The Deseret Morning News article "Refineries Snub the State" (Oct. 21) and subsequent articles on Oct. 22 demonstrate ongoing public concerns about Utah's gasoline marketplace. In the interest of an open and balanced discussion, we feel some significant clarifications are necessary.

Some comments attributed to the Department of Commerce alleging "wholesale disregard for any requests for information" on the part of Utah's refining industry were disappointing and inaccurate. Contrary to insinuations of lack of cooperation, the Utah Petroleum Association and its member companies have cooperated with the department's inquiry to the fullest extent possible within the boundaries of antitrust considerations and have consistently indicated a willingness to participate in further discussions.

As to the issue of Utah's gasoline prices over the past two months, market conditions primarily determine the prices of fuel and other commodities. Basic principles of supply and demand apply as much to the petroleum industry as to others.

Utah's refining industry is relatively small, by national standards, and as such does not enjoy some economies of scale available to larger refiners in the United States. Yet it has consistently supplied high-quality, reasonably priced fuel to Utah consumers for decades. And while government-imposed environmental mandates and ever-cleaner fuel specifications have caused many facilities in the country to close over the past two decades, Utah's refiners have pressed forward in order to continue supplying these critical products that fuel our society. Such improvements have required the investment of several hundred million dollars without allowing refineries to produce a single additional gallon of gasoline or diesel. It's a burden and opportunity we all share.

Historically, refineries here have been able to produce fuels at costs in line with surrounding areas and the nation as a whole, sometimes above those averages but most often below, directly benefiting Utah consumers. For example, Utah fuel prices last spring were the lowest in the nation for many weeks, according to published reports; recently, market forces have tipped the scales so that Utah fuel prices have been on the high end.

The contributing market factors are well-documented. Demand continues to be strong among Utah's drivers for both business and private purposes. In recent months, fuel supplies have been adequate, but there certainly has not been excess capacity in our state's gasoline marketplace. And integrating new equipment required to meet the new federal ultra-low sulfur fuel specifications has caused some facilities to operate at lower than optimal capacity. As these technical issues are resolved, production should resume to normal levels.