(Gas) Prices Fuel a Rebellion [View All]

http://www.washingtonpost.com/wp-dyn/content/article/2005/08/05/AR2005080501595.html

For some people, it's hitting the big five-oh that really hurts -- that is, dropping $50 on a tank of gas. For others, it's just that relentless upward creep in prices that gets their attention.

Whatever the trigger, drivers pulling up to the pump in vehicles that ostensibly require high-grade gas are wondering if they really need the more expensive fuel or whether it's okay just to fill it up with regular. As gas prices soar, car owners increasingly are going for the cheaper stuff -- no matter how fancy their wheels. And station owners and oil companies are seeing the impact: Sales of premium and mid-grade gasoline are tumbling.

It's an age-old response, industry experts say, for drivers to switch from pricey, higher-octane formulations of gas to cheaper alternatives whenever gasoline prices rise substantially. Now, with prices stuck stubbornly high, oil experts wonder whether high-grade gas will go the way of the Studebaker.

"I foresee no serious decline in prices anytime soon, so the question is, will consumers' buying habits change permanently if the higher prices stay as they are," said Daniel F. Gilligan, president of the Petroleum Marketers Association, which represents independent filling stations. "Will it be more difficult to attract consumers back to the higher-octane fuels? I don't know."