This weekend, I took advantage of my local supermarkets' "fuel perks" program, that allows you to accumulate reward points worth discounts on gasoline purchases (when you purchase gas at the affiliated gas stations). And I must say, I enjoyed the thrill of paying only $1.25 per gallon (compared to the going rate of around $2.50/gallon here in Pittsburgh).
The sad realization I came to is that, no matter what happens with the current hostility in the middle east, gas prices will never go back down. Sure, they may slow their increases, but consider this... what would happen if, all of a sudden, gas prices dropped to $2.00/gallon? We would be overjoyed! Overjoyed! For $2.00/gallon???
Sure. Because we're used to paying so much more.
Prices continue to rise, but we as consumers continue to purchase SUVs, trucks, and minivans that guzzle fuel. Last week on the radio, they had people calling in to see who had the highest single gas purchase at a time. People called in with stories like, "Well, we usually go to the lake every weekend, so I have to fill up the Suburban and hook up the boat trailer. Costs me about $150 for gas for that day."
The bigger concern, as alluded to by that comment, is that we consumers are not doing anything to alter our fuel consumption habits. We continue to go to the lake every weekend (hey, it's summertime, right?), make quick trips to the grocery store for one or two items instead of one trip for a list of things (yeah, but we're getting low on cheese, and I feel like having nachos tonight), avoid carpooling or public transportation... in short, all we do about rising gas prices is grumble while we fill up.
Can you imagine the message it would send to the oil companies if for ONE DAY across the nation, nobody put gas in their vehicles? Just one single day of zero sales. Sometimes we forget the power we have en masse... demand is the stronger of the two market forces, no matter what the suppliers would have you think.
But it won't happen, because it's easier to complain than to take action. And so, gas prices will continue to rise. And someday we might be excited to be paying only $4.00 a gallon.
Posted by wrodina at August 29, 2005 12:50 PM | TrackBack$2 a gallon. Wow, the last time I payed for gas it was still at $1.60 a gallon, but of cource that was last year, and my car died in October and I juncked it in Apl, and I gone to just biking around for my transportation.
Posted by: Michael P. O'Connor at August 29, 2005 1:25 PMIt may cost $2.50/gallon but our purchasing power has certainly increasd a lot over the last few decades. Plus, gas still costs way more in Europe. When I lived in Brussels, it wasn't uncommon for me to spend $50-$60 to fill the tank and that was 5 years ago...oh has it been that long...oh how I miss you Belgian waffle sidewalk vendor....mmmmm....Sorry about that digression.
Posted by: Mark Mascolino at August 29, 2005 3:34 PMWe need more refineries. Unfortunately, the oil companies aren't going to build them because hey, why increase the supply when you can do less work for more money? Very off-pissing.
Posted by: *Name Hidden* at August 29, 2005 5:16 PM