I saw something yesterday that I have not seen for at least 25 years around here.

Diesel selling for .10 per gallon less than gas ( 1.99 for diesel 2.09 for gas). Its usually at least .25 per gallon higher.

Any other areas seeing this?

I am seeing it in the W-S/Greensboro area . Nice attempt at price fixing

Yep - a short few months ago.. Never thought I'd see that day..

Some stations here are a little below and some a little above. Seems that Randy and I saw a couple of places in Oklahoma near a year ago when he drove me back from Quemado, where diesel was a little less than Gasoline. Not many, just a couple. miles

10 cents less near Atlanta...

We just bought a gas car and this happens. When I bought my f250 diesel about a decade earlier, the prices for diesel went from below economy to higher than premium gas.

I wonder if my genes have a schleprock mutation.

yes in Chattanooga. Was surprised to see that as well.

price gouging you know them bastads ain't gona miss a trick to make money

Wholesale cost for diesel is well below gasoline, has been for 6 months...

Stations don't compete and drive diesel pricing down like they do on gas.

its lower now because the oilfield has crashed, there's not the demand for it like there was when you had thousands of rigs generators and trucks running 24/7.

It used to be that way all the time. I never understood why the tables turned.

I wondered if it had to do with military consumption during the war in Iraq and Afganistan.

In the 80s and 90s diesel was cheaper than gas. I remember it went up after Katrina. I think it is cheaper to process than gas.

the main reason is what i stated above, everything in the oilfield runs on diesel.

I read, a while back, that the U.S. was shipping diesel to China, and that was the reason prices were so high. According to the article, China had a strong economy and had a lot of building, etc going on.

It could be that now their economy isnt doing so well, they have stopped a lot of the projects, and dont need the fuel.


Also, the US is producing a larger percentage of the fuel we use, not buying it from the Arabs and others.

Just a couple of thoughts.

There you go, making sense.

The "tables turned" when the government decided that sulfur in diesel fuel was drowning all the polar bears.

Less freight being hauled as well[an indicator of this fine economy according to Obama ]
Simple supply & demand.

Supply and demand. In years past, a lot of the US diesel was being shipped overseas since they could get a better price for it in Europe and China.

It has been that way here in Colorado for at least 6 months.

Remember when the refineries said that they wee operating at peak capacities and even if there was more crude,they couldn't make more fuel and that was what driving the price up to $4 a gallon.
Then they came out and said diesel was 50 cents a gallon higher than gas,because they got less diesel out of a barrel of crude.

You can't believe anything the oil companies say

Yeah that is laughable. Around here the prices change daily and they get a shipment once a week , go figure.

The switch to low sulfur diesel created a production bottleneck. Then a lot of China's factories started running on gen-sets because they could not get reliable electricity of the net. So for the refineries, it was easier to just export the diesel, rather than invest in the additional equipment to steam out the sulfur for the domestic market.

Then, China started building electrical plants like there was no tomorrow, the Euro market for transportation fuel went soft, and the US market for transportation fuel (semi-trucks) is down considerably.

So Chinese, European AND American demand for diesel is soft, and the proportion of gas / diesel is somewhat fixed, so the relative price of diesel is coming down.

It was cheaper than gas forever until diesel pickups became popular in the 90's. Then they jacked it up because they figured if a guy could pay $7000 more for his pickup he could pay more for his fuel too. It's an oil company imposed luxury tax.

A couple months ago we saw diesel selling for less than gas, but that has reversed, but the cost is still pretty close. If we could read the future and new this was going to continue it would be worth getting a diesel.

Denver

Gasoline. $2.10

Diesel. $1.99

Nah, it was because of hurricanes, maintenance, and seasonal change-over.

That begs the question why was diesel so much more before the oil field boom.

I'm not sure about retail because I buy it wholesale but it's not that much cheaper. I just looked at my bill from April and as of Friday I paid $2.21 for Diesel and $2.18 for Gas.

A friend who works at a refinery can't explain why diesel is higher. He said it is cheaper to produce then gas. This was a few years ago.

.20 cents a gallon less than unleaded regular here in Indy though is is slowly approaching .010 difference. Never understood how a product that was less refined than gasoline could cost more.

This is correct, but don't forget that diesel has +/- 10cts/gallon (State and Federal combined) in extra taxes compared to gasoline.

Supply & Demand

west coast its all price manipulation....

got fuel up in Portland last week for $2.02 a gallon diesel was running under $2.00...

down in Southern Oregon, we have two companies that run a big percentage of the fuel stations in the Rogue Valley...

87 octane is running $2.50 a gallon, some places are running 20 to 25 cents more for 89 octane and then another 20 to 25 cents a gallon for 91/92 octane...

diesel is still sorta under 20 cents or so less a gallon...

I don't own a diesel, so Oregon's pricing at truck stops is sorta hard to follow... one price with PUC/ Cash, another price with PUC and Credit, then another price for no PUC & Cash and a fourth price for no PUC & Credit...

PUC: Public Utility Commission Sticker....
you don't pay state tax at the pump, you are billed monthly for it by the state, them keeping track of how much fuel you burn...

This state is antiquated on such things...

No no no. It used to be cheaper to produce. Then the EPA demanded lower sulfur content and all new refining stuff had to be built.

Dutch thanks for the explaination.

If people only knew how much extra money they spend because of EPA regulations. It's not just petroleum.

The humor forum is down in the basement.

Here in so. Idaho, both gas and diesel prices have been inching up for weeks. Both have gone up .50 over the last month. Today I saw unleaded for 2.19 and diesel for 2.39.

