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
- Tuesday on TV 12:13 a.m.
- 'Dancing' will fill out finale 12:13 a.m.
- I'll take doc's advice on mammogram 12:12 a.m.
- Editorial: Winning fans' hearts 12:11 a.m.
- Afterthoughts 12:11 a.m.
- Letters: Barzee case like Jeffs' 12:11 a.m.
- Letters: Trump card for believers 12:11 a.m.
- Letters: Can't erase genetics 12:11 a.m.
- Letters: Rushing to judge Palin 12:11 a.m.
- Letters: MLS not BCS 12:11 a.m.
- Real Champions
- Bronco, Kyle rubber match
- Protests against Phoenix LDS temple
- BYU's Lamb, Jorgensen reprimanded
- Plenty on line for rivalry game
- RSL wins MLS Cup on penalty kicks
- Time for big matchups in WAC, MWC
- BCS at-large bids up for grabs
- Hall, Johnson matchup key
- Fans greet returning Real Salt Lake
- Glenn Beck to enter politics?
213 - RSL wins MLS Cup on penalty kicks
195 - Palin plans tour stop in Utah
178 - Palin's book shows she's unqualified
133 - BYU records with win
132 - Bronco, Kyle rubber match
131 - Protests against Phoenix LDS temple
109 - Officer cleared in Cardall Taser case
103 - BYU cuts Women's Research Inst.
103 - Jazz finally win in San Antonio
99
Associated Press Personal Finance Writer Candice Choi offers gift-giving...
Jared Quayle is a stud. He plays like a beast every time he touches the...
No Phx is not a majority LDS city Mesa is. As far as Tom's comment about...
Lest my Utah friends think I was just going to bang on my own, I think UteFan...
You can read the official declaration online via a photo of the original....
"McFeatters states that what Palin is doing, and doing brilliantly, is being...
don't mean to pick on you but fans from both sides make it easy to despise...
Nick Paulos is a great shooter, and Connor Brady's decent. But Provo and Kyle...
Explain this to me. He claims a utah fan ran on the field and threw a CUP of...
The International Center for Religion and Diplomacy mentioned in this article...
BYU doesn't have to make the U sound anti-Mormon, it's a fact; there is a...


You can be the first to comment on this story.