Rising fuel thefts and high credit card fees are hurting gas stations.
Some service stations even force customers to pay for their fuel before filling up to avoid having more fuel stolen.
“It is certain that with the price of gasoline which is much higher, when there is a theft, it is expensive for the retailer. There are several methods that the retailer can use to prevent this type of incident, such as installing a camera and some have chosen to prepay either at the pump or inside,” says Sonia Marcotte, CEO of the association of Quebec energy distributors.
Credit card companies are also hurting gas stations since they collect 2 cents per dollar purchased with their card.
With gasoline being returned at more than two dollars, service stations must therefore pay approximately double that to the credit card companies.
Yet the retailer’s share of gasoline prices has barely increased.
“Credit card fees are around 2% on a regular card. So when the price of gas is around one dollar, it’s two cents a litre, but if the price is over two dollars, it’s more than four cents a litre,” explains Ms. Marcotte.
See all the explanations in the video above.
