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Deisel used to cost much less than unleaded. Now it costs much more...

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Deja Q Donating Member (1000+ posts) Send PM | Profile | Ignore Sat Jul-16-05 05:19 PM
Original message
Deisel used to cost much less than unleaded. Now it costs much more...
Does anybody know why?
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kenny blankenship Donating Member (1000+ posts) Send PM | Profile | Ignore Sat Jul-16-05 05:22 PM
Response to Original message
1. There used to be more diesel engined cars sold here in Amreeka
Edited on Sat Jul-16-05 05:32 PM by kenny blankenship
less call for it (diesel), makes it less attractive to stations to carry, they bump price or distributors do.
Just a guess.

Somewhere back there, beyond the no turning back proceed at your own risk sign that we passed as a nation in the 80s, we all decided we needed to drive 85mph in our V12 luxury sedans and SUVs. Engines got bigger and thirstier even as the technology in microprocessor controlled fuel injection and ignition made them more efficient. At first we said it doesn't matter because the gas engines are getting better, then they just started getting bigger. Diesel was pushed aside as not zoomy enough. Lack of national committment to a sane energy policy and braindead deference to the short term desires of "the market" are behind it, as they are behind exurban sprawl and middle eastern resource wars.
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acmejack Donating Member (1000+ posts) Send PM | Profile | Ignore Sat Jul-16-05 05:29 PM
Response to Reply #1
3.  "clean" diesel costs more to make.
Low sulfur and some places ultra low sulfur fuel is more expensive to refine, but You know some gouging is taking place.

It costs just as much at truck stops whose only business is from diesel sales.
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havocmom Donating Member (1000+ posts) Send PM | Profile | Ignore Sat Jul-16-05 05:30 PM
Response to Reply #1
5. Dunno if that is the reason. I live in a farm/ranch community where diesel
is a BIG seller due to tractor/equipment use and most people have diesel trucks from the pickup to the semi... and the stations here charge way more for it than gas, although probably half the sales are for diesel.

Must be a decision at the refinery level.

Also, look for the cost of diesel when you are going :wtf: at the grocery store. Takes diesel to grow food and takes diesel to get it to your market. It is costing more than just what you pay at the pump
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Seeker30 Donating Member (904 posts) Send PM | Profile | Ignore Sat Jul-16-05 08:02 PM
Response to Reply #1
11. I don't think thats the reason
Just a year ago diesel was $1.49 a gallon here and now its $2.49. I've always heard it costs less to produce diesel because there was one less step involved.
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Matariki Donating Member (1000+ posts) Send PM | Profile | Ignore Sat Jul-16-05 05:26 PM
Response to Original message
2. some buses in seattle are running on bio-deisel
anyone have good info on bio-deisel? right now it's more expensive, but i think that's for reasons of production (small quantities) rather than source material. someone i know was buying a car w/ a deisel engine and said it would run on vegetable oil.
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pocket Donating Member (1000+ posts) Send PM | Profile | Ignore Sat Jul-16-05 05:30 PM
Response to Reply #2
4. it will!
better to remove the glycerine first, but even straight vegetable oil will work.

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acmejack Donating Member (1000+ posts) Send PM | Profile | Ignore Sat Jul-16-05 05:32 PM
Response to Reply #2
6. Diesel designed to run on peanut oil.
It was the original concept. See the
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Deja Q Donating Member (1000+ posts) Send PM | Profile | Ignore Sat Jul-16-05 07:09 PM
Response to Reply #2
7. Only that biodeisel depends on the growing season and how much
space we want to devote to growing fuel to burn...

It's a very risky venture and with land prices fluctuation and increasingly bizarre climate conditions, I wouldn't want to rely on it.
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FtWayneBlue Donating Member (1000+ posts) Send PM | Profile | Ignore Sat Jul-16-05 07:22 PM
Response to Reply #7
8. There are plans being made to built more bio-diesel manufacturing
plants here in the midwest. Interestingly, the press releases say they will take new soybean oil and also waste vegetable oil from restaurants and make nice, clean fuel from them.

I am tempted to make my own for my Ford truck using lye and methanol recipes I've been reading on the internet. It is quite the thing in Utah and Oregon, apparently.

Home heating fuel oil is a nearly identical substance, and last winter it was as high as automotive diesel fuel in some areas.

Something is wrong with that picture.
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Matariki Donating Member (1000+ posts) Send PM | Profile | Ignore Sun Jul-17-05 05:21 PM
Response to Reply #7
12. that's a very good point
i was speculating on that very thing with a friend the other night. a renewable resource that potentially competes with food production, natural habitation, and so forth. i don't know enough about all this to form an educated opinion at this point.
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Strelnikov_ Donating Member (1000+ posts) Send PM | Profile | Ignore Sat Jul-16-05 07:51 PM
Response to Original message
9. Price Inelasticity And The Futures Market
Distillates (Diesel) are more inelastic than gasoline since they are primarily used for industry and heating.

I have also seen indications that futures for distillates are way up due to anticipated shortages of heating oil this winter.

Also, the switch to ULSD may be driving up the futures somewhat. I came across this statement in a farm co-op report:

Corn planting is probably 95% complete as I write this, and while it may seem difficult to look ahead towards fall, we are doing so as we watch for a window of opportunity on contracting fall supplies.

Many refineries will be shutting down to switch formulations to the new lower sulfur regulations (less than 15 ppm), and the industry is already projecting major problems with supply and/or the possibility of allocations and outages in the fall.

We therefore believe it will be in your best interests to plan accordingly to have your on-farm storage filled well before fall harvest arrives.
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Maiden England Donating Member (1000+ posts) Send PM | Profile | Ignore Sat Jul-16-05 07:59 PM
Response to Original message
10. Thought I heard a tax was added after the teamsters supported Kerry
and when I say 'heard' I mean via my lovely husband - whom I don't usually fact check. But that definately doesn't mean you should take my (or his) word for it. In fact I personally thought it sounded a bit unlikely - even for the evilness of Bushco. But thats what google is for...

It did suddenly shoot up 30c a gallon one day, before the election.

I'd be interested to see if it pans out, only if to be relieved I didn't argue the point with DH only to get a lecture on 'how he is always right' :eyes:
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