Fuel shock
On Sept. 11, 2001, terrorists committed an act of war upon U.S.
soil. I, as well as thousands of company truckdrivers and owner-operators,
listened with shock and horror to the news reports and regular
updates from our companies.
Upon pulling into the Pilot Travel Center, Fernley, NV, at 7:30
p.m. for diesel fuel, I found another shock. The price of diesel
fuel was $1.73 per gallon. I was concerned after hearing radio
reports of widespread price gouging. My wife, Renee, spoke with
the fuel desk cashier. She found that the price per gallon was
$1.63 just hours before the crisis in the Northeast. I asked
the clerk who was responsible for the sudden increase in fuel.
She gave me the name of the store manager, Bryan Welsh. It was
apparent that Pilot Corp. saw an obvious, sick excuse for spiking
fuel prices. In addition to the sudden price increase, I was
advised that they would charge me an additional 6 cents per
gallon because I chose to pay with my company fuel card, which
is a MasterCard debit card.
Renee immediately phoned the Fernley, NV, sheriff’s department
to find out what we could do. The dispatcher advised Renee that,
while it was wrong, there was nothing the sheriff’s department
could do about the situation.
Yes, our shores have been attacked. Our sense of security shattered.
We must band together to insure this does not ever happen again.
Price spiking is illegal. Price spiking based on such a horror
is immoral.
Mark & Renee Taylor
Warren, AR
Fuel shock II
This is a follow-up letter and the response I received from
the Pilot Corp. At 3:48 p.m., Sept. 12, I received a call from
a Pilot rep who told me that he was responding to an e-mail
from me only moments earlier. He called me almost as fast as
Pilot raised fuel prices after the raid on New York City. I
was glad to hear from him.
He began by stating that the store managers have no control
over the fuel prices at their stores. He further stated that
“Pilot had to raise the price of their fuel because their
costs had increased.” I questioned him as to why their
cost had gone up only hours after the attack. The Pilot rep
informed me it was because all refineries had shut down production
of fuel at the moment of attack and were put back in operation
today. I found this difficult to believe — that all refineries
could shut down in a matter of hours and come back in operation
as quickly, causing a price gouge such as this. At this time,
he informed me that a 10-cent increase in fuel was not a price
gouge, that a price gouge was a three or four dollar price movement.
This was only a price spike. I told him that a sudden price
spike of 10 cents was a price spike unbearable to small trucking
companies such as mine. I could not pass this unexpected cost
on to my customers
He defended the position that they had the right to pass their
cost on to their customers. In my opinion, the 10-cent movement
Pilot charged only hours after the attack on New York City was
only a way to take advantage of a terrible situation to make
a profit. I stated I could not understand how the price of the
fuel in the ground could rise so rapidly. When I fuel my truck,
the cost of that fuel in my tanks stays the same. In my mind,
the price of fuel could only go up when he had to replenish
his fuel supply at a higher rate, not before. He informed me
he had a degree in economics, although I do not know what that
had to do with this?
I did thank the Pilot rep for taking the time to call me on
the cell phone in my truck so soon after receiving my e-mail
to explain the price spike and I would make the correction to
the letter I sent. I told him I would like to know who I was
talking to when I made my correction to the letter, and he asked
to be named as “a Pilot Corporation representative.”
At 4:03 p.m., the following e-mail was received from Jon Adam:
Mr. Taylor: We changed our prices based on the costs we incurred,
Pilot Corporation
It is still my belief that Pilot Corp. and its store in Fernley,
NV, took advantage of a tragic situation to make a profit at
my family’s expense by raising the price of fuel by 10
cents upon the news of this event. I purchased 209.952 gallons
of fuel at $1.799 per gallon, for a total bill of $366.91; invoice
number 302724. I firmly believe I was overcharged 10 cents per
gallon and the Pilot Corp. owes me a refund of $20.99. In addition,
I was charged an additional 6 cents per gallon for using a Transportation
Alliance Bank debit card, which amounts to $12.60. I would like
this refunded to me also, for a total of $33.59.
Mark R. Taylor
Fuel gouging
The Flying J in Sullivan, MO, raised their diesel fuel price
from $1.439 a gallon when one of our trucks fueled on Monday,
Sept. 10 to $1.829 a gallon when another one of our trucks fueled
at 3:48 p.m. on Tuesday, Sept. 11, and $1.699 a gallon when
we fueled at 8:24 p.m. on Wednesday, Sept. 12.
I have asked them to refund to us the difference between the
price we paid and the price we should have paid. I imagine if
you would investigate, you would find that the amount of profit
for the 2-3 days of high prices would be a significant amount
of money when trucks take on as much fuel at one time as they
do. I have figured the difference that I expect to be refunded
and it is as follows:
Sept. 11
We paid:
$1.829/gallon x 140.91 gallons =$257.73
We should have paid:
$1.439/gallon x 140.91 gallon = $202.77
Expected refund: $54.96
|
Sept. 12
We paid:
$1.699/gallon x 163.09 gallons =$277.11
We should have paid:
$1.439/gallon x 163.09 gallons = $234.69
Expected refund: $42.42
|
Multiply the difference
by the hundreds of trucks that fueled during those two days
and Flying J will owe huge sums of money to a lot of people
who will not have or take the time to ask for a refund or report
the unfair pricing. Each truckstop and trucking company have
records of each fuel purchase made for the purposes of fuel
tax reporting.
Loren Hunt
Battlefield, MO