Diesel prices are absurd

[Camino LS6]

I bought my Duramax Silverado late in 04 (2005 model) and diesel was 1.99/ gal. This morning I paid 4.16/gal.

This is criminal. Diesel costs less to produce than gasoline and now top it dramatically in price.

Someone is getting fat, and ripping us off bigtime.

[zhawk]

Agreed. Since diesel has less refining steps than gas it should be cheaper. But, lately, I have not been able to figure out which will be cheaper from one day to the next.

Of course, when places are raising there prices every day and sometimes 2 or 3 times a day (I have seen it around Tacoma), then all fuel prices are getting out of hand.

[regfootball]

read Csaba Csere's or was it Bedard's diesel slander editorial from this month in C/D.

there is speculation in there on why diesel is so expensive here and why it can't succeed here like in Europe.

I couldn't find a link on C/D yet for it.

Edited March 7, 2008 by regfootball

[Drew Dowdell]

Diesel is also used as heating oil..... as the temperatures are colder people use more oil.... additionally... even people with multiple storage tanks who filled up in late fall are now probably starting to run low.

[Satty]

The new low sulfur diesel is more expensive to produce, it brings us in line with the rest of the world, and apparently the latest generation diesel engines are made to run on it so the older, cheaper, dirtier stuff had to go.

Edited March 7, 2008 by Satty

[the_yellow_dart]

From the ExxonMobil wiki page:

Revenue ▲ $404.5 Billion USD (2007)

Net income ▲ $40.6 Billion USD (2007)

[Camino LS6]

Pure BS, all of it.

Greed is at the root of the pricing.

[Cremazie]

Even though diesel is thought to be simpler to produce it really is a supply and demmand thing. Refineries in North America are designed differently than the ones in europe and only produce 15 percent diesel, 50% gasoline whereas in europe they are at 25% gasoline and 50% diesel(the remainder is jet fuel and gas oils). This is by process and not by operations. Most refineries here use catalytic cracking while in europe they employ hydro cracking. So because there are more diesel trucks on the road than ever there is a very tight suppy / demmand curve. Economics dictate that diesel costs more.

We have to get used to it, diesel and gas are going to cost A LOT more very soon!

[Teh Ricer Civic!]

They could always build more refineries... its been... what 30 years?

Edited March 7, 2008 by Teh Ricer Civic!

[Camino LS6]

Any way you slice it, it's a case of greedy bastard.

[regfootball]

Even though diesel is thought to be simpler to produce it really is a supply and demmand thing. Refineries in North America are designed differently than the ones in europe and only produce 15 percent diesel, 50% gasoline whereas in europe they are at 25% gasoline and 50% diesel(the remainder is jet fuel and gas oils). This is by process and not by operations. Most refineries here use catalytic cracking while in europe they employ hydro cracking. So because there are more diesel trucks on the road than ever there is a very tight suppy / demmand curve. Economics dictate that diesel costs more.

We have to get used to it, diesel and gas are going to cost A LOT more very soon!

yup thats part of what the article said

[Cremazie]

They could always build more refineries... its been... what 30 years?

There are 2 new 500,000 barrel/day refineries getting built in the Atlantic Provinces to sell directly to the US. Not to Mention there are 9 Upgraders getting built in Alberta. They will Upgrade Heavy oil into Gas oil, Kerosene and Napatha. Diesel is basically Kerosene so I may negate my earlier comments if these all come to fruition.

Just be happy you don't have to deal with this in The US right now:

http://www.ctvedmonton.ca/servlet/an/local...ub=EdmontonHome

[balthazar]

>>"There are 2 new 500,000 barrel/day refineries getting built in the Atlantic Provinces to sell directly to the US. Not to Mention there are 9 Upgraders getting built in Alberta."<<

Then, much like a weekend storm shuts 1 refinery in the U.S. = a price/barrel spike, I expect to see radical price declines in gas & diesel once they come online.

Not.

[Cremazie]

>>"There are 2 new 500,000 barrel/day refineries getting built in the Atlantic Provinces to sell directly to the US. Not to Mention there are 9 Upgraders getting built in Alberta."<<

Then, much like a weekend storm shuts 1 refinery in the U.S. = a price/barrel spike, I expect to see radical price declines in gas & diesel once they come online.

Not.

hahaha!!

[CARBIZ]

They could always build more refineries... its been... what 30 years?

