ULSD only causes a small portion of the pump price when compaired to LSD. Even if we could some how get past the tree huggers and reverse the law; that price increase is here to stay. The updates to the refineries to provide ULSD have been made and will have to be paid for no matter if we use them or not.
Things like supply and demand cause a bigger markup on diesel than gas. A refinery can only get so many gallons of diesel out of a barrel of oil. When demand of diesel goes up (from small pickups) this causes a surplus of gas and shortage of diesel. Gas price goes down and diesel price goes up. A chain gas station sells gas and diesel. For the gas they have to compete with 3 other gas stations on that same corner to get you to buy gas from them. But to sell diesel they have to compete with the truck stop down the road that has 3 acres of concrete to pay for. The markup on gas becomes smaller while the price of diesel stays high. For this next one we have to use some figures so do not hold me to the exact numbers. They are only a example to explain a point. Go to a store and price ULSD clear for road use. Now price ULSD red for off road. The price differance is say 13 cents. But your state fuel tax on diesel is 18 cents. Where did the other 5 cents go. Do I really need to tell you; it was not the refenery.
Then we add speculation of wall street; the fact that only a few gallons of LSD left in a tanker when unloading can contaminate a whole load of ULSD; global demand of diesel; the price of $100 a barrell oil; the fact that most if not all big companies could care less what the price of diesel is because they just pass it on in the fuel surcharge; the U.S. population and the way they are today in needing a diesel pickup for a grocery getter just because the neighbor looks with envee.
I could go on and on............ but you get the idea. Way over the head of the average Joe.
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