Why is Heating Oil more expensive that Diesel?
#1
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Location: Fairfax, VA
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Why is Heating Oil more expensive that Diesel?
Just bought a house with an oil fired forced air furnace and set up an account with a local oil delivery company.
Local gas station Diesel prices are around $3.55/gal. The oil company is selling what I understand is off-road Diesel (#2 Heating Oil) at 3.82/gal. (same day pricing)
What's up with that?!?! I though road taxes would make heating oil at least $0.50/gal cheaper that on-road Diesel. Granted there are delivery costs... but those couldn't be THAT much more as opposed to a operating a corner gas station.
I'm considering filling my heating oil tank with the cheaper road taxed fuel (using an RDS tank in my truck).
at 100gal increments it adds up, plus I'm the type to spend a $1 to save a $0.10.
Thoughts?
TIA!
Local gas station Diesel prices are around $3.55/gal. The oil company is selling what I understand is off-road Diesel (#2 Heating Oil) at 3.82/gal. (same day pricing)
What's up with that?!?! I though road taxes would make heating oil at least $0.50/gal cheaper that on-road Diesel. Granted there are delivery costs... but those couldn't be THAT much more as opposed to a operating a corner gas station.
I'm considering filling my heating oil tank with the cheaper road taxed fuel (using an RDS tank in my truck).
at 100gal increments it adds up, plus I'm the type to spend a $1 to save a $0.10.
Thoughts?
TIA!
#2
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Around here it's pretty much the opposite. Place just south of here actually has fuel oil at the pump, right next to the diesel, for about 30 cents cheaper. I can't say that I haven't been tempted, but it's hardly worth the risk getting caught.
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Yeah, exactly! I think I'm getting ed
Plus if you get road-taxed fuel, and use it as heating oil you can apply for a refund in VA.
See #14 http://www.dmv.state.va.us/webdoc/ci...x_eligible.asp
http://www.dmv.state.va.us/webdoc/pdf/ts216.pdf
Plus if you get road-taxed fuel, and use it as heating oil you can apply for a refund in VA.
See #14 http://www.dmv.state.va.us/webdoc/ci...x_eligible.asp
http://www.dmv.state.va.us/webdoc/pdf/ts216.pdf
#4
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The price of heating oil should be the price of diesel fuel less road tax then add a few penny's to deliver it. If you can buy diesel for less go for it and enjoy the extra $$ in your pocket.
#5
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Just bought a house with an oil fired forced air furnace and set up an account with a local oil delivery company.
Local gas station Diesel prices are around $3.55/gal. The oil company is selling what I understand is off-road Diesel (#2 Heating Oil) at 3.82/gal. (same day pricing)
What's up with that?!?! I though road taxes would make heating oil at least $0.50/gal cheaper that on-road Diesel. Granted there are delivery costs... but those couldn't be THAT much more as opposed to a operating a corner gas station.
I'm considering filling my heating oil tank with the cheaper road taxed fuel (using an RDS tank in my truck).
at 100gal increments it adds up, plus I'm the type to spend a $1 to save a $0.10.
Thoughts?
TIA!
Local gas station Diesel prices are around $3.55/gal. The oil company is selling what I understand is off-road Diesel (#2 Heating Oil) at 3.82/gal. (same day pricing)
What's up with that?!?! I though road taxes would make heating oil at least $0.50/gal cheaper that on-road Diesel. Granted there are delivery costs... but those couldn't be THAT much more as opposed to a operating a corner gas station.
I'm considering filling my heating oil tank with the cheaper road taxed fuel (using an RDS tank in my truck).
at 100gal increments it adds up, plus I'm the type to spend a $1 to save a $0.10.
Thoughts?
TIA!
#6
Registered User
Up here in WA state, the red stuff costs more than the road fuel when the price is in the low $3 range. The reason: we pay almost 10% in state sales tax on the dyed stuff. There is usually a 30 cent price spread between the two which is eaten up when the cost goes up. I don't think my state has much of a problem these days of folks burning the dyed stuff on the road. Home delivery is an additional cost.
It's over $4/gal right now. I've been running the road stuff in the boat since it's cheaper.
It's over $4/gal right now. I've been running the road stuff in the boat since it's cheaper.
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