Why do Gas Prices go up in the Summer
Fuel costs do increase in the summer time especially before major holiday weekends.
One garage close to us supplies fuel only to our neighborhood but another about a mile away relies on major highway traffic for its customers. The first relies on local loyalty while the other deals with customers who will probably never be seen again. The fuel prices in the local garage are reasonable while the prices at the second are sky high.
It is not a matter of costs to either garage because they both receive their fuel, the same brand, by tanker within a few minutes of each other. Nor is it a matter of supply and demand. It is simply a matter of good business. There is more than the price of gas to consider.
Both of these garages however will increase the price of their fuel before holidays and during the summer. Again, it is not a matter of OPEC prices but simply good business. They know that their customers will not hunt for the cheapest fuel: the locals want to fill up quickly before taking a trip on the morrow, while the highway customer off-ramps to fill up quickly to continue the journey.
The garages are operating according to the best of American business practices: charge the customer what he will pay. That varies by location, by type of customer, by nearby competition, and by season. People drive more in the summer therefore the prices go up.
The increase in summer prices is not completely under the control of the fuel franchise. The delivering companies also charge more because, while they are not in touch with individual customers, they also know that demand increases on summer week-ends and want their share of the profits.
One could complain or organize political action, but if you do then you are striking at the heart of the American capitalist way of life. You could move to a socialist country in which the supply and cost of fuel at the pumps is closely controlled but then you would also have to live with the disadvantages of the socialist country. You cannot have it both ways. The best thing to do is to indulge in another American business opportunity: competition. Don't buy gas near a highway and if your local fuel seems to high in price then go elsewhere.
Be content that your fuel is only a little over $4 a gallon while in Europe it is above $10 a gallon.
