Price of diesel (US)

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I have noticed (to my dismay) that the price of diesel fuel has migrated to about 10 cents above the price of premium.
Is this the case elsewhere? I can't see a legitimate reason
for this, but fuel prices are rarely transparent.
I am speaking of the US market.
Bernard
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On Mon, 11 Oct 2004 14:19:50 GMT, "Bernard Farquart"

the last month. It is running about the same as mid-grade gasoline, $1.95-1.98/gal.
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Also in the UK diesel costs about the same as petrol, as opposed to being much cheaper as in many European countries.
Hasn't stopped the increase in sales of diesel cars, however.
DAS
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yeah, I'm in UT and it's $.15 higher than gasoline... cheaper to refine mean more profit magine I guess. I think it's those napolean syndrome diesel huge jcaked up pickup truck drivers who only haule their ego and spend $40,000 on a truck that gets 10 MPG, with their modified train sounding like exhaust that's pushing up the price and demand.

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On Mon, 11 Oct 2004 10:07:37 -0600, "Typhoon Lee"

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On Mon, 11 Oct 2004 14:19:50 GMT, "Bernard Farquart"

the start of the heating season, we are getting humped by a set of circumstances, I can see $3 a gallon real soon
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Ouch, I guess I will get some of this pain real soon now as I need to by heating oil for two homes... Yikes.
Marty
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If you US guys start to pay more than 3 $ per gallon, you should buy a Diesel and ask your governor for abolishment of your speed limit, because then you have driving conditions like in Germany;-)
To be honest: one gallon of diesel fuel costs about 4 US$ in Germany. For gas you pay more than 5 US$, because the tax on gas is higher than the tax on diesel fuel.
Frank
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wrote:

and a 7.4cent per gallon state tax.
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Exactly. Peanuts.
DAS
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SF Bay Area $2.49/gal. Cost of sulfur removal and additional road tax put price to premium gas level some years ago.
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I can't see a legit excuse for this either. The tax in California is 10 cents higher than gasoline but still, diesel is garbage fuel compared to gas and the resulting cost ($2.35/gal) at the pump is not justified IMHO.
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It varies by region. Here in NJ, it's $1.81, which is about 7 cents less than unleaded regular. Diesel fluctuates with home heating oil, so with peak demand season approaching in a tight market, it's not unusual for it to be moving up.
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We'd better get used to higher fuel prices. One thing that is not widely publisized is that China is now a net importer of oil. The guy who brokered a huge oil deal between Kawait and China is my next door neighbor (in California). He also brokered a deal to ship 5,000 new MB trucks (thru Brazil) to the Chinese oil fields a while back. He looks like a chicken farmer but owns a hotel in Bejing, condo in Hong Kong, plastics injection company, etc. Very interesting guy, connected very high up in the Chinese government. China's thirst for steel has driven the price of hot rolled material here in California to $.65 per pound. Even scrap metal is 25-cents or more per pound. Things are changing as Nixon called it many years ago when he said China will become the economic giant of the 21st century.
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Looks much better than my deal for Britain in the Soviet days. I sent them 100 Rolls-Royce cars and in return I got 5000 parking spaces from Siberia for London.
DAS
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Where is $1.81? I am seeing $2.09 up here.
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On 2004-10-11 15:52:53 -0700, snipped-for-privacy@optonline.net (Chet Hayes) said:

Interestingly NJ almost always has the lowest prices for gas/deisel in the US and every station is Full service (ie no self serve).
It turns out it more expensive to insure a gas station for self serve, then to keep a full time employee who is trained in dispensing fuel.
Strange but true. Marty
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That may be a new urban legend, but it's not the reason for the lower gas price. There isn't any substantial safety difference in self service, which is why 48 states allow it. In fact, the gasoline retailers in NJ have been in favor of allowing self service for a long time as a way of reducing cost, by having less employees.
The biggest factor is tax. NJ has one of the lowest state gas taxes in the country. NY is 30c, CA 32c, NJ is only 14c. Plus there are major refineries located in NJ, which lowers the transportation costs. People drive to another state, look at prices and don't realize they are comparing apples to oranges.
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On 2004-10-16 17:04:48 -0700, snipped-for-privacy@optonline.net (Chet Hayes) said:

I am not clear which is the urban legend :~)
Marty
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Consistently the lowest prices? Oh really? The other state besides NJ that doesn't allow self service is Oregon. Here from AAA are current prices for various areas: http://www.fuelgaugereport.com/ORmetro.asp
The highest I see for Oregon is $2.27, the lowest $2.09 From the same site, South Carolina is $1.84 to $2.12. Georgia is $1.86 to $2.14. Well, there goes that argument. BTW, South Carolina and Georgia have some of the lowest state taxes on gasoline. Funny how that seems to correlate a lot better with the price than whether you get to pump it yourself.

Yes, let's look at Montana. The refining capacity of Montana is nowhere near that of NJ, however the demand there is much less too, so the refining issue is likely a wash. Now let's look at gas prices and taxes.
Here's a site that posts current gas prices for Montana: http://www.montanagasprices.com /
Let's throw out the highest and lowest prices, as they may be aberrations, though if they're left in, the result is about the same. We're left with a price range of $1.92 to $2.08 with lots of price points in between, which looks very reasonable.
Now let's look at NJ:
http://www.trentongasprices.com /
Excluding the single highest and lowest, we have a price range of $1.86 to $1.95.
Now let's look at taxes. This is exactly what I meant by comparing apples to oranges. Contrary to what you think, Montana is not a state with low gasoline taxes. In fact, Montana has the 10th highest gasoline tax in the country. The state tax on gasoline in Montana is 27.8c In NJ, it's 14.5c, which is 13.3c less. That difference exactly equals the difference in the above retail high prices between the two states and it's fairly close to the low price difference too.
I've heard lots of debate in NJ over the years about the pros and cons of self service. Lots of newspaper articles have been written and opinions and issues expressed by all sides. This is the first time I've heard anyone make the assertion that the cost of gasoline in NJ is lower because of issues of insurance cost for self service. Plus if that were a significant factor, then how do you explain that Oregon's prices, where self service is prohibited are substantially higher than states like SC and GA, where it is allowed?
That's why I said it sounds like an urban legend, and unless I see some proof otherwise, which I notice is lacking, that's where it stays.
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