Why are gas prices higher in St. Louis than other parts of Missouri? - KMOV.com

Why are gas prices higher in St. Louis than other parts of Missouri?

ST. LOUIS (KMOV) -- While gas prices continue to slowly drop, drivers are still complaining about getting gouged at the pump. It begs the questions: Why are some gas stations significantly higher than others and why is St. Louis higher than the rest of Missouri?

Q-Gas in Fairview Heights has the highest priced gas in the area. At $4.19 a gallon, it’s 20 cents more than most of the Illinois side.

The owners say the price gouging is because they bought their gas when prices were high and cannot afford the loss if they lowered it.

Gas prices have dropped $0.25 a gallon in two weeks thanks to more supplies and less fear of war in Iran.

“The Saudi Arabians have said if there is a crisis - which appears less likely - in Iran we’ll have more oil, as well as the Libyans are now producing more oil in the U.S.,” said Saint Louis University Professor of Economics Jack Strauss.

The cheapest gas in St. Louis is along Tesson Ferry Road at $3.57 a gallon. That price might seem like a bargain compared to what St. Louisans have been paying. But it’s still much higher than what you can find in Kansas City, where prices are as low as $3.38 a gallon.

The explanation for St. Louis’ higher prices is that the area uses a different type of gas than the rest of the state to reduce pollution. It’s piped in from New Orleans where some of the refineries making it have shut down, which has led to higher prices.

 

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