HOVENSA increases gas prices
Published: January 30, 2012
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ST. CROIX - Wholesale gasoline prices in the territory continued to plod upward this week, although the price of diesel slipped down slightly as HOVENSA adjusted its rack rates today.
The St. Croix refinery today increased its rack rate - the price of fuel purchased wholesale, directly from HOVENSA's truck-loading station on St. Croix - for regular gasoline by 3 cents per gallon and for premium gasoline by 2 cents per gallon. Diesel fuel dropped by 2 cents per gallon.
This marks the fifth week in a row that the refinery has raised the rack rates on regular and premium gasoline. The price of diesel fuel has dropped slightly for two weeks.
The rack rates influence retail gasoline prices in the territory because independent gas station operators can buy their gasoline at the loading station, then resell it to their customers.
Under today's adjustments, independent gas station operators in the territory now are paying $3.11 per gallon for regular gasoline, $3.38 per gallon for premium gasoline and $3.33 per gallon for diesel fuel when they buy their fuel wholesale at HOVENSA. Those prices include a 7-cents-per-gallon tax that the refinery collects for the government.
HOVENSA sets its rack rates based on the previous week's market conditions. The current rates are effective through Sunday.
On the retail side, the average retail price for regular gasoline in the U.S. on Thursday was $3.389 per gallon, according to the American Automobile Association's Daily Fuel Gauge Report.
According to a V.I. Department of Licensing and Consumer Affairs gas price survey conducted on Friday, the average retail price for regular self-serve gasoline was $3.499 on St. Croix, $4.288 on St. Thomas and $4.339 on St. John.
A brief the U.S. Energy Information Administration released earlier this month said the average retail price U.S. drivers paid for gasoline and diesel fuel during 2011 never fell below $3 per gallon, marking the first time the national pump price for both fuels topped $3 per gallon throughout a calendar year.
Higher gasoline and diesel fuel prices reflected higher crude oil prices during 2011, according to the brief.
According to a U.S. Energy Information Administration report released earlier this month, the average retail price U.S. drivers paid for gasoline and diesel fuel during 2011 never fell below $3 per gallon, marking the first time the national pump price for both fuels topped $3 per gallon throughout a calendar year.
Higher gasoline and diesel fuel prices reflected higher crude oil prices during 2011, according to the brief.
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