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Open Roads Forum  >  Class A Motorhomes

 > What's with diesel prices?

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pusherpilot

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Posted: 11/27/11 01:42pm Link  |  Print  |  Notify Moderator

On this trip I've noticed that the price of diesel is now greater than $.50 per gallon higher than regular. I can't recall the price spread being that high before. When we left Mo regular was $3.17 and diesel was $3.87. Now we're in Houston and the price at one station is $3.06 for regular and $3.57 for diesel. The spread is about the same everywhere. What is going on with diesel? As I recall the spread used to be about $.20. (defective memory maybe?)
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Posted: 11/27/11 01:47pm Link  |  Print  |  Notify Moderator

This time of year there is a big demand for heating fuel as people fill their fuel tanks with diesel.


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past-MIdirector

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Posted: 11/27/11 01:56pm Link  |  Print  |  Notify Moderator

A lot of diesel being used in the oil fields in ND not only for equipment but all the trucks going in and out. It was also mentioned that they are pumping diesel down intro the wells to break up the oil. Diesel is $4.19 in our area now.





indiana_pilot

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Posted: 11/27/11 01:57pm Link  |  Print  |  Notify Moderator

.98/gal more than gasoline in NW Indina today.

wny_pat

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Posted: 11/27/11 02:08pm Link  |  Print  |  Notify Moderator

Heating Oil season!


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sbmowrey

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Posted: 11/27/11 02:20pm Link  |  Print  |  Notify Moderator

Heating oil no longer affects diesel as it is not low sulpher. They charge what the traffic will bear and the price has nothing to do with the cost of product to produce. The truckers quit complaining because they can pass the cost on as a fuel surcharge to their customers. This started when the government mandated low sulpher and some refineries decided to not spend the money to convert and are now producing only home heating oil, thus causing less over the road fuel to be available.


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missscarlet9

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Posted: 11/27/11 02:26pm Link  |  Print  |  Notify Moderator

I don't know if it effects the U.S., but there was a major refinery in Northern Alberta that was shut down. This has effected Western Canada in a big way. Our diesel prices run ~$1.25/liter or $4.75/US gallon.


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turninghawk

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Posted: 11/27/11 03:06pm Link  |  Print  |  Notify Moderator

On a recent trip heading I-75 N to I-10 W, I noticed diesel at .85 to .90 per gallon more than regular. Percentage-wise, a diesel would need to get at least 20% better fuel economy than a gasoline engine just to break-even on the fuel cost differential (not to mention initial cost nor maintenance cost). I still love my DP, but hate paying such a ridiculous amount more for fuel that is much cheaper to refine than regular gasoline. Think politics comes into play somewhere along the line?

In 2003 when we bought our first DP, diesel fuel was consistently .30 per gallon less than regular.

skipnchar

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Posted: 11/27/11 03:27pm Link  |  Print  |  Notify Moderator

Diesel pricing is just the same as it's always been. It is whatever the oil companies want to charge for it (just like always). Even THEY have decided to quit trying to think up a different reason for all of their price increases and just do it now (think they got the slogan from Nike). My GUESS would be that if they had any reason at all for the increased price of diesel it is to offset the higher oil costs and still keep the price of RUG down since there are about 20 people using gas to every diesel user. Please more of the people and get fewer complaints and less pressure.


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REWahoo

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Posted: 11/27/11 03:38pm Link  |  Print  |  Notify Moderator

Three reasons diesel is significantly higher than gasoline right now:

1. Refiners can get a premium for diesel in Japan and Asia, and are exporting more leaving less for domestic use.
2. High demand for diesel in the oil patch fracking boom (North Dakota, South Texas, Arkansas, Louisiana, etc.) is creating spot shortages.
3. Heating oil demand is cutting into refinery output of diesel.

Imagine what the price would be if the economy wasn't in the toilet...


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