If you were CEO of Exxon, would you spend a billion dollars to build a new refinery when you know that you will have to DROP the price of your product when it opens?

HELL NO.

They'd rather let the greenies take the heat for blocking all the new refineries and laugh all the way to the bank.

[Teh Ricer Civic!]

If you were CEO of Exxon, would you spend a billion dollars to build a new refinery when you know that you will have to DROP the price of your product when it opens?

HELL NO.

They'd rather let the greenies take the heat for blocking all the new refineries and laugh all the way to the bank.

of course not, which is the classic case of a cartel thought. which is why i dont understand why the anti-trust guys arent on them like they were with standard.

[Camino LS6]

of course not, which is the classic case of a cartel thought. which is why i dont understand why the anti-trust guys arent on them like they were with standard.

We don't seem to do much anti-trust work anymore.

[Robert Hall]

We don't seem to do much anti-trust work anymore.

Well, considering how many politicians are paid off by big oil, I'm sure there is not much effort made at stopping them..

[daves87rs]

If you were CEO of Exxon, would you spend a billion dollars to build a new refinery when you know that you will have to DROP the price of your product when it opens?

HELL NO.

They'd rather let the greenies take the heat for blocking all the new refineries and laugh all the way to the bank.

And I can't wait until OPEC switches from the dollar to the euro (which should be in June)

[Teh Ricer Civic!]

On the plus side, the weak Dollar is encouraging more alternative fuels as well as helping our trade deficit.

[CARBIZ]

of course not, which is the classic case of a cartel thought. which is why i dont understand why the anti-trust guys arent on them like they were with standard.

Same reason Washington isn't all over Japan Inc for their unfair trade practices: lobbyists, university 'endowments' and a huge PR machine. The oil companies learned from their early 20th Century mistakes, just like Japan Inc. learned from their early '80s union-backed anti-Japanese backlash.

[SuperSport623]

well i can tell you a mch cheaper diesel.. Home Heating Oil... its a bit less then legal... but its cheaper.... since theres no highway taxes. the only difference is that is tinted red, and has a bit more sulfer content. MY dad ran it through all his trucks and machinery

[Cremazie]

well i can tell you a mch cheaper diesel.. Home Heating Oil... its a bit less then legal... but its cheaper.... since theres no highway taxes. the only difference is that is tinted red, and has a bit more sulfer content. MY dad ran it through all his trucks and machinery

It does cause premature failure of the fuel pump and injectors

[loki]

It'd be very cool to see if GM could retrofit their diesel lines to beable to run 100% biodiesel before anyone else.

[Sixty8panther]

Opec, greedy? Whodathunk it!?

Don't get me started on this topic... it's disgusting

how baddly we're being r4ped on fuel prices.

Edited March 8, 2008 by Sixty8panther

[loki]

there was someone on NPR saying oil futures are predicted to possibly hit $150, or deflate this investing bubble down to ~$30... much like what haapen in the .com boom and what's happening to the housing market.... we shall see

Edited March 8, 2008 by loki

[2005 EquinoxLS]

We will all have to drive FWD 4-cylinder cars. Or maybe even 3 cylinder ones. Or mopeds.

[Cremazie]

We will all have to drive FWD 4-cylinder cars. Or maybe even 3 cylinder ones. Or mopeds.

Gas will have to go over $3/litre for that to happen to me

[daves87rs]

We will all have to drive FWD 4-cylinder cars. Or maybe even 3 cylinder ones. Or mopeds.

A bike might not be too bad...

[regfootball]

of course not, which is the classic case of a cartel thought. which is why i dont understand why the anti-trust guys arent on them like they were with standard.

bush / cheney in office? oil guys ya know

[Oracle of Delphi]

bush / cheney in office? oil guys ya know

Not for much longer! :AH-HA_wink: Oh yes we can!

[regfootball]

i've always said, watch to see what gas prices do, right before the election and right after.

i bet interest rates drop and credit gets loosened up again too

Edited March 9, 2008 by regfootball

[Teh Ricer Civic!]

i bet interest rates drop and credit gets loosened up again too

No way, brace yourself for a long line of interest rate hikes.

[Drew Dowdell]

No way, brace yourself for a long line of interest rate hikes.

Not with a recession here.....

maybe in a year's time, but we're safe from interest rate hikes for at least 6-8 months.

of course, they don't really have anywhere else to go but up right now....

