Consumers Watch Gas Prices

(AP) –Consumer watchdogs are vowing to scrutinize gas prices in the coming months to make sure Connecticut motorists see a savings as a result of a 7-cent reduction in the state’s gas tax.

Officials want to make sure gas stations don’t absorb the tax cut into their profit margins.

“We have both the expertise and the legal authority to investigate – and we will,” said June Neal, spokeswoman for the state Department of Consumer Protection.

Gas station owners who fail to pass along the savings to consumers after using up their existing supplies risk a $500 fine, six months in jail, or both, Neal said.

Connecticut drivers are beginning to pay less for gas in some cases, but other stations are delaying a price reduction until they use up their supplies of more expensive fuel.

Some owners said they’ve lowered prices at the pump to reflect the gas tax cut, which went into effect July 1. But others apparently had not passed on the cut, relying on leeway in the state law that lets them sell off existing supplies before cutting pump prices.

“The law accommodates gasoline retailers who have inventory in their storage tanks that they had purchased prior to July 1,” Neal said.