Gas price hike caused by U.S. greed, says group
· By: Drivers.com staff
· Date: 2001-07-11
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The Consumer Federation of America says
that high gasoline prices are not the result of the Organization of Petroleum
Exporting Countries' (OPEC) policies, but stem from growing U.S. refiner and
marketer concentration and manipulation. The organization's study, "Ending
the Gasoline Price Spiral: Consumer Friendly Policies to Stop the Wild Ride," concludes
that a growing industry concentration has allowed refiners and marketers to
decrease capacity for refining and storage. The two can then withhold supplies
in individual markets. Huge profit increases and consumer pain have been the
result. The report shows that between 1994 and 1999, 10 percent of the nation's
refineries and branded gasoline stations were closed; 70 refineries have been
closed within the past 15 years. In that same time frame, petroleum storage
facilities were reduced by 15 percent. 
- Summary of the CFA's report (PDF)
- Drivers.com's section on Fuel
- Fuelling the future: a report from the CBC