[Camino LS6]

We will all have to drive FWD 4-cylinder cars. Or maybe even 3 cylinder ones. Or mopeds.

Never.

For one thing, I need my truck to make a living. For another, I'll start brewing my own fuel before I reduce myself to 4cyl. microcar junk.

[Oracle of Delphi]

Never.

For one thing, I need my truck to make a living. For another, I'll start brewing my own fuel before I reduce myself to 4cyl. microcar junk.

I'm sure the Federal Revenue agents will move in on your fuel brewing instillation. :AH-HA_wink:

[Camino LS6]

I'm sure the Federal Revenue agents will move in on your fuel brewing instillation. :AH-HA_wink:

Love the intentional misspelling.

I daily lose more respect for what the feds stand for and demand of us all. I'm sure that I'm not alone in disregarding more and more of what they insist upon. Every day respect for federal authority diminishes, they had better wise-up before a majority ignores their authority.

[Oracle of Delphi]

Love the intentional misspelling.

I daily lose more respect for what the feds stand for and demand of us all. I'm sure that I'm not alone in disregarding more and more of what they insist upon. Every day respect for federal authority diminishes, they had better wise-up before a majority ignores their authority.

I grew up in the Southland. :AH-HA_wink:

[Teh Ricer Civic!]

Not with a recession here.....

maybe in a year's time, but we're safe from interest rate hikes for at least 6-8 months.

of course, they don't really have anywhere else to go but up right now....

Inflation more important than recession.

[FUTURE_OF_GM]

Love the intentional misspelling.

I daily lose more respect for what the feds stand for and demand of us all. I'm sure that I'm not alone in disregarding more and more of what they insist upon. Every day respect for federal authority diminishes, they had better wise-up before a majority ignores their authority.

:AH-HA_wink:

I have my guns... Do you have yours?

Seriously though... It's going to get a lot more volitile when people start to get really desperate. And I feel that we're on the verge of people being really desperate given the increased drug use, lack of opportunity and money and trash that our culture has become. This country is very quickly segmenting and that's not a good thing.

United we stood.... Looks like america was indeed a "paper dragon" just like the terrorists said.

To borrow a phrase from you know who..... TICK TOCK!

[Camino LS6]

:AH-HA_wink:

I have my guns... Do you have yours?

Seriously though... It's going to get a lot more volitile when people start to get really desperate. And I feel that we're on the verge of people being really desperate given the increased drug use, lack of opportunity and money and trash that our culture has become. This country is very quickly segmenting and that's not a good thing.

United we stood.... Looks like america was indeed a "paper dragon" just like the terrorists said.

To borrow a phrase from you know who..... TICK TOCK!

Access to guns isn't a problem for me, FOG.

The thing is, I still believe all of that can be avoided (if we get off of our fat,lazy asses and do something about it).

[Oracle of Delphi]

Access to guns isn't a problem for me, FOG.

The thing is, I still believe all of that can be avoided (if we get off of our fat,lazy asses and do something about it).

2nd reference in as many days about a fat ass, I'm starting to get a visual Camino, you're scaring me! :AH-HA_wink:

[Blake Noble]

2nd reference in as many days about a fat ass, I'm starting to get a visual Camino, you're scaring me! :AH-HA_wink:

?

[Camino LS6]

Actually mine is rather skinny, but that doesn't indict the population in the way I intended.

[Blake Noble]

I know I'm not part of the fat ass population. I might eat like a fat ass (two burger minimum every time I visit a burger joint), but I only weigh a scant 165 pounds dripping wet. I take great pride in my metabolism.

[Teh Ricer Civic!]

America has historically been distrusting of the Federal Government. What makes you think this is any different? the only difference now is that people have allowed the Feds to get larger.

[Camino LS6]

America has historically been distrusting of the Federal Government. What makes you think this is any different? the only difference now is that people have allowed the Feds to get larger.

The feds have also become increasingly arrogant and out of touch. They have pushed things closer to an unpleasant edge, and seem blind enough to push too far in the near future.

[Oracle of Delphi]

I know I'm not part of the fat ass population. I might eat like a fat ass (two burger minimum every time I visit a burger joint), but I only weigh a scant 165 pounds dripping wet. I take great pride in my metabolism.

Now there's a visual I didn't need. My eyes, my eyes, what happened to my god damn eyes!

[daves87rs]

Now there's a visual I didn't need. My eyes, my eyes, what happened to my god damn eyes!

[daves87rs]

?