From Deseret News archives:
Gasoline 'gouging' elicits a rebuttal
On Friday, the Utah Department of Commerce issued a report that said Utah's gasoline retailers took advantage of consumers as wholesale prices began to decrease but concluded that retailers were not breaking any state laws.
Rayola Dougher, manager for energy market issues and an economist for the American Petroleum Institute, said Utah's gross profit margin for retailers is not out of line with other cities.
Typically, Dougher said, retailers make 10 cents to 15 cents gross profit on a gallon of gasoline. According to a Lundberg survey, Salt Lake retailers in the past week were making 18 cents a gallon on average.
Dougher said that compares with a 20-cent gross profit margin during the same period for Portland retailers, 14 cents in St. Louis and 10 cents in San Francisco.
"The fact that Salt Lake is 18 cents is not extraordinary," Dougher said. "So you've got a few pennies extra. Your prices appear to me to be following in lockstep with what's going on with crude oil. Your prices are falling the way I would expect them to."
Francine Giani, executive director of the Utah Department of Commerce and head of the price investigation, is not backing down from pointing the finger at retailers.
"What we're talking about is a commodity that is necessary for folks in many instances to get around, to make a living," Giani said. "And if they feel happy with those margins, which are gouging consumers, then that's unfortunate."
Giani said she has received numerous calls and e-mails from people thanking her for her efforts. She also said she has heard from several legislators.
"There are many (legislators) out there that are taking a hard look at what we've provided to the governor, and the next three months will be an interesting place to watch here in Utah," Giani said. "I've talked to folks from the Latino community. I've talked to low-income people, and this is really hurting them. When I have a retailer tell me, 'You bet I'm making profits, more than I've ever made in years past,' that's sad."
Comments
- Who knew Hasan's radical contacts 8:13 a.m.
- Bomb kills 9 officers in Pakistan 8:13 a.m.
- Lights back in Brazil after outage 8:11 a.m.
- Missing US soldier's body found 8:10 a.m.
- Grouchy public sticking with Obama 8:09 a.m.
- Woods faces tricky Aussie Masters 8:08 a.m.
- Oil up to near $80 on weak dollar 8:06 a.m.
- Stocks open higher as dollar slides 8:04 a.m.
- Swift wins 2nd straight BMI award 8:04 a.m.
- Tigers vs. Miners by the numbers 2:32 a.m.
- Pratt pleads not guilty to sex charges
- Utah group finds homes for orphans
- Hair-pulling raises more questions
- Y. tight ends talented tandem
- Utes get extra motivation
- Jazz blow big lead, hang on
- Wyoming writer amazed by BYU
- BYU soccer incident still popular
- Lobo land like home for BYU lineman
- 4 Jazz players make All-Star ballot
- House passes health care bill
266 - TCU showdown has big implications
188 - Lobo suspended
185 - Cougars crush hapless Cowboys
155 - Senators want food tax restored
153 - Utah Jazz fall apart against Kings
131 - TCU 4th in AP poll; U. 16th, Y. 22nd
119 - No 'backlash' for pioneers, gays analogy
105 - S.L. vote pending on gay protections
104 - Utes pound winless Lobos
89
Maybe someone out there can help me understand how raising the state...
Watch out Checketts will run the bus over you when your not looking ask...
This is nothing but visual pollution. Mark my words, in 5 years, these will...
What about freedom? Can you feel it? Touch it? Possess it? Yet there is...
and yet, their ratings are very good EVERYWHERE, not just Utah...hmmm...and...
How ignorant you are about soccer. Like anyother sport there is contact,...
I was unfamiliar with Tori's story until this article. This story touched me...
In all the games (and there have been many) Makenzie has always played her...
To "Public Affairs Image": I see governments around the world do violence to...
the winner of this will win the state Title and this should be the state...
The one benefit not mentioned in the article about wind is that it is PRICE...


You can be the first to comment on this story.