, I stop at the station next to the U-Haul place by the overhead bridge. I used to euphemistically refer to the store as "Akmed's", that it until I found out that one of the long-term employees there is actually named "Ahmed", so now I call it "Ahmed's".

Also, to reply to a different response regarding oil being so low and gas prices being so high. Keep in mind that most gas is selling at the price that was demanded at the time that the oil was initially purchased (several months ago most likely) so this is why you don't see more of a correlation in oil and gas prices, there is a lag factor. However, I too have noticed that when oil prices go up that "all" stations seem to raise their price immediately like a knee jerk response. And like the reader pointed out, the prices never lower as quickly either. I feel that there is collusion among the gas sellers.

Just my two cents.

Anonymous said...

There's no accountability for Big Oil right now - ha, nor has there ever been. When USA eventually rebuild's its oil based infrastructure, maybe continues fracking, maybe searches for additional sites offshore in the Atlantic, not have to rely on Saudi/Iraqi oil - then we can talk about a level playing field. Until then, no oversight, no control...when the wind blows prices jump (hey lucky we haven't had a hurricane in the gulf for years...remember when prices spiked the last time??)....until WE do what WE need to do to be accountable for ourselves - this will continue. Not to mention all the whining about the environment yap yap....all that keeps up, then the status quo reins!

3 days until St. Patties Day!!!!!!!

Anonymous said...

Agree with 1050 and I've found gas to always be cheaper in VA and more expensive in DE. When living on mainland VA, the gas was always 10 cents cheaper than on the Shore.

I also agree with the collusion. You can see it in real time on the corner of Snow Hill & Beaglin. That Royal Farms/Shell/Chicken Man are constantly lowering or raising depending on each other for pricing. Usually, the Chicken Man is the LAST to lower their pricing.

Anonymous said...

Ethanol free gas at the shell across from Sams, that's if you want to keep your small engines working.

But, it's pricey.

Rebel Without a Clue said...

WaWa on the S-curve has ethanol free gas too, I think that it is mid-grade, so does the gas station in Fruitland with the smiley face on it. I've considered putting it in my bike but after doing to research I've discovered that it might not be such a great idea since the manufacturer designed the engine to work with ethanol-based fuels. I used ethanol free in my yard equipment for sure, especially the power washer and chainsaw, any items that don't get used that often really benefit from the lack of ethanol.

Anonymous said...

It's called free enterprise -- cornerstone of the American economy.

If you don't like it move to where the people's republic sets prices -- Cuba, China, Russia -- and don't let the door bang your butt on the way out.

Anonymous said...

So you all really think that gas prices drop immediately after oil prices drop? C'mon... There are several markets in play here, but we'll just focus on cost delay. Basically, we are paying today for the gas produced from the oil purchased yesterday (or more like last month). There is a lag between the oil prices and prices. Unfortunately, lag is usually slow when prices are dropping than when they are going up (for obviously profit reasons). On top of that, we have speculation. Our newfound supply of oil has thrown oil speculation in a tizzy so naturally that speculation has a substantial driving factor on prices at the pump.

Relax folks, gas stations aren't "gouging" you at the pump. Most stations are only allowed to tack on $0.03 to $0.10 per gallon which isn't considerable. Gas prices will go down soon and I wouldn't be surprised if they are under $2.00 per gallon by the end of the month.

Anonymous said...

Last week I drove to Easton from Salisbury. Along Rt 50, with the exception of one retailer, gas prices were 2.19, no matter what brand. You can't tell me every brand has the same costs.

I believe the price of gas on the shore is controlled by 1 or 2 distributors who set the prices, Cato Oil, Abercombie, is one.

Not only are oil prices lower, but there is a glut of gasoline stores

Anonymous said...

Wouldn't be a good post without an idiot commenter like 1133 involved in the mix. Always someone out there who just loves being raped by whatever the wind blows up their ass without any thought as to how it all works together to produce the environment we now are forced to live with until it changes on a federal level. Always a pleasure to see the sand miners on this blog. Keep that head buried firmly in the sand! You're my hero!

Anonymous said...

1138 oil has been down for months. Posted the images on this article for your review. Where's your argument now?

Any questions?

Anonymous said...

Just got back from Boluxie, Miss. Casinos, and gas around there is just $1.75 a Gallon, in National Brand stations!
I asked once why they change the prices every hour or so at Delmarva stations, was told the Oil prices change so much is why. Well, Gold changes value everyday and I have never seen a Jewelry store repricing their stock everyday!

Anonymous said...

The big boys use a program that tells each other the prices of each other's. This is how they get around collusion. When the price is dropping Rofo and Wawa are the slowest to drop because that is when they make more money. The other stores stay high but go a little lower than them because they are still making more money. When the price goes up the big boys go up as soon as they are told the barrel price increased. Oh almost forgot, the big boys are Royal Farms aka Bully Farms and Wawa. They control the price in the entire area. Don't be fooled by lower prices elsewhere. Stores with lower overhead can and will charge better prices. Shopping at them will at some point have an effect on the big boys. Normally it will show in the price of their food area for that is where they are making the margins.

Anonymous said...

The ethanol free is well over 3 bucks a gallon and it costs LESS to produce!

Anonymous said...

Joe , you use to have the lower gas prices around town
listed. Wonder if you would do that again?

Anonymous said...

Shore Stop at corner of College Ave near sobo's is $2.25 now when at 12:00pm today it was $2.24. These local stations are gouging on purpose. There's no keeping prices down. Ridiculous

Anonymous said...

Getting their money while they can. Soon, they won't be able to.