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Gas Prices

Heard on the radio this morning that Buffalo is among the worst in the nation for gas prices.  Turns out we’re only better than two locations: Honolulu ($3.073) and Anchorage ($3.116).  Buffalo weighs in at $2.811/gallon, more than 10 cents higher than New York City even.

For reference, if you drove 12,000 miles/year and got 20 MPGs, you’d $1,686.60 on gas each year.  If you lived in Kansas City ($1.872), you’d only be spending $1,123.20.  That’s a savings of $563.40.  Ridiculous.


  1. Leo

    The two major factors that contribute to the prices are taxes and the margin per gallon that the dealers want to realize based on other dealers in the area Its interesting that Rochester gas prices are as much as 20 to 30 cents cheeper than Buffalo. They are on a different tax basis than we are. Go figure. Some stations like BJ’s turn a full load of gas (Aprox 12000 gallons)each and every day so what ever there cost is for any given day, they adjust there prices since tomorrow they will be selling a new load 0f 12000 gallons at tomorrows price. Every day is based on that days cost. Smaller volume stations take three to five days to sell a full load, thus they try to price average since the market prices change daily and they want to maximize profits on there last load.

    Does any of this make sense. Just a short lesson in the gaoline business.

    Last year at this time, stations were making about .05 per gallon margin. This year they are realizing about 60 per gallon. This enables them to pay off some of there lines of credit with the banks that they borrowed on to keep in business and pay there expenses.

    This is probably more info than anyone wanted to know.

  2. Jason Christ

    Interesting stuff Leo! I’m never certain how the gas biz works, despite living in Houston and being friends with lots of oil-industry people. I’ve always assumed taxes were the big reason for the difference between us and Erie, PA or Ashtabula, OH, the other two places we frequently get gas from when driving to Cleveland and back.

  3. Jaime

    Boy, Kathy sure knows a lot of smart guys.

  4. Eric F

    I could understand why we were paying more than other states (taxes!), but I had heard a few weesk ago that we were higher the other places in NYS (ie – Rochester, Syracuse) and that made no sense at all.

    I can see where the volume of gas sold would make a small difference in price from station to station…but why would Buffalo – far from the economic center of NYS – be so much more than the rest of the state?

    I’m not sure I followed how the rest of it make Buffalo more expensive than, say, Rochester.

  5. Darcy F

    I’m just really happy I had an excuse to go to Erie, PA today and fill my tank for $2.37. Even If I was told Eric’s Aunt was bummed she missed $2.12 in Ohio.

  6. Keith

    Well I believe you can blame a lack of competition & NOCO whom supplies most of the gas in this area. i refuse to purchase there gas when other stations are cheaper.
    Be careful when you use the gas with additives too. On a car with an aluminum motors & partsbecause they will corrode much faster & your gas mileage will drop off.
    If you travel near a Tops or Getty, there gas comes from Canada & Red Apple is the only American gas sold here that is why there prices are less.
    You see a huge .08 – .20 cent price change between areas and stations and yes in Amherst Clarence they charge around .10 cents a gal. more.
    If your in the Colvin – Eggert or Ellicot Creek – Parker area, the gas is by far the least expense for this area.
    My duaghter show me that Sunoco has NOCO in its name and asked if they owned them too.
    Just an FYI.

  7. Puzzler15

    Yesterday on the way to church I noticed Gas was under $2 ($1.99 per gal). Made a mental note to buy on my way home. Long story short… I forgot.
    This morning on my way to work I filled up for $1.89 per gallon in Seven Hills, OHIO. Can’t remember last time I paid that.

  8. Jason Christ

    Boy, that is impressive!

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