Two weeks ago we showed you the operation at CDS gas on the Hattieville Boom Road where they sell only locally produced BNE Butane for 92 dollars per hundred pound cylinder, 36 dollars lower than the controlled price. And better than that, they only sell by the pound, not the gallon.
It's a great deal - but the immutable law of physics still applies: every action bears a reaction - and in this case, that reaction has been a sharp decline in business for Albert Humes of Buttercup Butane. He's the other butane vendor for Burrell Boom and outlying communities, and he sells imported butane for 130 dollars per hundred pound cylinder. That's just about forty dollars more than his competitor! So you can understand why he's almost out of business. But, he concedes, if you can't beat them join them, so he approached BNE to also start selling their guess. And that's when the goodly local butane company, bared its protectionist fangs. He told us what happened.
Albert Humes of Buttercup Butane
"Right now my situation is that the business is not making any money. It is due to where CDS Gas Station opened up and is selling gas from BNE.
Jules Vasquez
"But then, why don't you buy from BNE?"
Albert Humes
Well the thing is that i tried to buy gas from BNE but due to the fact that they are selling gas to CDS Gas Station, they told me that they aren't going to sell me any gas because I will affect the sales at CDS Gas Station."
Jules Vasquez
"You want to buy their gas?"
Albert Humes
"Of course I want to buy their gas but they don't want to sell me the gas. But the way i see it, they are only selling to special people.
Jules Vasquez "So when you called them, and you were making arrangements, they were willing to sell you until they heard where you were."
Albert Humes
"Of course after they heard that i was in Burrelll Boom, Buttercup..."
Jules Vasquez
"As far as I know, BNE is only a supplier, it has no license to get involved at the retail level. For example, If Tomza is selling to CD, would Tomza also sell to you?"
Albert Humes
"Of course,"
Jules Vasquez
"So how much as your business gone done since CDS gas started up?"
Albert Humes
"By a lot, for example today, I've not sold a gallon of gas yet."
Jules Vasquez
"Because everybody is buying from CDS"
Albert Humes
"Yes, everyone is going there."
Jules Vasquez
"What's the difference in prices?"
Albert Humes
"Well I'm selling a 100 pound for $130 while they sell for $92. It's a big price difference but my supplier's gas is more expensive to me."
Jules Vasquez
"What appeal would you like to make to BNE?"
Albert Humes
"I would like them to try to consider selling me some gas because that's the only way my business will stay open. I can't find them so it's better that i join them. The way i see it the other gas companies don't care about the Belizean people, and the way i see it, BNE is getting just like them (the other gas companies) as well."
According to Daniel Guttierez of Belize Natural Energy, his company is working with CDS gas in that zone to develop a pilot mini-plant which meets all standards - and so that company is protected in that zone.
We can't quite figure out how that squares with BNE's wholesale deal with its main purchaser BWEL, which sells butane by all means in every zone and at a premium price, creaming hundreds of thousands of dollars in profits by maximizing use of Belize's inexpensive Butane to generate profits for their Mexican - slash central American Company.
And another Mexican Central American company, Z Gas has ended its promotional deal in which it was selling butane for four dollars and fifteen cents a gallon.
The price is still competitive but not as dirt cheap as it was. Still, consumers are on guard, and we met one buyer today who showed up to get butane with his bathroom scale:
Jules Vasquez
"You came here today with your bathroom scale. Explain to me what you are thinking."
Consumer
"Well I try to see for myself because I have heard rumors that some of them are stealing. I tried my bathroom scale."
Jules Vasquez
In the past you felt that you were being defrauded and cheated if you didn't have the scale."
Consumer
"At the same time that my brought my scale, everything is accurate. Now i don't know if they were cheating me in the past."
Z Gas insists on selling by the gallon when it is universally known and accepted that buying by the pound is the only way to make sure you don't get cheated.
