Low gas supplies still problem beyond East Tennessee
Save Email Print
Updated: 6:20 PM Sep 23, 2008
Low gas supplies still problem beyond East Tennessee
The price at the pump may be better than it was a week ago, but local gas retailers say they are still dealing with low supply, and it’s not just a problem in East Tennessee.
Posted: 6:05 PM Sep 23, 2008
Font Size:

KNOXVILLE, Tenn. (WVLT) -- The price at the pump may be better than it was a week ago, but local gas retailers say they are still dealing with low supply, and it’s not just a problem in East Tennessee.

Other major cities across the Southeast are struggling with gas supplies.

Kentucky is the only neighboring state with a decent supply for their pumps. Alabama, Georgia, the Carolinas and Tennessee are still operating on a tight supply.

Prices have come down here in town, but officials with the U.S. Department of Energy say there is still a lot of work to do at the refineries along the gulf coast to get things back to normal.

We saw it in Knoxville last week, and now there’s a gas shortage in several regions around East Tennessee.

Driver Aurora Prophet says, “I think they've actually been fairly stead, ours has gone up and down around theirs."

In Asheville, gas is hard to find, and long lines of people are waiting to get it at $4.18 a gallon.

In Atlanta, pumps are running low and the price is $4.24 a gallon.

Nashville is more than 60 cents higher than Knoxville with an average there of $4.10 a gallon.

DOE spokeswoman Healy Baumgardner says, “As a result of Ike, crude and Natural Gas remains shut-in as many refining and Natural Gas Facilities remain closed so there's no place to bring product."

Pilot officials say the fuel supply in East Tennessee remains tight, but all of the Knoxville Pilot stations are selling it at $3.39 a gallon.

The Downey Oil Company says they are still running out of gas at some of their BP Kenjo stations, and have actually taken gas from some pumps and sent it to others around town.

Driver Brianna Ridenour says, "I don't understand why they're so different, if they're all coming from the same place, I mean I understand its being shipped to different places but I think it should just be one stable price."

The entire region is suffering from low gas supply due to the colonial pipeline not running at full capacity from the Gulf of Mexico.

Baumgardner says, "Currently six of 17 of the refineries in the affected region are out. That is not a high number, originally it was 15."

But there are many factors still holding up refining.

Baumgardner says, "The most common being the extent of the damages to the actual refineries and lack of power and time of power restoration."

Department of Energy officials say it takes at least a week for a refinery to get up and running after all problems are fixed, so they're expecting it to be several more weeks before the gas supply will get back to normal for the region and for the market to balance back out.

Here's the latest from the U.S. Department of Energy in an emailed statement from spokeswoman Healy Buamgardner:

"As a result of Hurricane Ike, crude and natural gas remain shut-in
since many refining and natural gas facilities remain closed -- so there
is no place to bring product.
The eastern seaboard (up to DC) could experience constraint for the next
few weeks due to refineries being down and Colonial pipeline operating
at reduced rates."

What we are seeing, rising prices and constrained supply, is normal
following events causing supply disruptions. As refineries get back to
full production and restoration efforts progress in the Gulf region, the
market will balance."

"The Department of Energy is doing everything possible to minimize
impacts to American families as a result of Ike. We're using every
available tool to mitigate constraints including allowing emergency oil
exchanges from the Strategic Petroleum Reserve to prevent supply
disruptions, working with the public to monitor gas price gouging (on
our website and through our hotline), and coordinating with the EPA to
issue multi-state fuel waivers."

Gas Price Gouging Website: http://gaswatch.energy.gov/
Gas Price Gouging Hotline: 1-800-244-3301

"The Department of Energy is working closely with federal and state
officials and energy sector companies to minimize Hurricane Ike's impact
and to assist with a quick recovery to the energy infrastructure and
industry."

Latest statistics from our gas price gouging hotline:

- From September 12-September 22, the DOE has received a national total
of 24,942 web and phone call complaints. This information is shared with
the FTC and U.S. DOJ for enforcement and coordination with state and
local law enforcement agencies.


Latest Comments

Posted by: gerald Location: knoxville on Sep 30, 2008 at 01:13 AM

If other stations around Knoxville have gasoline I can not understand why Food City is still having trouble putting fuel into the underground tanks and selling to the public. I was in the Smoies last week and nowhere did I see stations closed dueto a lack of fuel. I saw on the noon news yesterday where gas prices were $3.39 and yet Food City is without gasoline. What is going on here seems to be something other than a low supply.
[ Report Abuse ]
Posted by: Robert Location: Knoxville on Sep 23, 2008 at 06:58 PM

At least people are not running to the pumps to get every single drop of fuel possible because that will make things worst and gas stations will raise the price. It will get better, we just need to hang in there, drive less and ride a bicycles.
[ Report Abuse ]
Currently
Local Radar
Radar