Posted by Mathias NY on December 26, 2007 at 10:15:29 from (12.4.26.248):
In Reply to: Re: fuel mileage posted by IH2444 on December 26, 2007 at 06:49:12:
Supply versus demand and production capabilites play a significant role here too.
As it was explained to me, diesel fuel is a byproduct of the refining process. So there is a maximum and a minimum amount of diesel produced for each barral of crude that is refined. There is some flexibility to that ratio, but it is not as variable as gasoline.
A good portion of homes heat with fuel oil, aka diesel fuel. The price for this explodes in the fall and winter months because the damand does too. In the spring and summer months where demand is lower, production is relatively unchanged and the price will drop.
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