Fuel Price Gouging

[Orv]

Originally Posted by jpau00

It's all relative of course. What I pay when living in CA is much higher than what I pay when in OH no matter what. The point being it was a .30 hike overnight and about .15 more than the highest price in Dayton all summer. No way the spike in oil has had a chance to effect the consumer market yet, so they are just jacking up the price because they can.

They have to charge what they think it'll cost to replace their supply. Speculation on the commodity markets drove oil prices up immediately.

[BroncoHauler]

Originally Posted by Orv

They have to charge what they think it'll cost to replace their supply. Speculation on the commodity markets drove oil prices up immediately.

Absolutely agree, whether I like it or not. It's all about supply and demand, just like the demand for camper vans outstrips supply, so that's why people can sell them for so much. I don't see anyone selling an SMB or other camper van based strictly upon depreciation of the investment, they price it based upon what they think they can get based on the market.


Herb

[daveb]

Again premium gas has surpassed the price of diesel in my little town. Some stations jacked up the price of diesel to 3.99/G but the gas took a huge jump and premium is averaging about 4.10/G at the cheaper stations. Ouch.

[Driveabout]

Here’s some facts to add the the CA price-gouging discussion and its causes:

As of 9/30/19:
- CA oil production: Down 18% since 2010 due to the exhaustion of older wells & the regulatory costs to drill, while U.S. production (enough to offset the Saudi production loss)
- Result: CA, is dependent on foreign imports, especially Saudi oil, which has higher CO2 emissions
- CA has helped close refineries due to environmental regs and low product prices and there are fewer refineries outside CA that produce the unique fuel blends required by CA
- CA gas tax $0.61, highest in U.S.
- CA is now $1.40 higher than the U.S. average

[ShuttlePilot]

After leaving White Sands Proving Grounds Diesel was 2.79$ in Socorro, NM this morning. Nothing more to report.

-Eric