Why high fuel prices at the pumps, but low airfares?

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Why high fuel prices at the pumps, but low airfares?

Postby nepal » May 25th, 2011, 6:24 am

What's going on with how fuel prices at the pumps are so high, yet Penticton-Vancouver airfares are lower than ever? Don't cars and airplanes both use fuel! Fuel prices in the valley are higher than a lot of other places.
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Re: Why high fuel prices at the pumps, but low airfares?

Postby Bsuds » May 25th, 2011, 6:31 am

Because the Big Oil Companies say it is supply and demand.

We want a supply and they demand more money!
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Re: Why high fuel prices at the pumps, but low airfares?

Postby twobits » May 25th, 2011, 7:47 am

nepal wrote:What's going on with how fuel prices at the pumps are so high, yet Penticton-Vancouver airfares are lower than ever? Don't cars and airplanes both use fuel! Fuel prices in the valley are higher than a lot of other places.


Because there is actually competition in the airline industry while there is only collusion in the oil industry.
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Re: Why high fuel prices at the pumps, but low airfares?

Postby Static » May 26th, 2011, 10:40 am

Planes secretly use solar power.
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Re: Why high fuel prices at the pumps, but low airfares?

Postby Quixote » May 28th, 2011, 9:48 am

They're likely fuel hedging: http://en.wikipedia.org/wiki/Fuel_hedging
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Re: Why high fuel prices at the pumps, but low airfares?

Postby Static » May 31st, 2011, 9:12 pm

I'm still leaning towards the solar panels. Or maybe even sails.
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Re: Why high fuel prices at the pumps, but low airfares?

Postby prairieflower » May 31st, 2011, 9:21 pm

Static wrote:Planes secretly use solar power.



lol or the secret unicorns that pull them when no one is looking :127:
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Re: Why high fuel prices at the pumps, but low airfares?

Postby nepal » May 31st, 2011, 10:18 pm

I drove to Kelowna the other day and burned lots of fuel (and time) sitting in stop-and-go traffic. Even worse fuel consumption when there are long delays for accidents/construction on the way there and no way around! :sleepdeprived:
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Re: Why high fuel prices at the pumps, but low airfares?

Postby nepal » Jun 8th, 2011, 8:56 pm

Regular, reported to $.98 cents north of Nanaimo and $1.10 at Kamloops. Penticton $134.90. June 8
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Re: Why high fuel prices at the pumps, but low airfares?

Postby XT225 » Jun 8th, 2011, 9:10 pm

nepal wrote:Regular, reported to $.98 cents north of Nanaimo and $1.10 at Kamloops. Penticton $134.90. June 8


Yep, I heard that today..that gas was less than a buck Mid-Island. Nice to see SOME places having price wars. Our greedy service stations really are ruining the tourist business big time. I say reduce the price, let the word out and reap the benefits of a tourist town, as it should be. Even the motel owners should be pushing for this; they ALL would benefit. Imagine what a wonderful effect it could have if our stations lowered it even for a weekend (ie: the Beach City Cruise weekend, coming up); everyone would be extremely impressed and WOULD remember that. "If you lower it, they will come"? Likely; very likely and keep coming back. Oil is below a buck now a barrel; yet our fuel remains at $1.34. :trippyquoter: ps: oh we already know their excuse.....the price we paid for the bulk shipment was xxx..., so we cant lose money on it; yet theyre SO quick to raise it, even if they buy it at a lower bulk price. Ripoff; plain and simple.
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Re: Why high fuel prices at the pumps, but low airfares?

Postby nepal » Jul 7th, 2011, 10:36 pm

I saw that the transit tax on gas in Vancouver is 15 cents per litre. How is it that the Okanagan has higher gas prices than Vancouver, yet we don't have a transit tax!
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Re: Why high fuel prices at the pumps, but low airfares?

Postby Tero » Jul 7th, 2011, 11:46 pm

nepal wrote:I saw that the transit tax on gas in Vancouver is 15 cents per litre. How is it that the Okanagan has higher gas prices than Vancouver, yet we don't have a transit tax!



We don't have transit tax, cause we don't have transit!!!! Today my daughter and I were trying to see how she could get home from Skaha Lake using the city bus.... (we live closer to Okanagan.... Go to Okanagan I said, but all the friends are at Skaha... alas!) Anyway, it would take over an hour for her to get home on the bus!!!
Why the heck does lake to lake only run on Sunday?

So we said screw it, and drove her there, then drove back to pick her up. Would love for my older kids to use public transit more often, I'd be thrilled to pay for the passes - however, taking more than an hour to get through a 7 minute commute is out of the question. Our transit sucks.

And hey, while I"m ranting... how about transit between here and Peachland? If we could get a city bus to Peachland, we could hook up with the Kelowna schedule, and then Bob's your uncle. I'm looking forward to my kids attending UBCO, and I think that would be awesome! Long bus ride probably, but beats driving yourself through the weather and traffic, and it leaves you time to listen to your Ipod, study, or even have a drink or two before coming home. Food for thought.
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Re: Why high fuel prices at the pumps, but low airfares?

Postby hoot » Jul 8th, 2011, 9:30 am

Strange old world

People moan when gas prices get to $1.30 a litre.

But happily suck back Starbuck lattes that work out at $7.00 ( approx) a litre.
Go figure ....

Ps: the Brits are paying anywhere upwards of $2.13 a litre. The Dutch $2.50 ..........
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Re: Why high fuel prices at the pumps, but low airfares?

Postby eMeM » Jul 8th, 2011, 10:02 am

nepal wrote:What's going on with how fuel prices at the pumps are so high, yet Penticton-Vancouver airfares are lower than ever? Don't cars and airplanes both use fuel! Fuel prices in the valley are higher than a lot of other places.


While the airfare might cost less the fuel surcharges are usually in the taxes. It's been a couple of years since I was in the travel business but I can recall super cheap blowout airfares (99.00 to Puerto Vallarta, etc) but the taxes and fuel surcharges were close to 300.00. I would imagine that's what's going on.
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Re: Why high fuel prices at the pumps, but low airfares?

Postby nepal » Jul 17th, 2011, 9:30 am

While the airfare might cost less the fuel surcharges are usually in the taxes. It's been a couple of years since I was in the travel business but I can recall super cheap blowout airfares (99.00 to Puerto Vallarta, etc) but the taxes and fuel surcharges were close to 300.00. I would imagine that's what's going on.


Actually, flying Air Canada out of Penticton, on a return airfare, I haven't had any fuel surcharges in a long time. Yes to a Security fee ($14.25), Canada Airports fee ($5) and HST. .........But no Fuel surcharge and no Airport Improvement fee (at Penticton Regional).
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