Action Line: How does the Army and Air Force Exchange gas station set the price of fuel?

Action Line Question: I've noticed a difference in fuel prices on base, which are usually lower, than the gas stations to the north of the base. How does the Army and Air Force Exchange gas station set the price of fuel?

Answer: Thank you for giving us an opportunity to explain how the Army and Air Force Exchange Service sets the fuel prices. AAFES does a daily survey of at least five locations selling motor fuel which the general manager deems to be the competition and establishes the AAFES price equal to the lowest price surveyed for each grade of fuel sold. AAFES also uses the www. utahgasprices.com Web site to assist in this endeavor. Hill Air Force Base gas prices are normally the lowest prices and "at the top" of this Web site, and it is very fair to say that Hill consistently has the lowest fuel prices in the area.

By way of example, on Jan. 6 local prices were matched and AAFES fuel prices were adjusted accordingly. Within one hour, those local sites, surveyed and matched, had raised their prices, resulting in on-base fuel prices beating the local competition by 4 cents to 6 cents a gallon. Combined with the daily saving of 5 cents off per gallon when using a Military Star card, AAFES customers received as much as 4 cents to 11 cents savings per gallon versus off-base prices.

However, AAFES fuel station customers need to realize that it is impossible to beat local prices at all times due to the stations' changing their prices throughout the day or sometimes selling their fuel well below cost. With that said, you can be assured that our AAFES management works hard every day to offer the absolute lowest fuel prices around. For more information about the Hill AFB AAFES you can contact (801) 779-0731. You matter!

When you call or send an e-mail, your comments will be recorded and staffed through the agency responsible for action.

Please give your supervisor and chain of command the opportunity to work with you in answering questions and solving problems before calling the Action Line. This will help me better serve your interests. Items of basewide interest will be published in the Hilltop Times. The Action Line may be accessed by calling 777-7000 or by e-mailing action.line.pa@hill.af.mil.

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