Re: slightly off topic the price of diesel

Posted by john in la on March 27, 2005 at 08:41:36 from (68.222.52.203):

In Reply to: slightly off topic the price of diesel posted by Jim K on March 27, 2005 at 07:40:13:

Well you could say that heating oil is driving the price of diesel but that is truly only a very small off set.

It really comes down to supply and demand.

Look at it this way................
You own a service station that has both gas and diesel. You have 10 other gas stations with in 1/2 mile but only 1 of them sells diesel. You have contracts with big trucking companies that says you will give them X amount off the pump price if they buy all there fuel from you.

So you tell me...... Which product do you think you can mark up the most and not realize a loss in sales to the average Joe that needs fuel for his pickup. GAS OR DIESEL??????????

A second point to road diesel prices is the fact of the government reducing emissions. The rack where we load has just added a injection system to inject a additive into the diesel and they are talking about going to a ultra low sulpher diesel very soon. The engine manufactures are complaining that they are doing all types of changes to the engines to reduce emissions and it is now time for the oil companies to do something to help out. We just went through a emissions reduction on all new engines a year are so ago and have another reduction deadline in the next year are so.

Some body has to pay for all these tree huggers and you know it will not be the oil companies so we elect you to spring for the cost.

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