Rep. Joseph C. Reyes, in a letter to Mobil Oil Mariana Islands and Shell Marianas, said the Legislature “has growing concerns that since the price of crude at market has dropped and is now trading at levels two to three years ago, the price of unleaded gasoline in the CNMI has not.”
Reyes, R-Saipan, said the pump price of gasoline sells at 30 to 50 cents higher compared to last year.
On March 3, 2007 when the spot price of oil was trading at $55.18 a barrel, the regular unleaded gasoline was selling on Saipan for $3.149 a gallon, he added.
However, he said, last Nov. 15 when crude oil was trading at $54.39 a barrel, the gallon of unleaded gasoline here cost $3.429.
“Gasoline prices seem to be 30 to 50 cents a gallon higher this year than they were in 2007 when oil was trading for the same prices. Can you explain this?” Reyes said.
He also asked the oil companies to explain why Saipan’s price has been consistently 13 cents a gallon higher than Guam’s.
Reyes said the Tinian prices are 54 cents a gallon higher than Saipan’s while Rota’s are a $1 higher.
“Surely this can’t be just the cost to ship and unload fuel from the same tanker,” Reyes said.
He added, “We realize that there may be some delays reacting to the fluctuations in oil prices … but inflation alone cannot account for the disparity seen in just one year. Oil fuels the CNMI economy, and the inflated price of gasoline means that individuals and businesses have less money to spend on keeping our economy vibrant.”
