Thread: Interesting Observation

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Thanks Uncle Bob, That does explain a lot as to the Diesel prices. I didn't realize or monitor that Gov. Regulations and taxes were the compensating factors.
Jerome

Uncle Bob,
I believe that at the same time the sulphur limits were tightened the federal government made the decision that the government reserves of diesel had to be the new low sulphur fuel, which put a severe strain on the refining system and contributed to the price peaks of both gasoline and diesel. Had their approach been to phase in the amount of low sulphur fuel in reserve over a year, or to simply decide that an emergency reserve of diesel could be higher in sulphur (in a true emergency would we really be concerned?) the impacts would have been much, much less.

Good to know it's not just greed that regulates the industry and pricing. I still find it funny that gas is about 5 cents a gallon more here than it is 10 miles to the south, and 10 miles to the North. Even more wierd that I live closer to the refinery, than say 100 miles to the north, but gas there could be 10 cents cheaper!