Pummeled at the pump

Sharon Rubbo rolls up to the Getty gas station and kindly asks the attendant to place $10 worth of fuel in her vehicle.

Her smile turns to a cringe as she takes note of another gasoline hike, knowing the money she’s about to fork over will not take her car far.

As of Wednesday, the station, 2101 Oregon Ave, was charging $2.43 per gallon for unleaded, $2.53 for plus and $2.69 for premium, which are among the lowest prices in the region.

Due to the station’s prices and its proximity to her house, Rubbo, of the 2500 block of South Garnet Street, does not shop around.

But that does not mean she has become complacent with the exorbitant gas prices, even if she may be receiving a bargain by today’s standards.

"I feel numb every time I come to the gas station," said Rubbo, 42. "I can’t break down to fill it up. It would be about $50. I feel better paying in $10 increments."

Fuel prices across the country rocketed to an all-time high Wednesday, with the city and state no exception. Philadelphia, which averages $2.40 per gallon for regular unleaded, currently is above the national average of $2.32, according to an AAA press release. The statewide average is holding steady at $2.32 a gallon.

Philadelphia’s average jumped more than 40 cents from a year ago, leaving some to wonder if prices will ever drop.

As a deliveryman for Not Just Pizza, 2240 S. 11th St., David Aquilino understands the need for cheap gas. While irate about the soaring prices, the former South Philly resident is more perturbed about the disparities at the pump.

"It pays to physically take my car across the bridge [to New Jersey], pay the toll and I still save $4 a tank," said Aquilino, who drives a Cadillac Eldorado that costs $42 to fill up.

Also an employee for McCoy Plumbing, 12th and Christian streets, Aquilino said he has noticed South Philly gas stations setting widely varying prices, which he believes is evidence of gouging.

"I feel like Philadelphia is taking advantage of Philadelphia residents," said Aquilino, 42. "Inner-city people are getting smacked from these gas prices and it’s just not fair."

AAA MONITORS THE cost of fuel on a daily basis and offers its "fuel price finder," which lists gas prices at many stations across the country, at www.aaa.com.

Catherine L. Rossi, spokesperson for AAA’s Mid-Atlantic Region, said gas station proprietors could legally price gas at whatever they deem appropriate.

"Gas is no different than eggs, bread or milk, even though we don’t post the prices for those on the side of the road," she said. "Service stations can charge whatever they think the market will bear, whatever they think the people will pay at the pump. It’s a free marketplace."

However, 90 percent of the price of a gallon of gas is determined before it ever reaches the pump, noted Rossi.

Roughly 45 percent of a gallon of gas is crude oil, which heavily dictates the price. Gasoline tax, which is 31 cents per gallon in Pennsylvania, also brings up the cost, added Rossi. She said New Jersey gas is usually cheaper because of its lower gasoline tax rate of 14.5 cents a gallon.

Other charges adding to the price of gasoline are federal taxes and refining and retailing costs.

The only time a service station can be accused of price gouging is "when there is an emergency situation or when a state of emergency is declared," said Rossi.

The manager of the Oregon Avenue Getty station, who identified himself as Muktar A., said his corporation has ultimate say over the price.

"They call us and tell us to hike the price. We can’t do anything about it," he said.

The manager has received mixed reactions from patrons.

"Some complain. Some don’t even look at the price," said Muktar, whose facility includes an auto-body shop.

Rossi noted most service-station operators need to rely on alternate forms of income, including sales from their convenience stores or car repairs, to turn a profit.

"Generally speaking, there’s not much margin of profit in gasoline," she said. "We’re in a very tight market right now and that’s all connected to the high price of crude oil."

Louis Ferrara, owner of Ferrara Sunoco, 10th Street and Washington Avenue, said he is also paying more for credit-card purchases for gas at his establishment.

"We’re paying approximately 7 cents a gallon for every gallon pumped on a credit card," said Ferrara, who logs on to a special Sunoco Web site each day to find out if he needs to raise gas prices. Last Saturday, the company informed him of a 5-cent increase.

The cost of running a gas station continues to climb as profits for service-station owners keep dwindling, he added.

Pumping gas at the BP station on the1900 block of West Moyamensing Avenue, Jim Smitty noted he must use premium to fill his Cadillac, putting him $40 in the hole every time.

Though he is paying roughly 20 cents more per gallon at the station than the national average, the resident of the 3200 block of South 22nd Street calls other establishments in South Philly that charge even higher prices "thieves."

Labeling the increase in prices as "outrageous," Dante Ciarlante, 47, hopes for a decline once the summer ends.

"You watch. Once September hits and the cold weather starts, watch [the prices] go down," he said.

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Jane Kiefer
Jane Kiefer, a seasoned journalist with a rich background in digital media strategies, leads South Philly Review as its Editor-in-Chief. Originally hailing from Seattle, Jane combines her outsider perspective with a profound respect for South Philly's vibrant community, bringing fresh insights and innovative storytelling to the newspaper.