On Saturday I had to laugh at the Associated Press article printed in The Herald titled “Gas prices a silver lining to weak economy.” The article stated that gasoline had fallen to below $3 a gallon in several states and was dropping significantly in most other areas of the country. There was one mentioned exception of course, and that’s us!
Since the BP fire at the Cherry Point Refinery on Feb. 17, regional gas prices have taken several large jumps. These price increases hit Oregon, California, Nevada and other western states within days of each other. Some BP officials have denied the Cherry Point plant has anything to do with the current high West Coast prices but other sources say the increases are due solely to the facility. Still other sources say that increased summer driving is also a factor but a spokesman for the Oil Price Information Service recently stated that the “Regional price rise is not driven by increased demand, as driving has declined in western states as it has in most of the country.”
The Western States Petroleum Association blamed unexpected maintenance and other refinery problems. Don’t we hear a version of this every year? A gasoline analyst at the Utility Consumers Action Network in San Diego stated: “We’re not saying there’s a conspiracy. It’s just that with few competitors, its easy to game prices by turning off capacity.” Game prices? Sounds like a business plan (conspiracy) to me, especially when the industry can make more money being partially shut down than it can when running at full capacity and no one in authority seems to question it.
Gary Fortin
Marysville
Talk to us
> Give us your news tips.
> Send us a letter to the editor.
> More Herald contact information.
