Name your $/gallon
How can they make three different grades of gasoline and one grade of diesel and the diesel cost more? Only thing I can figure is it must be the kerosene, jet fuel and heating oil that keeps diesel so high. But would assume that all of those combines are still less than the total gasoline consumption. I hate seeing gas go down and diesel fluctuate a couple of pennies. And thats usually in the up direction to boot.
Remember everyone....we are comming to the "end" of summer....and if you all dont know....(some may not) there are two seasonal grades of galoline produced...there is the summer grade and winter grade...EVERY year you will see a pattern of prices falling as summer winds down....and then RAMP back up once the switch has been made.same with winter grade...mark my words around april of next year (08) the prices will FALL again.(from this high we are about to see)....the AVERAGE joe has know idea about this and is only concerned with the fact that prices have gone down and now jumped back up....right now they (gas owners) are recieving the benifits of the switch...it will drop a little bit more and then level out for a few weeks...then the prices will jump back to 3+ dollars as winter comes into full play......
RIGHT OHHHHHH, BUDDY.....but hopefully we can stay on par with it...you know stay a few pennies above or below....that will be the best i feel we can hope for....remember a few post back.....well i may have my sit down with a diesel manufacturing guru...i am hoping to find out before the end of the month.
NCA
Now, the number of gallons of gasoline sold is so much higher than diesel (fewer diesel-electric locomotives, MORE cars, and a smidge of diesel trucks) that the oil companies have put there energies
into the most profitable and highest sales market - gasoline. I have to wonder if the U.S. even refines diesel anymore or just purchases it from overseas? Like any other vendor, you stock and price your biggest sellers to be most competitive. Think of how many gas pumps there are to a single diesel pump in the average gas station. If we ever get to a 50/50 ratio, than the price per gallon of each will likely be very close.The encouraging part is that the gasoline hybrids are not selling and Honda and others are stopping production because of the high cost of the vehicles, because the vehicles are not living up to their advertised fuel economy, and the limited lifespan of the engine/battery components. Further, diesel autos are now becoming very clean, cheaper to build than the hybrids, and with a significant known marketing value (diesels are associated with long-life) - hence you now have Jeeps, VWs (again), Mercedes etc. with diesels that are clean burning and don't put out the high volumes of particulate matter that they used to. Honda, BMW, Nissan are all planning on introducing diesel cars in the U.S. as early as this year. The following URL is actually a decent summary of the impact of diesels in the U.S. http://money.cnn.com/2007/05/01/autos/diesels/
I only have to look at the exhaust from my truck to see the differnce between my old diesel Volvo and Olds. A lot less particulates. What I think you are seeing is at least one company (Chrysler) realizing that they can sell fuel efficient, less polluting diesels and have them be more marketable than the hybrids. Half the cars sold in Europe today are diesel powered while only 3.5% in the U.S. are diesel. If for no other reason, the impact of Daimler on Chrysler in expanding the role of the diesel in the U.S. was a positive move. I hope the new owners understand this because GM and Ford are clueless. If they don't, we'll probably be buyin our next Cummins in a Nissan! More diesel vehicles on the road will eventually lead to lower costs per gallon (at least theoretically
).
I think some stations are keeping diesel artificially high to offset some of the drops in the gasoline prices. I see a lot of stations in my area with diesel only pennies more than regular. Other stations are as much as $.20 more than regular, and their regular is competively priced. And then there are other stations that could give a rats-behind and are still charging $2.80 for regular and $2.89 for diesel. Average seems to be in the high $2.50's to low $2.60's for regular and about $2.70's for diesel.



