DC Braces for megastorm

[The Mad Monk]

The problem is not gasoline supplies, but the ability to distribute it, especially from the critical area around Linden, N.J. An estimated 75 percent or more of the gas stations in New Jersey were closed either because they had no gasoline, no power or both, said Sal Risalvato, executive director of the N.J. Gasoline, Convenience, Automotive Association. His organization represents about 1,000 gasoline stations in N.J.

“What I’m seeing is here’s a combination of problems. Power is at the root of it. That means gasoline that is already in inventory, already refined in those big tanks you see along the side of the turnpike, they can‘t get that gasoline into the delivery trucks without power,” said Risalvato.

Those “white tanks” along the New Jersey turnpike are gasoline terminals, owned by a number of companies, and the question for the industry is how quickly can normal operations resume after power is restored. A number of New Jersey based companies, like NuStar Northeast Utilities and Shell’s Motiva, reported that the storm surge drove water into the terminal areas, and it is unclear when they will be operational.

More here.

This is bad. These and other chemical facilities are surrounded by **** systems designed to prevent runoff from escaping plant property, and for good reason. The water must either be treated and released, which takes time and power, or allowed to evaporate, which takes longer. It can also be stored, but I doubt that amount of storage exists.

[snoopy369]

You know, there is a relatively simple, free market solution to this.

The problem is that we ship in gasoline in tanker trucks, and expect people to line up calmly to collect it one at a time (well, maybe 8 at a time). But it takes, what, 5 minutes to dispense 15 gallons of gas?

Why not instead have some enterprising young fellow in a nearby state (or even in a safer part of NY) collect a few thousand 5 gallon gas containers, fill them all up, and then transport them to NYC (or NJ). Then sell them individually. You could sell thousands of them per hour, and avoid these issues entirely. It's not like there's a gas shortage, it's just a local issue.

[Hauldren Collider]

Government regulations.

[snoopy369]

Since the Republicans and Democrats are seeing fit to agree with each other temporarily, perhaps they could take care of that

[DinoDoc]

You know, there is a relatively simple, free market solution to this.

Allow "price gouging"?

[regexcellent]

The obvious solution to the gas station problem is to charge like $20 per gallon...that's what I would do. If there's a line, whoever's running that gas station doesn't know **** about business.

[The Mad Monk]

Wow.

...

Now where did I leave that liberal application form, I'm having second thoughts about this...

[DinoDoc]

?

That last thought (regarding price gouging) was more libertarian than it was strictly conservative if it makes you feel better, TMM.

[Hauldren Collider]

The obvious solution to the gas station problem is to charge like $20 per gallon...that's what I would do. If there's a line, whoever's running that gas station doesn't know **** about business.

Makin' bank

[DinoDoc]

Makin' bank

The goal there is a more efficent distribution of resources.

[Hauldren Collider]

The goal for you maybe. Money

[The Mad Monk]

Bad business, all the way around.

[DinoDoc]

Bad business, all the way around.

How so?

In praise of 'price gouging'

...
After Hurricane Katrina, Mississippi Attorney General Jim Hood announced a crackdown on “gougers.”

John Shepperson was one of the "gougers" arrested. Shepperson and his family live in Kentucky. They watched news reports about Katrina and learned that people desperately needed things.
Shepperson thought he could help, so he bought 19 generators. He and his family then rented a U-Haul and drove 600 miles to an area of Mississippi left without power.

He offered to sell his generators for twice what he had paid for them, and people were eager to buy. But police confiscated his generators, and jailed Shepperson for four days. The police kept his generators.

Did the public benefit? No.

...

[-Jrabbit]

The obvious solution to the gas station problem is to charge like $20 per gallon...that's what I would do. If there's a line, whoever's running that gas station doesn't know **** about business.

Hey Mr. Empathy, were you aware that there are laws against that?

New Jersey investigating reports of price gouging

Mel Evans / AP

Cars line up for gas on the New Jersey Turnpike Wednesday near Woodbridge, N.J. After Monday's storm surge from Sandy, many gas stations in the region are without power and those that are open have very long lines.

Prices for gasoline, hotel rooms, electrical generators and other post-storm necessities have risen sharply from New York to West Virginia in the wake of Hurricane Sandy, and many residents are complaining of gouging.

In New Jersey alone, about 100 consumers have called the attorney general’s office to complain, said Neal Buccino, spokesman for the state’s Division of Consumer Affairs.

“Some gas stations have raised their prices by 20 to 30 percent in one day,” Buccino said. “Some hardware stores have doubled the price they charge for generators overnight.”

Those types of increases would appear to be illegal under New Jersey’s anti-gouging law, which prohibits price hikes of more than 10 percent in an emergency. The law does make an exception for merchants who face increased costs, but the markup is still limited to 10 percent above normal, according to the state attorney general’s office.

"We will not hesitate to impose the strictest penalties on profiteers who, in direct violation of our consumer protection laws, seek to capitalize on the misfortune of others in the midst of a crisis and recovery period,” Gov. Chris Christie said, issuing his second warning in as many days on the issue.

The state has deployed teams of investigators to check out complaints against specific retailers.

Violations are punishable by $10,000 fines. At least one gas station operator paid $20,000 to settle gouging charges in New Jersey related to Tropical Storm Irene last year.

Rising gas prices were a special topic of interest to many residents, especially those depending on generator power, as lines grew long at many stations, raising concern about potential shortages.

In some cases, it was not immediately clear whether price increases were examples of illegal gouging or simply reflected the law of supply and demand.

One reader reported that the price of an economy car rental at Baltimore’s main airport jumped from $15 a day to $230 immediately before the storm, when flights were grounded up and down the East Coast. The higher rate reflected a one-way rental at a time when cars were almost certainly in very short supply.

NBC News staffers who booked hotel rooms in midtown Manhattan for $269 per night before the storm were informed Wednesday that the rate for the same rooms had increased to $679 per night. The rate seemed excessive, even though rates typically rise sharply ahead of the New York City Marathon, which is expected to go forward as planned this weekend. (The staffers later negotiated a corporate rate of $599.)

New York’s law on gouging is somewhat vague, forbidding sellers of “essential consumer goods and services from charging excessive prices during what is clearly an abnormal disruption of the market,” according to a statement from Attorney General Eric Schneiderman.

“While most vendors understand that customers are also neighbors, and would never think of taking advantage of others during such disruptive times, these circumstances always require an extra sense of vigilance and preparation,” Schneiderman said.

Who doesn't know **** about business now?

Full story: http://www.nbcnews.com/business/new-...ging-1C6791587

[BlackCat]

I giggle when I hear that whenever a disaster strikes Tea Party states, so many people in those states all of a sudden are in favor of federal government assistance.

Not all, some just makes it illegal

http://blogs.scientificamerican.com/plugged-in/2012/05/30/nc-makes-sea-level-rise-illegal/