View Full Forums : Gas Station Owner Told to Raise Prices


Rahjeir
05-08-2007, 11:53 PM
Gas Station Owner Told to Raise Prices
By Associated Press

MERRILL, Wis. - A service station that offered discounted gas to senior citizens and people supporting youth sports has been ordered by the state to raise its prices. Center City BP owner Raj Bhandari has been offering senior citizens a 2 cent per gallon price break and discount cards that let sports boosters pay 3 cents less per gallon.

But the state Department of Agriculture, Trade and Consumer Protection says those deals are too good: They violate Wisconsin's Unfair Sales Act, which requires stations to sell gas for about 9.2 percent more than the wholesale price.

Bhandari said he received a letter from the state auditor in late April saying the state would sue him if he did not raise his prices. The state could penalize him for each discounted gallon he sold, with the fine determined by a judge.

Bhandari, who bought the station in May 2006, said he worries customers will think he stopped the discounts because he wants to make more money. About 10 percent of his customers had used the discount cards.

Dale Van Camp of Merrill said he bought a $50 card to support the local youth hockey program. It would have saved him about $100 per year on gas, he said.

http://www.comcast.net/news/strange/index.jsp?cat=STRANGE&fn=/2007/05/08/658128.html

Tudamorf
05-09-2007, 12:15 AM
They violate Wisconsin's Unfair Sales Act, which requires stations to sell gas for about 9.2 percent more than the wholesale price.It sounds like an anti-monopolization measure to protect mom-and-pop stations. What's wrong with that?

ToKu
05-09-2007, 12:16 AM
Gas Station Owner Told to Raise Prices
By Associated Press

MERRILL, Wis. - A service station that offered discounted gas to senior citizens and people supporting youth sports has been ordered by the state to raise its prices. Center City BP owner Raj Bhandari has been offering senior citizens a 2 cent per gallon price break and discount cards that let sports boosters pay 3 cents less per gallon.

But the state Department of Agriculture, Trade and Consumer Protection says those deals are too good: They violate Wisconsin's Unfair Sales Act, which requires stations to sell gas for about 9.2 percent more than the wholesale price.

Bhandari said he received a letter from the state auditor in late April saying the state would sue him if he did not raise his prices. The state could penalize him for each discounted gallon he sold, with the fine determined by a judge.

Bhandari, who bought the station in May 2006, said he worries customers will think he stopped the discounts because he wants to make more money. About 10 percent of his customers had used the discount cards.

Dale Van Camp of Merrill said he bought a $50 card to support the local youth hockey program. It would have saved him about $100 per year on gas, he said.

http://www.comcast.net/news/strange/index.jsp?cat=STRANGE&fn=/2007/05/08/658128.html

So does this mean he's selling it for the lowest in state BEFORE the discount?

On my 6 mile drive from home to work in MI I see prices vary from 3.08 to 3.23 for regular unleaded. Similar situation when I lived in Cali.

If thats the case he could keep the discount so long as he raised other prices? Obviously ppl will be upset, but those same ppl prob wouldnt give much of a damn if suddenly the station closed or went under new management because he was selling too low, so screw what they will think.

MadroneDorf
05-09-2007, 12:56 AM
It sounds like an anti-monopolization measure to protect mom-and-pop stations. What's wrong with that?

Small business's shouldn't be protected by mandated price floors if they are not offering consumers a better deal. (Besides the fact I don't see why a "mom and pop gas station" is any better then a franchise gas stationed owned by someone else. (A gas station that I go to recently changed from Chevron to Shell - I'm not quite sure how it works but it sounds like they own the actual station, but its the gas they sell that is from chevron or someplace, but i'm not an expert at all in the matter)

Tudamorf
05-09-2007, 04:53 AM
Small business's shouldn't be protected by mandated price floors if they are not offering consumers a better deal. (Besides the fact I don't see why a "mom and pop gas station" is any better then a franchise gas stationed owned by someone else.It's basic monopolization. If you allow unbridled capitalism, the big guy(s) will crush the little guys, leaving only the big guy(s), who can now rape the consumer.

Tinsi
05-09-2007, 05:44 AM
It's basic monopolization. If you allow unbridled capitalism, the big guy(s) will crush the little guys, leaving only the big guy(s), who can now rape the consumer.

You see, might doesn't always make right then. Only capable. And curbing it is not a bad thing.

Good. We agree. YEY!

ToKu
05-09-2007, 06:00 AM
You see, might doesn't always make right then. Only capable. And curbing it is not a bad thing.

Good. We agree. YEY!

Is this another sign of the apocolypse?

MadroneDorf
05-09-2007, 10:11 AM
It's basic monopolization. If you allow unbridled capitalism, the big guy(s) will crush the little guys, leaving only the big guy(s), who can now rape the consumer.

Mom and pop gas stations don't keep the prices down, the shell station next to the chevron station, which is accross town from the AM/PM which is almost to the 76 station keeps prices down.

Tinsi
05-09-2007, 10:53 AM
Is this another sign of the apocolypse?

Doubtful, seeing as what I said was basically "I'm going to use what you just said against you in other debates" ;)

ToKu
05-09-2007, 12:30 PM
Doubtful, seeing as what I said was basically "I'm going to use what you just said against you in other debates" ;)

Excellent. I can put my aluminum hat away.

Panamah
05-09-2007, 01:38 PM
Mom and pop gas stations don't keep the prices down, the shell station next to the chevron station, which is accross town from the AM/PM which is almost to the 76 station keeps prices down.
Not in my city. The independents or small chains almost always have the lowest prices. *hugs USA Gas*

Tudamorf
05-09-2007, 03:19 PM
You see, might doesn't always make right then. Only capable. And curbing it is not a bad thing.

Good. We agree. YEY!Well, only when crushing the little guy will hurt us. If crushing the little guy helps us, it's a good thing. So we don't really agree.

Tudamorf
05-09-2007, 03:21 PM
Mom and pop gas stations don't keep the prices down, the shell station next to the chevron station, which is accross town from the AM/PM which is almost to the 76 station keeps prices down.Around here it's the opposite: the no-name stations with peeling paint and run-down equipment tend to have the lowest prices, and the nice-looking chain stations have the highest prices. (Except for Arco, which capitalizes on the cash only aspect.)

Tinsi
05-10-2007, 02:17 AM
Well, only when crushing the little guy will hurt us. If crushing the little guy helps us, it's a good thing. So we don't really agree.

So crushing the little guy is good IF YOU ARE THE BIG GUY..

I understand that, I am just baffled that you'd cop to the double standard so easily.

Tudamorf
05-10-2007, 03:03 AM
I understand that, I am just baffled that you'd cop to the double standard so easily.What double standard? Sounds like a single standard to me.

Tinsi
05-10-2007, 05:26 AM
What double standard? Sounds like a single standard to me.

"One rule for me, one for the others"

Tudamorf
05-10-2007, 02:58 PM
"One rule for me, one for the others"It's the same basic rule, it's all about crushing threats to the general public, monopolies and annoying little countries alike.

Tinsi
05-11-2007, 02:15 AM
It's the same basic rule, it's all about crushing threats to the general public, monopolies and annoying little countries alike.

Exactly - crush the big guy reasoning that big guys are bad when you're the little one, crush the little guy reasoning that little guys are bad when you're the big one.

Double standards definition, really.