In article <df9rcs$np1$1@bent.twistedbits.net>, jon@dakota-truck.net writes:
>
> Yep, plus another thing I have yet to figure out is the price of diesel
> as compared to gasoline. One would *think* that they would basically move
> in lockstep, based on the crude oil price, but they seem to be quite
> independent of each other, and as you say, not necessarily completely
> dependent on the price of crude. Sometimes diesel will be cheaper than
> gas (it used to be a LOT cheaper), other times it can be $.20/gallon
> higher! As far as I can determine, of the amount of crude oil consumed in
> the US, gasoline accounts for a tad over 40%, and diesel/heating oil 20%.
> So it would seem that diesel is in much less demand than gasoline, plus it
> is less refined and thus should cost less to produce. Yet it is quite often
> as expensive (or more expensive) than gasoline. This is something that has
> puzzled me and unfortunately I just don't know enough about the situation
> to be able to explain it. The only thing I can think of is that diesel
> consumers are probably less able to be "picky" than gasoline customers.
> People who use diesel are truckers, ships, industrial customers, etc. These
> are the people who basically *must* buy it or they will imediately go out of
> business. It may be that the gasoline companies know they can gouge these
> people and there's not a lot they can do. Many consumers of gasoline on
> the other hand have the option of purchasing a more fuel efficient vehicle,
> driving less, taking alternate means of transportation, etc. That's all I
> have been able to come up with so far...
Since Diesel and #2 Fuel Oil are so close to each other in molecular chain
(15-18 carbons per molecule), I would suspect that diesel prices would be
affected by the demand for heating oil as well.
Walt
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