By Ken Sakamoto, Star-Bulletin Stations that could have sold for big money less than a decade ago are now not generating a dime's profit, owners say. This is the Kaneohe Chevron at 45-1002 Kamehameha Highway. In the 1980s, margins averaged more than 20 cents a gallon, dealers say. Today the margins can be as little as 3 to 6 cents on Oahu. On the neighbor islands, dealers enjoy much higher spreads.
Federal law prohibits oil companies from arbitrarily terminating a dealer's lease.
But there are other ways to get rid of dealers, critics say. Chevron Corp., the market leader in Hawaii, dismisses such allegations. Marketplace changing Chevron says it is working more closely than ever with its dealers, recognizing that they have to do well for Chevron to do well. We've got to collectively figure out how to beat up on the competition and not on each other. Officials from other gas companies could not be reached for comment or did not return phone calls.