Experts: $4 a gallon gas coming soon
- Thread starter Bob Hubbard
- Start date
jonah2
Green Belt
If my calculations are correct, the USA petrol prices are good.
Over here the prices just went up around 3p per litre to approximately Ā£1.00(UK) per Litre(UK)
1 litre (uk) = 0.2642 gals (US)
exchage rate as of 4:15pm (gmt) is Ā£1(UK) = $1.84(US)
That puts our petrol at $6.96(US) / Gallon(US)
Guess its time to walk to work
Jonah
Over here the prices just went up around 3p per litre to approximately Ā£1.00(UK) per Litre(UK)
1 litre (uk) = 0.2642 gals (US)
exchage rate as of 4:15pm (gmt) is Ā£1(UK) = $1.84(US)
That puts our petrol at $6.96(US) / Gallon(US)
Guess its time to walk to work
Jonah
I hear 'ya. I have to drive to columbus next wednesday. I guess it wouldn't be so bad if I didn't live 60 miles away :jedi1: . Hopefully gas drops down a penny or 30.OUMoose said:
Sure, prices could get up to US$4/gallon, but we actually got a price drop today, the first in quite a while. The high end, premium gas I use dropped from something like $3.41 or so to about $3.14. The most I paid so far was $3.75 when we had some spot outages (due to false rumors that the state was going to shut down the gas stations), but I had seen it get up to $4.17 at one location. BTW, there's typically about a $0.10 difference between grades in my area, so $3.14 high end should mean about $2.94 regular.
Yes, the price in the US is still cheaper than in many other countries. I've heard that we pay something like half as much. So even with the increases, we do have it good overall. And we probably should keep that in mind. However, when the price we are paying rises dramatically, up to around twice of what it was a year ago, people get upset. Many of those increases happened in a matter of weeks or a couple months, too. I read that some gas stations were changing prices up to three times a day. Given this sort of situation, I think being upset is a pretty natural reaction.
Yes, the price in the US is still cheaper than in many other countries. I've heard that we pay something like half as much. So even with the increases, we do have it good overall. And we probably should keep that in mind. However, when the price we are paying rises dramatically, up to around twice of what it was a year ago, people get upset. Many of those increases happened in a matter of weeks or a couple months, too. I read that some gas stations were changing prices up to three times a day. Given this sort of situation, I think being upset is a pretty natural reaction.
arnisador said:
Perception!
Now we are ready to accept $2.99 a gallon as stabilizing and better than the $4 possible.
Still frustrating.
Gas prices in my chunk of southeastern Wisconsin have started plummeting. Sunday, the lowest was 3.30. Monday, the prices were 3.25. Today, they're 3.07. Let's hope that they continue to go down.
One thing I hate is that there was still more than enough gas to meet national demand during the price spike. We had a surplus, but it was the fact that we had a smaller surplus that sent the prices up.
This, I feel is a blatant act of price gouging. The oil companies, both national and local, don't seem to have anyone to answer to.
This, I feel is a blatant act of price gouging. The oil companies, both national and local, don't seem to have anyone to answer to.
Flatlander
Grandmaster
From this table (pdf), I calculated that since 1995, the US has had, on average, 205.6 million total barrels of gasoline in reserve. In the first 7 months of 2005, the reserve has averaged about 204 million barrels, so, pretty close. Also from the table, current stocks (as of end of July 2005) would supply demand for approximately 14 - 15 days. Production yeilds about 91% of daily demand. At that rate, gasoline stocks would be depleted in 120 days, unless refining of crude is ramped up. Unfortunately, this article suggests that US refining capacity will be reduced by at least 2 major refineries for quite some time. Clearly, the US will need to import more gasoline for the time being.
This isn't the only problem, however. Subsequent to Katrina, "According to the Minerals Management Service (MMS), as of 11:30 Central Time September 6, Gulf of Mexico oil production was reduced by over 870,000 barrels per day." (source) This corresponds to a 16% decline in US oil production, according to further calculations base on numbers found here regarding current averages. Without increasing imports, US reserves will be depleted in about a year. So, the US will also need to import more crude. About 8.3% more than it currently does, in order to maintain current inventories.
This isn't the only problem, however. Subsequent to Katrina, "According to the Minerals Management Service (MMS), as of 11:30 Central Time September 6, Gulf of Mexico oil production was reduced by over 870,000 barrels per day." (source) This corresponds to a 16% decline in US oil production, according to further calculations base on numbers found here regarding current averages. Without increasing imports, US reserves will be depleted in about a year. So, the US will also need to import more crude. About 8.3% more than it currently does, in order to maintain current inventories.
arnisador said:
I agree
arnisador said:
hmmmm, I filled up with 13.5 gallons and paid about $42 to fill up.
arnisador said:Yeah, but you're obscenely wealthy. What about those of us without chauffeurs?
chauffeurs!
How Dare you, I enjoy the driving experience
hardheadjarhead
Senior Master
Rich,
This month's "Consumer Reports" has an article on the cars with the best mileage. Would you say CR is reliable with those estimates?
Regards,
Steve
This month's "Consumer Reports" has an article on the cars with the best mileage. Would you say CR is reliable with those estimates?
Regards,
Steve
Prices will drop as soon as a alternative starts gaining enough popularity that it hurts them.
Until then, what reason is there to drop fuel prices? People need it, and are willing to pay to keep there trucks and SUV's on the road. Once those people start driving hybrids or electrics or some other fuel source and fuel usage starts droppin, the fuel companies will drop prices to prevent more defection.
The alternatives will die, having invested a lot of money in getting started then the price drop on fuel kills the uptake, once the threat is gone fuel prices go back up.
Simple economics unfortunately.
Until then, what reason is there to drop fuel prices? People need it, and are willing to pay to keep there trucks and SUV's on the road. Once those people start driving hybrids or electrics or some other fuel source and fuel usage starts droppin, the fuel companies will drop prices to prevent more defection.
The alternatives will die, having invested a lot of money in getting started then the price drop on fuel kills the uptake, once the threat is gone fuel prices go back up.
Simple economics unfortunately.
OP
OP
I have a few questions.
1- Why has the Bush administration cut or eliminated funding for alternate fuel sources, except for fuel-cells? A technology that won't be feasable for at least 30 years?
2- Why can GM produce and sell a vehicle, a mini-van in fact that averages 43 MPG city for only $5,000 in China? They make a profit, it's Fuel-Smart, but not available in the US. (See Wuling Sunshine)
3- Why does buying a Hummer get you a tax break, but buying a hybrid not?
4- Why is the CAFE standards for the US only suggested to rise to 27.5 MPG car/22.5MPG SUV/lighttruck while the European Union is commited to requiring a 39MPG average for cars by 2008?
5- Why does the new energy bill give $8.1 BILLION! of it's $14.5B tax breaks to oil companies, who are already showing a 50% increase in profits?
Hmm....
1- Why has the Bush administration cut or eliminated funding for alternate fuel sources, except for fuel-cells? A technology that won't be feasable for at least 30 years?
2- Why can GM produce and sell a vehicle, a mini-van in fact that averages 43 MPG city for only $5,000 in China? They make a profit, it's Fuel-Smart, but not available in the US. (See Wuling Sunshine)
3- Why does buying a Hummer get you a tax break, but buying a hybrid not?
4- Why is the CAFE standards for the US only suggested to rise to 27.5 MPG car/22.5MPG SUV/lighttruck while the European Union is commited to requiring a 39MPG average for cars by 2008?
5- Why does the new energy bill give $8.1 BILLION! of it's $14.5B tax breaks to oil companies, who are already showing a 50% increase in profits?
Hmm....
