Gas prices in Page, AZ have been consistently higher than the national average for quite some time now. This has left many residents and visitors wondering why this is the case. In this article, we will explore the reasons behind the high gas prices in Page, AZ.
Location
One of the main reasons why gas prices are high in Page, AZ is its location. Page is a small town located in northern Arizona, close to the Utah border. It is not located near any major cities or oil refineries, which means that gas has to be transported a long distance to reach the town. This transportation cost is passed on to the consumers, resulting in higher gas prices.
Tourism
Page, AZ is a popular tourist destination, thanks to its proximity to attractions such as Lake Powell, Antelope Canyon, and Horseshoe Bend. The influx of tourists means that there is a higher demand for gas, which can drive up prices. In addition, gas stations in tourist areas often charge higher prices due to the convenience factor.
Competition
Another factor that contributes to high gas prices in Page, AZ is the lack of competition. There are only a handful of gas stations in the town, which means that they can charge higher prices without fear of losing customers to a competitor. In addition, there are no discount gas stations such as Costco or Sam’s Club in the area, which offer lower prices to members.
Taxes
Arizona has a relatively high gas tax compared to other states. As of 2021, the state tax on gasoline is 37 cents per gallon. This tax is added onto the federal tax of 18.4 cents per gallon, which means that consumers in Arizona are paying over 50 cents in taxes alone for every gallon of gas they purchase. This tax contributes to the high gas prices in Page, AZ.
Supply and Demand
Finally, gas prices in Page, AZ are subject to supply and demand. If there is a shortage of gas due to a refinery shutdown or pipeline issue, prices will go up. Similarly, if there is a sudden increase in demand due to a major event or holiday, prices will also go up. These factors are outside of the control of gas stations and can lead to unpredictable fluctuations in gas prices.
Conclusion
In conclusion, gas prices in Page, AZ are high due to a combination of factors such as location, tourism, lack of competition, taxes, and supply and demand. While there is no way to completely eliminate these factors, consumers can take steps to reduce their gas expenses by carpooling, using public transportation, or driving a more fuel-efficient vehicle.