August 28, 1997
(Government Services and Lands)

The following is being released at the request of Dennis M. Browne, Q.C.:

Second attempt to increase gas prices fails

Yesterday some Irving gas stations in St. John's attempted to raise the price of gasoline five cents per litre. The price increase failed when no other gas station followed.

Consumer advocate Dennis Browne stated: "This is the second attempt by oil companies to raise the price of gasoline in 16 days. These attempts appear to be deliberate strategies of the oil companies to raise gas prices throughout the city of St. John's by five cents a litre. On August 12, Petro Canada attempted to raise the price of gas five cents per litre. Yesterday it was Irving's turn."

The consumer advocate has called upon Irving to provide consumers with a full explanation as to why such a wide price variation occurred over the course of a few hours on one day.

"Research shows that the wholesale price of gas actually dropped this past month, yet some oil companies are ignoring that fact. These oil companies must provide a better explanation than in the past," said Browne.

Contact:

Dennis M. Browne
Telephone: (709) 754-1800
Facsimile: (709) 754-2701
E-Mail: french.browne@nf.sympatico.ca