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The general consensus is that the cost is higher due to the refining process required to produce ULSD. Don't know if there is really additional cost or if this is just being used as an excuse to raise the prices.
I agree. I for one remember when I was in high school in the '70's and our neighbor had a diesel VW Rabbit. It was the first diesel car I ever saw and he was bragging about the 55mpg, plus the fact that diesel was half what gas was. Seems like I remember it being less than sixty cents per gallon where I was paying $1.10 per gallon for gas. Now lets suppose that diesel now costs more to refine for whatever additives they're using. Shouldn't it at least be somewhat proportional since gas also has a lot more additives than it did in '79? And while were at it, can someone explain to me why gas cost $5 a gallon here when oil was $150 a barrel, yet now oil is half that but gas is still $3.20 here? Shouldn't gas costs be half since the crude it is made from is half?
I haven't been paying attention to national costs, but our fuel cost in the region has returned to a likeable (for california/so oregon) level. Diesel here is about 15-20 cents cheaper than gas.
Purely market driven, global demand is higher for diesel fuel and other distillate fuel oils. There is only a certain amount of diesel refining capacity around the world. The Federal excise tax is higher on diesel and locally to me the State tax is 3 cents higher than gasoline. Combine the change over to ULSD and refining capacities, demand drives the price.
I haven't been paying attention to national costs, but our fuel cost in the region has returned to a likeable (for california/so oregon) level. Diesel here is about 15-20 cents cheaper than gas.
Howdy neighbor
Actually in Klamath Falls (southern oregon to everyone else) we are still paying about 10 cents a gallon more for diesel then gas... $2.899 on fill up yesterday compared to 2.799 for unleaded.
Howdy neighbor
Actually in Klamath Falls (southern oregon to everyone else) we are still paying about 10 cents a gallon more for diesel then gas... $2.899 on fill up yesterday compared to 2.799 for unleaded.
Haha. We've got $2.93 for diesel and $3.09 for regular unleaded. Last time I was in Ashland (about 40 miles North) gas and diesel were both in the $2.80's
Again, no rhyme or reason to prices. Diesel is $3.19 here, gas $3.17 at the same station near my house. I buy gas at the casino about 8 miles away for $3.04, but I don't know what they get for diesel.
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