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AUDIO Oil Goes Down, Gas Goes Up?
 1/20/2009 1:05:26 PM  |  Chris Keppler

Retail gasoline prices usually reflect the wholesale cost of oil, but that's not been the case lately.



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The price of oil has been plummeting, but we're paying more at the pump.
 
Associated Food and Petroleum Dealers Vice President Ed Weglarz says you can blame some of disproportion on the cold winter weather.
 
"They've turned the crank so they're making more heating oil proportionately than they are gasoline, so that reduces the amount of gasoline," said Weglarz.
 
 
He also says that when prices were soaring last year, retailers were absorbing a lot of the cost.  He says gasoline prices should have been around $5 gallon.  As a result, some retailers went out of business, according to Weglarz, so others are making a few extra pennies a gallon.
 
"They have to make money selling gasoline," said Weglarz.  "You can't continue to sell gasoline below what it costs you to put it into the customer's car and make it up on the cigarettes and the sunglasses and the pop and those things."
 
Gasoline prices in the Akron area range from $1.73 - $2.54 today.  Find out what it costs in your area.


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Comments
posted at 1/20/2009 1:40:33 PM (4531)
 misstia said:
i love the reasoning they come up for the increase of gas...it's only about GREED...corporate GREED...

posted at 1/20/2009 10:11:58 PM (4538)
rjtrains said:
Ya ever notice there is always a reason to raise prices. But never a good one to lower them. I AGREE IT IS NOTHING BUT GREED



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