Bruning looking into gas advertising practice
By NANCY HICKS / Lincoln Journal Star
A handful of gas stations along Interstate 80 that lure travelers by advertising a very low gasoline price that is available at just a couple of their two dozen pumps are under investigation by the Nebraska attorney general’s office.
“Common sense tells you that they are stealing roughly $5 to $10 a tank from anyone who stops,” said Attorney General Jon Bruning, who went to the North Platte gas stations on Tuesday morning.
Consumers have reported the practice occurs at Conoco stations in North Platte, Lexington and Ogallala and at the two North Platte BP stations.
Bruning’s office is using the state’s Deceptive Trade Practices Act to examine the business practices of the stations.
“It was clear to me that this is deceptive advertising,” he said Tuesday afternoon. “Almost everyone there had been deceived.”
Most people fill all or part of their tanks before realizing they are paying 50 cents more than the price advertised on signs, he said.
“The problem with gasoline is you can’t give it back.”
Bruning visited the Conoco station and two BP stations on both sides of I-80 and said he saw patrons yelling at the BP clerk.
“I saw more red-faced, angry people in 10 minutes than I’ve seen in a long time,” he said. “So all day long you have angry customers swearing never again to stop for anything in Nebraska.
“This puts our entire state in a bad light. It’s bad for North Platte. It’s bad for Nebraska.”
Bruning said he took names and contact information from patrons at the stations.
“It’s a shame, and I intend to do something about it.”
A letter that went from his office to the two gas station owners before the personal visit has more than four pages of questions.
In it, Bruning’s staff asked for documentation of gas prices paid by the station owners, the factors that go into advertising decisions, the advertised prices over the past 12 months, the best-selling fuel and price each month for the past three years and a list of all consumers who have complained about the advertised price of the gas.
People have complained to local chambers of commerce, newspapers, the state’s weights and measures office and the attorney general’s office.
Mark Wilkinson, who owns the Conoco stations, did not return a phone call on Tuesday and refused to comment last week.
Roy Wagner, part owner of the North Platte BP stations, said he has talked with Bruning’s staff about signing an agreement that he would stop the practice if the competing Conoco station did.
“I’ll stop it if the other guy stops it,” he said.
The practice itself is not illegal because the stations do offer gas at the advertised price, albeit at just a few pumps, according to Steve Malone, administrator of the state’s Weights and Measures Division.
But the deceptive practices act gives the attorney general leeway to look at advertising “where the intent is not to supply reasonably expectable public demand.”
Bruning said the North Platte BP station was advertising gas at $2.89 a gallon, but the cheapest price at most pumps was 50 cents higher.
“It will be up to a judge, but I am very happy to make the case (that it’s deceptive),” he said.
The station owners are under increased pressure to stop the practice.
One Nebraskan sent an e-mail consumer alert that has gone across the country.
The ConocoPhillips corporate office in Texas is working with the marketer who sells to Wilkinson, an independent dealer. Late Tuesday afternoon, the company was still waiting for answers, said Bill Graham, a marketing executive.
Lexington-area Chamber of Commerce Manager Susan Bennett said she talked with Wilkinson on Monday about the ill will his advertising is causing but said he is not a chamber member, and even if he were, “we can’t tell our member businesses how to price … goods.”
Bennett said she didn’t know what effect, if any, the conversation had.
Reach Nancy Hicks at 473-7250 or nhicks@journalstar.com.

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