Station tries to keep gasoline prices down

Wednesday, June 9, 2004

While gas stations all over Grand Cayman have raised fuel prices nearly to or above $3.00 per gallon, Island Esso located on corner of Shedden Road and Thomas Russell Way is resisting the trend of large increases.

With prices as low as $2.85 per gallon for self-serve regular grade, gas at Island Esso is considerably less expensive than at other stations on the island. Its ownership indicated it would like to help the community, some people of which are feeling the pinch of the rapidly rising fuel prices.

“We’re trying to keep the price down,” said station co-owner Mike McTaggart. “Everything on this island is so expensive.”

Mr McTaggart said that although increased volume at the station has offset some of its profit loss on fuel sales, the decision to keep prices down was not economically driven. “It’s actually cost us some money. We could have jumped on the bandwagon, raised prices and made a few bucks, but we didn’t want to do that. I buy gas myself, so I know it’s expensive. I feel for the people.”

One of the advantages of Island Esso over many of the other stations on the islands is a lower overhead. “We don’t have supervisors and managers here to pay. It’s just me and Dennis running the place,” he said, speaking of his partner Dennis Verhoeven.

Noting that the profits in the business really come from sales of goods inside the station, Mr McTaggart believes he can always keep Islands Esso’s fuel prices lower than the competition’s. “I can’t see any reason in the world that we wouldn’t be able to,” he said.

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