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  #1  
Old 08-31-2004, 06:37 PM
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Why has diesel fuel recently & rapidly increased in price?

I remember that not more than a month ago- diesel fuel here was selling for about $1.53 per gallon at most all of the stations with diesel. Now at the same stations, it is around $1.79, while the price of gasoline has lowered to a price LOWER than the gasoline. Whats the deal with this?
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  #2  
Old 08-31-2004, 06:50 PM
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The main reason is probably because of an increase in need for fuel oil (home heating oil).
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Old 08-31-2004, 06:56 PM
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the oil companies are still making record profits........ that's another reason
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Old 08-31-2004, 07:30 PM
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It's gone from $1.59 to $1.72 in 10 days here in SC.......
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Old 08-31-2004, 07:36 PM
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Every year in the fall it goes up, then comes back down in the spring. Every year someone asks the same question.
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  #6  
Old 08-31-2004, 07:45 PM
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Yeah - I heard it has to do with home heating oil as well. Also, the oil refineries are going to switch to the winter blends soon. If I recall correctly, the reasoning why the prices are inflated is that they don't want to run out of the summer fuel before it the winter stuff is ready.


Someone please correct me - I wasn't paying much attention when I heard that news story.
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Old 08-31-2004, 07:47 PM
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I fuel up about once a month, 2nd last fuel up was $2.05 in july, and my last on August 25th, was $2.09. I remember when in January it was $1.57 for me and that was the norm
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Old 08-31-2004, 10:01 PM
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It is too hot for there to be much of a market for home heating oil now. I suspect that the price has increased sooner this summer and was never the 15-20 cents below regular that it usually dipped to because of a greater demand caused by the war in Iraq. Humers and tanks run on Diesel, and jet aircraft also use a heavier fuel than gasoline.

Every year, the percentage of Diesel engines as well as the absolute number of Diesel vehicles in Europe increase.
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Old 08-31-2004, 10:12 PM
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I am pretty sure all fuel for the "war" is purchased locally and none from the US. Diesel was 1.99, dropped to 1.93. They start importing No. 1 about this time of year from Europe besides making it here...
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Old 08-31-2004, 10:29 PM
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Quote:
Originally Posted by 86560SEL
I remember that not more than a month ago- diesel fuel here was selling for about $1.53 per gallon at most all of the stations with diesel. Now at the same stations, it is around $1.79, while the price of gasoline has lowered to a price LOWER than the gasoline. Whats the deal with this?
Two words....................................CORPORATE GREED!
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  #11  
Old 08-31-2004, 11:54 PM
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I'm sure that little or none of the fuel used in Iraq comes from the US, although fuel for the Navy probably does. But the price is determined by the demand. A greater demand there means a higher price here.
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  #12  
Old 09-01-2004, 10:44 AM
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Diesel4me,

Vote KERRY and the price of gas and Diesel will go up a lot more. Remember, he's the clown that always voted for the $.50 increase in the fuel tax.

P E H

Last edited by P.E.Haiges; 09-01-2004 at 08:30 PM.
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  #13  
Old 09-01-2004, 11:51 AM
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Maybe its just me and maybe its just here in CT, but I've noticed a trend here that hasn't failed in at least 5 years. Whenever diesel starts to rise in price it does so before gasoline. It reaches and sometimes exceeds the price of regular unleaded. Then it roughly stabilizes and gasoline starts going up. After diesel starts falling, gasoline soon follows. Personally, I wish the feds would add $1/gallon tax in conjunction with a flat tax credit for all taxpayers. I've always been very fiscally conservative, but our energy policy essentially ceases to exist. Savings associated with lower consumption would be many, economic, political, environmental
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  #14  
Old 09-01-2004, 12:43 PM
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I think that most of the dino-diesel we get comes from Venezuela.

I've heard that Venezuela's fuel exports to China have increased due to the recent increase in large scale industrial production there. (As a side note, our steel prices have skyrocketted since July due to the same thing...we export a huge amount of scrap steel to China and the domestic recyclers/producers are having to pay waaaay more to keep it here.)

So, I've been ascribing the rise to that.
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  #15  
Old 09-01-2004, 12:50 PM
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Diesel here went up almost a dime a gallon, I was used to paying 1.87-89 and now 1.96-1.99 is the norm. I even saw it for 2.05!
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