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Group: Gas Prices To Jump 2 Cents A Day

Prices 'Uncomfortably Close To Price Gouging,' AAA Says

POSTED: 10:55 am PST February 17, 2003
UPDATED: 11:07 am PST February 17, 2003

Already high prices at the pump -- which rose about a dime in the last week alone -- probably will continue rising more than two cents a day this week, said Charles Langley, gasoline project manager for the Utility Consumers' Action Network.

Gas is averaging more than $1.80 a gallon in the Los Angeles area, up a half-dollar over the same time last year. Some gas stations are already selling regular gas above the threshold for pump rage -- $2 a gallon.

"Consumers need to know that gas prices are rising too quickly for us to publish prices in a timely basis," said Langley, referring to UCAN's weekly price survey that comes out Tuesday.

The average price for a gallon of gas bought in San Diego probably surpassed $1.90 a gallon this weekend, according to UCAN's Cheap Gas Web site, fueltracker.com.

UCAN warned that whatever average gas price is posted on its Web site Tuesday will be about 10 cents less than the actual price because the survey was conducted last week.

Every penny increase in retail gasoline prices costs consumers about $10 over the course of a year, UCAN said.

UCAN's advice? Shop around for the lowest gas prices if you can.

"Now more than ever it pays to shop around," Langley said. "This is especially true of consumers who use credit cards to buy their gas. Credit buyers have a reputation for not noticing huge increases until after they receive their monthly statements."

War fears and the ongoing petroleum workers strike in Venezuela are the major reasons for the price hikes, said AAA of Southern California.

However, AAA has also issued a statement that the recent rapid rise in gasoline is "uncomfortably close to price gouging."

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