Why does diesel cost more than gasoline?

Discussion in 'Trucker Taxes and Truck Financing' started by -insert name-, Aug 30, 2012.

  1. jeepnut_nh

    jeepnut_nh Medium Load Member

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    i dont know about buying it from other countries...

    i do know that we used to have enough refining capacity in the US to get by.

    remember all the refineries over the last 35 years that have burned? sure, most probably were rebuilt, (a process that generally takes years) but several were not.

    when was the last new, (and by "new" i mean from the ground up/EPA approvals/construction/to production) refinery built in the US? iirc its been 30+ years

    google turned up a few new ones in the works, but only one even showed a completion target. mostly the US refineries "upgrade" and/or "expand" both of which sound good but neither of which can keep up with the expanding demand experienced over the last 40+ years worldwide.

    the hurricane excuse is merely a tool the media uses to keep the public pissed off at the evil rich corporate owners. refineries (and offshore wells) have shut down for weather scince they were first built, suddenly scince '08 it's a big story, tho i see several local gas stations take advantage every time :/

    my $.02
     
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  3. jonboy29

    jonboy29 Light Load Member

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    jeepnut, they are using the same scare tactic with food prices and the summer drought. Dirty rotten ########!!!

    In Canada, we have closed two area refineries, and IIRC there hasn't been a new one built in 30 years aswell. Except maybe in Alberta?
    Last week, some guy on the news in B.C. proposed the worlds largest refinery in Kitimat, so Alberta's oil could be refined and then shipped to Asia. The time line and costs were out there!
     
  4. ChristenburyM

    ChristenburyM Bobtail Member

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    Apr 22, 2012
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    It's a combination of taxes and the higher cost to refine Ultra Low Sulphur Diesel! Before ULSD it cost an average of $0.20 less than regular after it costs about the same as premium or a little more.
     
  5. Working Class Patriot

    Working Class Patriot Road Train Member

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    Uh....You want to relive some old school problems?

    That's what trucks ran on for years...Good old Gasoline....
    Hell...We had a Ten-Wheeler that was a Ford L800 that had a straight 6 in it....Talk about gut-less....
     
  6. Working Class Patriot

    Working Class Patriot Road Train Member

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    Great for city trucks....But try climbing Vail with 80K gross on the rig powered by a LPG/CNG fueled engine.....I hope you brought your crossword puzzles....You'll be climbing for hours.....
     
  7. fisher guy

    fisher guy Road Train Member

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    i say get rid of all this new epa hippie environmentalist tree hugging bull and let em drill in alaska and the gulf to our hearts content but heres the deal....we keep the oil screw all the other countries
     
  8. Cat sdp

    Cat sdp . .

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    Orion's Belt
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    Maybe a few more oil company mergers would help keep costs down. And no more oil companies subsidies from the Feds . lol
     
  9. king Q

    king Q Road Train Member

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    Generally speaking.
    Gas is a consumption fuel.
    Diesel is a production fuel.
    The production model can allays afford more than the consumption model.
    Diesel costs less to produce then gas.
    Higher margins and taxes can be squeezed out of those producing.
    Simple.
     
  10. king Q

    king Q Road Train Member

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    You should try Dice he is the resident lab rat.
    Be warned he will rip you a new one if he thinks it is snake oil.
     
    Last edited by a moderator: Sep 1, 2012
  11. Taildragon

    Taildragon Heavy Load Member

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    Jun 22, 2012
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    In the 80's we had five refineries in Indiana, now we have two, eliminate the small guy and what do you get? Higher prices, you can thank the EPA.
     
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