Alaska too. Been that way for a few months. Must be all that "green" energy cutting down on diesel use, causing these lowe- than-gas prices. (Sometimes I crack me up....... )

I bought 53 gallons of unleaded just yesterday from the bulk plant at $5.6065 a gallon, with my geezer discount (no local taxes applied, as I am a senior- one advantage of living in an Eskimo culture.....).

$297.14.

Of course, that has been the set price since the fuel barges came in last fall. I probably should have waited until September when they get here again, as I won't be using any significant amount of fuel until then. Here.

Many years ago I read that diesel was a by-product of making gasoline, and at that time, gasoline was about $1.00/gal. The article said that the cost to produce a gal of diesel was about $.10/gal. This was before the low sulfur laws, so I'm feel pretty sure it cost more to make a gal now. Just how much more is the unknown, but if the article was true, an increase of 900%/gal seems like an awful lot, just to get the sulfur content lowered.

Oil company price gouging is all it is. Just like the '73 gas shortage... the only place that had a gas shortage was the gas pumps. The refineries were full.

I know you guys hate the "oil company" but when the new sulfur rules were enacted, new units had to be built to make the stuff. This little piece of machinery was one of the first on-line at $18 billion construction cost and $800 million recurring cost per annum (excluding materials). Good businesses don't go bankrupt.

Deaf ears Pat, deaf ears.

Like every other campfire thread, 10-20% knowledgeable posts & 80-90% bs, conjecture, assumptions and conspiracy theories...

Let's just say I know a little about diesel & gasoline prices, trading, refinery operations, gasoline blending, etc. Oil companies have NO control over product pricing, make more money on gasoline than diesel, ...

Oh, by the way, gasoline sulfur specs drop to be inline with diesel in 2017. Guess what's gonna happen to gasoline pricing then?!?

Yup...you should see all the construction going on now. (Well...you probably do. )

Absolutely. Ignorance abounds here on 24HCF, especially on this subject.

Maybe ignorant,but it doesn't take a genius to figure out when one argument from the oil companies and economist is given one year why prices rise and then the next time that argument is thrown out for one completely opposite that someone is sure as hell controlling prices. Price of crude goes down,so you stop pumping,reduce the amount in storage and drive the price up.

I can have empathy for those that own a fuel station.. working at one a family member owned for a couple of summers back in my college days, I saw how the company who owned the station ( Texaco) kept playing with the dealer constantly...


according to some of you boys who work in the field or the industry, we don't know squat....

okay, lets accept that as a point...

but each one of us are consumers, and fuel isn't the only product we buy in our lives...

yet you've got a hard argument to convince each one of us, that paying twice as much for a product is better for us all, and the entire country as a whole..., than paying something much less...

Seems like its good for the people selling, but not so much for those buying the product...

I lost all respect for the oil companies way back in 1974, when the east coast was lined up with tankers off of our shores for months, unable to unload product, due to refinery tanks being full...

yet the oil companies were telling us all there was a fuel shortage, and I guess expecting that the entire public was stupid enough to believe them.. while knowing that those tankers sat at anchor off of our coasts...

so the government demands cars get better mileage, which the industry responds, and then oil companies are complaining that they aren't selling enough, so they decrease production and want more money for it...

Supply and demand is a term that is highly manipulated by people in the stock market called speculators that try and artificially set, and prop up prices... or are we suppose to be stupid on that also....

While we are supposedly "dumb" and "know nothing".. I guess we are not stupid enough for some of you experts, because we just can't still see how paying twice as much is better for us and our nation....

Why don't the next time you 'experts' go buy a new $50K or $60K pickup.... I'm sure you're already paying full sticker aren't ya .... but why don't you pay the dealer or manufacturer a $100K or $120 K for the vehicle... I mean after all, the more you pay ( according to the logic you're trying to sell us) is "good for the rest of the country" and good for we consumers personally....

Then you can feel good about it, the way you expect the rest of us to 'feel good about it'....for shelling out much higher prices for fuel...

you boys need more competition, with all of these big oil companies merged... they need to be broken back down into a whole bunch of smaller companies....

Amen John !

If there were two brands of pickups...

Pickup 1) Made in America by American workers and costs $100k

Pickup 2) Made in the Middle East by Sand Naggers and cost $50k

I would buy and feel very good about Pickup 1.

Crude Inventories have gone up every week for the past several months and are at an all time high. They just came out today and they're up again by another 2M/bbls. So the supply has been going up, and crude has been going up. How do you explain that?

I'll answer it for you since you obviously don't know......it's called Wall St.

Seafire, I certainly understand the frustration people have with volatile fuel prices. Notice I used the term "ignorant", not stupid. I think you are far from stupid, but you cannot compare a traded commodity with an item like a vehicle.

Let me ask you a couple of questions if I may:

1. What should the price of crude be today and why?
2. What should the price of unleaded gasoline be today and why?
3. If you were producing a product at a loss, would you keep producing that product?


Make no mistake....I am no friend of Big Oil, not by a long shot. You can blame Uncle Sam for letting the oil companies merge back together, the same Uncle Sam that made them split up decades ago. You can also blame speculators last week for rising fuel prices. They were optimistic about the possibility of OPEC agreeing to freeze production at their meetings. Well, it didn't happen, and prices have started falling again over the last couple of days.

Also, Convenience stores make very little $$$ on fuel, often 10cts/gallon or less unless they are in areas of less competition. They'd much rather make huge margins on fountain drinks, bottled water, and food that consumers don't mind paying 10 prices for.

BTW, here's todays EIA Inventory reports FYI: Make special note of the huge demand for gasoline......

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