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
- Mitchell called intelligent, controlling 1:19 a.m.
- Brems outlasts 2nd round of votes 1:04 a.m.
- 2 families divided over slaying 1:04 a.m.
- Teen shot in scuffle with trooper 1:03 a.m.
- Nature's Way leaving Utah County 1:03 a.m.
- 'Grandfamilies' a growing trend 12:31 a.m.
- 'Cyber Monday' sales top records 12:29 a.m.
- 2 citations issued at Y.-U. game 12:26 a.m.
- No drugs in driver of Am.F. band bus 12:15 a.m.
- Governor Mansion to begin free tours 12:14 a.m.
- Hall's pain reflects self-betrayal
- Y. student vanished in China
- Max Hall issues apology
- Utes won't respond to Hall
- Hall reprimanded by MWC
- Cougs begin bowl preparations
- Teen shot in scuffle with trooper
- Mitchell called intelligent, controlling
- Matthews passes new Jazz tests
- Daughter: Mitchell fed me my pet
- Hall mouths off about hate of Utah
898 - Cougars beat Utes in overtime
481 - Max Hall issues apology
379 - Hall reprimanded by MWC
370 - Hall's pain reflects self-betrayal
316 - Utes won't respond to Hall
257 - BYU is champion of the state
140 - Man trapped in Nutty Putty cave dies
121 - Cave to be sealed with body inside
120 - Religion in politics is tiresome
110
As early as last week, it was becoming clear that certain gifts were...
There are some games I love not on your list. Arkham Asylum for one.
Our parents made my brothers help kill and clean our rabbits before we ate...
Why would you keep it open? I would understand if there was a lot of amazing...
The government will run our health care well? Read Reader's Digest, November...
TCU stomped on the MWC so they are naturally ready to crush Florida, Alabama...
could you understand Dave Locke any more than my mom does and she is not even...
Attending the ND/BYU game 3 years ago in south bend, a couple of things stuck...
I missed the game, actually i heard a little bit of Locke on the radio (man...
quotes were good: Article was dumb and unnecessary.
I believe the art depicting Joseph looking at the plates may possibly be...


You can be the first to comment on this story.