Warm Weather Means Gas is Even More Expensive Now

We’re finally getting some summer weather in Oregon, with sunshine and warmer temperatures. Bad news? If you think gas is expensive now, it's even more expensive on hot summer days. Gasoline expands as temperatures rise. That means motorists get less energy from a gallon of so-called "hot gas" than from one at the "standard" 68 degrees. Most storage tanks do not protect the stored fuel from heating and expanding in warm weather.

Hundreds of consumers, including an Oregon truck driver, are suing oil companies and gas retailers, alleging that they have been overcharged by billions of dollars. These are the “hot gas” cases. The litigation seeks to force the oil industry to install gas pumps that have temperature-compensation equipment. In the Oregon case, the claims also include alleged consumer fraud in describing the cost and “quality” of the fuel.

The issue attracted the attention of Congress. A House subcommittee report Hot Fuel: Big Oil’s Double Standard For Measuring Gasolineiestimates consumers will pay a $1.5 billion premium for "hot fuel" in the summer of 2007. One example in the report explains that if the temperature is 90 degrees (Fahrenheit), gas advertised at $3.50 per gallon ends up costing seven cents more a gallon because of its expanded volume. This is the result of losing about a tablespoon’s worth of fuel per gallon, which of course is now above $4.00, so consumers are now paying about 10 cents per gallon for hot air.

In addition to Oregon, truck drivers and motorists in California, Delaware and New Jersey, Kansas, Oklahoma, Missouri, Louisiana, New Mexico, Nevada, Florida, Kentucky, Tennessee and Georgia have sued. The cases are currently all being heard in a federal court in Kansas, but observers believe that some of the state claims will be returned to the courts where the claims were filed. Oregon's case was filed in Eugene.