From Deseret News archives:
High Utah gas prices blamed on refineries
3 out of 5 facilities reportedly have been down for maintenance
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Last October, the reason for higher prices was once again pinned on a supply and demand circumstance, according to Lee Peacock, president of the Utah Petroleum Association. Gas prices, he added back then, also depend on a refinery's "capacity and utilization," whether they are up and running and the high demand in a "booming" economy.
Peacock could not immediately be reached for comment on this story.
As Utahns once again wait for lower gas prices, Hill doesn't want consumers thinking that retailers are gouging customers. He describes gasoline vendors as local businessmen and "neighbors" who barely make enough to cover their overhead costs of providing gas to consumers.
"I would hope they're making a penny or two," he said.
Competition with big retailers that provide low-cost gasoline, like Costco or Smith's, doesn't help individually owned gas stations and convenience stores that can't offer gas at near wholesale prices like some of their competitors, Hill said.
"Now you can't survive without pay-at-the-pump," Hill said about retailers. "They're damned if they do and they're damned if they don't in this industry."
E-mail: sspeckman@desnews.com
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