Friday, May 25, 2007

TipidTip #5 Gas up in Pasay City.


I don't know if most of you guys realize this, but gasoline is way cheaper in the area of Pasay City. The rates are lower by at least P1/liter in gasoline stations in Macapagal Drive near SM Mall of Asia (sometimes almost P2/liter savings!). My boyfriend who works in PAL also noticed that gasoline stations near the airport have practically the same rates as those near MOA. I therefore conclude, it's a TipidTip to gas up in Pasay.

At first, I thought it's because there are a lot of gasoline stations that abound the Macapagal Drive -- the big three, Jetti, SeaOil etc. And so the law of supply and demand comes into play, lowering the prices. But when the Boyfriend said the rates are the same near the airport, and gas stations there are not really side by side, we debunked the application of the economics theory and looked for another explanation.

The Boyfriend gassed up his car near the airport again, but this time in Sucat (which is in Paranaque), and noticed that prices of gasoline were the same as in others, like in Alabang. And so we came to the conclusion that maybe it's cheaper to buy gasoline in the Pasay area. Maybe, the local government of Pasay imposes less taxes to them so less charges are passed on to consumers.

Well, I have no basis in law or in fact, it's just a result of us putting two and two together. If you guys have any theories, or have valid explanations for this, we'd gladly concede and withdraw ours. But until then, I'll try to stretch my gasoline to reach Macapagal Drive in time, before my car hyperventilates (like its owner!) and gives up.

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