If you filled up with gas in Coushatta Tuesday afternoon you know that Hurricane or Tropical Storm Harvey is having an effect. On Monday afternoon ABC News reported that the large Exxon refinery in Houston had been shut down because of the storm. That news story estimated nationwide fuel prices would rise 20 to 40 cents per gallon as a result of the storm.
About 8:30 this morning the price for regular unleaded around Coushatta was at $2.19 per gallon (see photo of the Conoco Station). It had been steady there for several weeks. By 9:30 it had jumped a dime with Chevron priced at $2.29 for cash and more ($2.34) for charge purchases. Back to the Conoco and the price had increased there to $2.26 by 11:30 am.
At 5:00 pm the price at the Country Market for Phillips 66 was $2.34. Conoco had also gone up to $2.34.
Just a thought (an editorial one): How can the value of gas that is in the ground at a station suddenly be more? The economics I learned in college say it cannot. “Who determines gas prices?” is a great question that has escaped journalists for years.
The late Russell B. Long, US Senator from Louisiana was quoted as saying “Don’t tax you, don’t tax me. Tax that fellow behind the tree.” Could that be the same person setting gas prices? (end of editorial)