[Vwdiesel] Cheap tomorrow?
William J Toensing
toensing at wildblue.net
Wed Dec 5 21:35:22 PST 2007
In answer to the question as to why diesel is now more expensive than gas, the answers provided by Chuck Carnohan & Hayden Chasteen are quite correct. The way Bush's Iraq war was conducted has kept Iraqi oil off the world market. That plus threatening war with Iran has helped push up the price of oil world wide, so you in Europe & the rest of the world can also enjoy the fruits of Bush's policies that we are enjoying in the USA.
In addition there is an additional .10 cent tax on diesel motor fuel above the cost of gas. In the USA we have allowed oil company mergers so there are only, as I understand, there are only 4 major owners of most of the refineries in this country, all of which are running at near or full capacity. Every so often, they conveniently shut one down for "maintenance & repairs". Then the shortage pushes up the price. Demand for fuel oil for heating in winter pushes up the price, especially if there is a severe winter. One additional factor possibly pushing up the price, is the additional cost of removing sulfur, to refine our ULSD diesel.
A short answer as to why diesel is more expensive than gas is because Big Oil can get away with it.
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