Oil prices plunge as gas prices spike
SAN DIEGO — Oil prices have plunged to the lowest prices in a decade, but you wouldn’t know it by the prices at the gas station.
San Diegans have had sticker shock at the pump lately as prices near $5 a gallon at some gas stations.
Now, consumerwatchdog.org is calling the price hikes gouging, and some professors agree.
“I can only attribute it to gouging,” said Tony Cherin, Financial Professor Emeritus at San Diego State University.
After researching the issue, the professor believes simple avarice is to blame.
“Well, it’s not gouging. There is no evidence of gouging,” said Tupper Hull, a spokesperson for a conglomerate of oil companies.
“This is one of these unusual circumstances where you have a regional supply issue largely because the unfortunate accident at the Exxon Mobile factory earlier this summer,” Hull said.
To put it in context, in July of 2014 the price of oil per barrel was $98 and gas prices averaged $3.90, but in 2015 the price per barrel is $49 and gas prices average $4.01.
“Right now, refiners are taking home more per gallon of gasoline than ever in recorded history,” according to the watchdog site.