OT: Gas Prices

Renegade 13 · #1 May 7th, 2007, 07:58 PM

Here in Canada, we haven't been below $1 (CDN) per liter for a long time now (approximately equal to $4/gal). We produce a hell of a lot of oil domestically...too bad producing oil domestically has nothing to do with price, since NAFTA screws us over, as usual.

Atrocities · #2 May 7th, 2007, 08:30 PM

In my state we have the 6th highest gas tax and currently are paying $3.50 a gal for regular. We have three refineries and get our oil directly from Alaska. So I ask you, why the hell is the cost of gas so bloody damned expensive here? Simple, price gouging. The State AGO and many legislators are looking into it. Of course the oil company's, much like the tobacco companies and the energy companies, deny any wrong doing, but we all know better.

aegisx · #3 May 7th, 2007, 08:52 PM

It is not as simple as gouging.

http://www.ftc.gov/opa/2006/05/katrinagasprices.shtm
http://www.illinois.gov/gasprices/pgVspv.htm
http://www.washingtonpost.com/wp-dyn...042701693.html

Fyron · #4 May 7th, 2007, 09:06 PM

*waits for GuyOfDoom's snarky response to aegisx' links, which largely factor in that whole supply and demand thing*

"...the post-hurricane gasoline price increases at the national and regional levels were approximately what would be predicted by the standard supply-and-demand model of a market performing competitively. The conduct of firms in response to the supply shocks from the hurricanes was consistent with competition. In particular, firms diverted supply from lower-priced areas to higher priced areas, firms drew down their inventories, refineries not affected by the hurricanes increased output, and gasoline imports increased."

aegisx · #5 May 7th, 2007, 10:00 PM

More data:

http://www.eia.doe.gov/emeu/perfpro/major_findings.htm

The pdf linked there tells you the how much and why.

Will · #6 May 7th, 2007, 10:25 PM

Until there is a cheap, reliable, and scalable method to convert cellulose crop waste into ethanol and misc other chemicals (one would hope fertilizers for the next generation of crops...), ethanol is not the way out. Hopefully some of the research dollars going into biotech can finance a marketable solution. I'm not holding my breath yet.

I suppose American taste in cars doesn't help either. Or the fact that many Americans are so gullible when it comes to marketing claims. For example, I saw an ad for a new Lexus car, a "green, SULEV (Super Ultra Low Emissions Vehicle)"... that gets 23mpg. That does not strike me as Super Ultra Low Emissions...

Spectarofdeath · #7 May 7th, 2007, 11:29 PM

It might not be ALL about price gouging but come on, you think those companies aren't watching people getting pissed off about the cost and screaming for new fuel sources? Once those sources are found and established it's going to be bye bye for the oil companies, at least the ones that dont have their hands in the cookie jar and are pulling the strings behind the companies that establish those new sources. It might not even be bye bye, but it more than likely will be bye bye to $36 billion in profits. Which means no more $400 million retirement packages. Which means, "Lets gouge now, just in case, call it a parachute".