Buffalo, NY (WBEN) In Western New York, there's a 73 cent difference at gas stations within a mile of each other. What does this mean as you look to fill up cheap?
AAA's Elizabeth Carey says gas stations have the right to set their own prices, so it is very possible that one gas station compared to another gas station right down the street will have much different prices. "I've seen much different prices in Hamburg compared to Amherst, for example. That's a big distance apart, but sometimes you'll see something where maybe there's a big box retail or a supermarket chain or a gas station that has discounted prices. Now, gas stations in those areas that are closer there, they'll lower those prices to compete to try and stay competitive with them, so keep that in mind," notes Carey.
Carey has one theory about the fluctuating prices. "It might be that one gas station bought their supply of gasoline at a higher price. Now they're not going to lower their pump prices until they've paid off for that supply. When they get their newer supply in, oil prices have dropped, the price is cheaper for them for their bulk rate, then they'll start to lower the pump prices, but they don't want to lose money on the first supply that they bought," explains Carey.
Patrick DeHaan of GasBuddy says he's seen the same thing where he's based in Chicago. "These types of situations that gas prices in a town could vary by 10, 20, even 50 or 60 cents a gallon between 10 or 20 mile distances, so gas stations all have a different rate that they can lower prices, and it's all really contingent on them at what pace they want to go," says DeHaan.
He has advice for those looking to fill up for the Fourth. "First of all, not to be in any rush, with oil prices continuing to decline, gas prices will continue to decline, but some stations may be more aggressive at lowering prices faster," notes DeHaan. He recommends using apps to find the lowest gas prices in town.
The average price for a gallon of gas is $4.19 in WNY.
73 cent difference between stations within one mile
73 cent difference between stations within one mile
