Price Gouging? South Jersey Gas Station Charged $3.98 Per Gallon

Voorhees, NJ -- Voorhees residents are not happy about what some are calling “price gouging” at a local gas station.

Lukoil on Haddonfield-Berlin Road is charging $3.98 a gallon for gas, higher than any other gas station in the immediate area, 6 ABC reports.

Tony Caprio, who has been identified as the owner of the franchise, told the news station he doesn’t make the prices, and that questions should be directed “to his boss,” according to the report.

Lukoil told 6 ABC that the company is currently involved in litigation to strip Caprio of his franchise.

Gas at Xtra Power on Evesham and Burnt Mill roads is the lowest in the township, at $1.79 a gallon, according to newjerseygasprices.com. No other station in the township is charging over $2, with Shell on Evesham and White Horse roads coming in the closest at $1.99.

The Shell station on Brace and Kresson roads in nearby Cherry Hill charges $2.39. There are three Lukoil stations in Cherry Hill, charging $1.77, $1.91 and $1.99, respectively.

Gas stations can charge whatever they want, based on volume, location and competition, according to nj101.5.com. Many gas stations maximize their profits by providing a convenience store in which a customer can buy snacks or coffee while waiting for gas. Stations with typical garages tend to charge more in gas to compensate for that loss of revenue.

What do you think? Is Lukoil right to charge whatever they want, or should this be considered price gouging?