Gas Prices

[Dash5]

Since the cost to run a gas station is pretty constant, they compete on price.

Now THAT right there is just good comedy! Thanks Glacier.

Compete!

[Crazy Horse]

So much wrong information here I don't know where to begin.

Just keep one thing in mind; It is the oil company/refiners setting the prices. The gas station owner operators in most cases do not control the price, in fact most don't even own the gas they are selling. Non-existent anti competition laws have all but eliminated the owner operated gas stations.

[wolfen_one]

[quote="Crazy Horse"]So much wrong information here I don't know where to begin.



Could you specify?

[Crazy Horse]

Some people posting try to correlate the price of gas to crude oil pricing, but that is only one of many factors affecting price.
One poster implied that because all stations raised their price at once, that they must have all filled their tanks at the same time.
"We" the people do not own the oil.
A rise in retail price does not mean that the station owner just pocketed the additional profits from the gas already in the tanks.

The reason we are being ripped off in this country is because too few companies control the refining and distribution of gasoline, and these same companies also control the retail price. Because of inadequate anti-competition laws they have squeezed out the independent operators. In BC there are basically 5 companies that control the flow of gasoline; Chevron, Standard (Esso), Suncor (Petro Canada), Shell and Husky. Because there are only 2 refineries in BC (Chevron, Husky) these 5 companies trade product as needed, but there is no true competition. It is very different in the US where there is healthy competition between refiners.

[wolfen_one]

Thanks for clarifying. My issue is what I percieve as price fixing in the Kelowna area. I don't see a uniform price anywhwere else in my travels.

One more question. How does an owner not profit if the price rises at the pump on their existing stocks? I have been told otherwise by a couple of people in the business.

[GenuinelyInterested]

It's 1 thing to complain about the price of gas but, WHAT are YOU going to do about it? What CAN you do about it?
Suck it up or WALK. Please, let all the rest of us know what YOUR choice is and HOW that works out for you.

[Crazy Horse]

Thanks for clarifying. My issue is what I percieve as price fixing in the Kelowna area. I don't see a uniform price anywhwere else in my travels.

One more question. How does an owner not profit if the price rises at the pump on their existing stocks? I have been told otherwise by a couple of people in the business.

Most owners do not own the gasoline, they get a commission on litres sold, so for them it doesn't matter what the price is, they get a flat rate. There are some station owners that still buy bulk gas on their own and stand to profit (or lose) with price changes, but there are very few of these operations left. They have been driven out of business by their own suppliers.

[nextimeround]

It's true there is little an individual or even a small group can do to combat rampant gas price gouging. As much as I hate to see government involved in private industry sometimes it is the only way to ensure that at least some level of the public's best interest is maintained.

Although the heavy handed, cash rich lobbyists would stop this before it got started I wish our elected officials would grow some kahunas and force price regulations onto the oil companies. This is a necessity with other essential services and utilities and would be a strong move towards stabilizing one major aspect of our fragile economy. Prices need to be set via a regulatory board. Price increases need to be justified then if approved appropriate public notice should be required followed by the increase. This works (arguably) for natural gas and electricity, not to mention phone, Internet and cable.

So, we can change this but we need to do it through our elected officials.

[crookedmember]

Some people posting try to correlate the price of gas to crude oil pricing, but that is only one of many factors affecting price.

Gee, nobody said the price of crude is the only factor affecting the price of gasoline. But the price of the feedstock is the major factor.

15 years ago when crude was $20/bbl, gas was $0.45/L. Today crude is $95/bbl and gas is $1.30/L. The other major factors, taxes and refining/marketing margins haven't changed nearly as much.

At any rate, complaining about the price of gas is stupid. The smart reaction is to stop buying stupid vehicles.

[ticat900]

i use to have a 1977chev 4x4 and it got 10-11MPG.Fuel was 55 cents a litre My newer chev 2007 4x4 now gets 20MPG so iam almost even and my 2012 suzuki suv gets 27 so iam ahead of the game

[wolfen_one]

Thanks for the PM Gordon.

[westbankkid]

Just a point of interest to show we are being screwed.
Vernon today 122.9, 100 mile house 118.9 today Kamloops 119.9 today according to gas buddy. I have said this before. The first to go up are Shell, Petrocan and Esso. Refuse to buy from them and it will eventually go down. People have to smarten up to make it work. Forget your Air miles, Petro points etc. for awhile. Buy at Superstore or Safeway and get a discount as well.

[GordonH]

:1419: Just a point of interest to show we are being screwed.
Vernon today 122.9, 100 mile house 118.9 today Kamloops 119.9 today according to gas buddy. I have said this before. The first to go up are Shell, Petrocan and Esso. Refuse to buy from them and it will eventually go down. People have to smarten up to make it work. Forget your Air miles, Petro points etc. for awhile. Buy at Superstore or Safeway and get a discount as well.

Since Safeway, Superstore, Super-Save Gas & Canadian Tire Gas etc....etc... purchase their fuel from either Shell, Esso or Suncor (also known as Petro-Canada). So only one your hurting is local station Owner/manger, fuel suppliers still get their money.

If it makes you feel better than stop purchasing from local franchise owner/operator.

[waynetyea]

they have to charge more here so that they can give away cheaper gas in alta and ontario... thanks for the break oil companys another reason for bc to leave canada and go independent... and if the other bs reasons were true then why did it go down in the states. the next car i will buy is gonna be electric... then ill be able to say eff u to the oil companys

[waynetyea]

someone made a phone call to start this process whoever he is i will bet everything i have that he is not from here. prices only went up in lower bc. hes probaley from alberta. and hes jealous of the weather in bc... i hope it stays -40 where he is till summer and i hope his car breaks down and he freezes to death