Diesel Fuel Prices Versus Gasoline Prices

July 6, 2011 By

History has it that the gasoline prices have been higher than the diesel fuel prices.  But then again, this does not always hold true.  During some winters, the demand for distillate heating oil increases which also raises the price of diesel fuel—so much so that is becomes more expensive than gasoline.

In the United States since September 2004, the price of diesel fuel has been by and large higher than the price of gasoline all year round and this is due to numerous reasons.  The worldwide steady increase of demand for diesel fuel and other distillate fuel oils has put pressure on the tight global refining capacity—more so with the strong demand of such products in China, Europe, and the United States.

The transition from low sulfur diesel (LSD) fuel to ultra-low sulfur diesel (ULSD) fuel in the United States has affected the diesel fuel production and distribution costs.  This is due to the new Environmental Protection Agency (EPA) standards for diesel fuel sulfur content.

Another reason for this shift in the norm between gasoline and diesel fuel prices is that the federal excise tax on the latter is higher than the tax on gasoline.

The Primary Factors Affecting The Price Of Diesel

Cost and supply of crude oil – The worldwide supply and demand of crude oil determines its price, and the rising demand has put great pressure on the supply.  The Organization of Petroleum Exporting Countries (OPEC) has all of the spare production capacity and possesses a significant percentage of the world’s crude oil reserves.  The prices spike as a response to the disorder in the international and domestic crude oil supply.

Tight refining capacity and international diesel fuel demand – Refineries in the United States have been in operations at around 90-percent capacity.  Other countries depend more heavily on distillates and diesel fuel than does United States, thus making the refining capacity tight worldwide.  Competing international demand for refined distillates affects the price of diesel fuel in the United States.

Product supply/demand imbalances – The prices of other commodities are more stable as compared to the prices of fuels because of the dependence on petroleum and because there are few alternative fuels in the market.  The stocks decline fast if the supply declines unexpectedly.  When stocks are low and declining, some players may bid higher for the product.  Prices will stay high if the diesel fuel transportation system cannot support the flow of surplus supplies.

Seasonality in the demand for diesel fuel and distillates – The price of diesel fuel slowly rises during the fall, declines in the late winter, rises through the early spring, and then declines in the summer.  The demand by farmers during the different seasons creates an upward pressure on the diesel prices.

Transportation costs – The distance between the retail location and distribution terminals and refineries has a direct relationship with the transportation cost—that is, an increase in one increases the other.

Regional operating costs and local competition – Depending on the location of the dealer, the cost of doing business varies which include wages and salaries, benefits, equipment, lease, insurance, overhead, and state and local fees. Even if retail stations are in close proximity to one another, they still have differing costs.  Another factor that affects diesel fuel prices is the number and location of the local competitors.

Gas prices are rising and you are feeling the pinch everytime you top up diesel fuel at the station. The best way to get out of the increasing fuel price is to look into alternative fuel.

Question by Aaron: Are ceramic membranes a key to alternative fuel?

I made obscure studies on filtering technology and how this one can actually create hydrogen fuel. but however i also heard that it takes more energy to create this fuel energy than it is to use it but with ceramic membrane is this a different story?

Best answer:

Answer by Peter
No The laws of physics will still apply no matter how you create the hydrogen fuel.

Add your own answer in the comments!

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Hydrogen Fuel Cells- A True Alternative to Gasoline?

June 30, 2011 By

There is present and future fuel alternative that is certainly gaining more notoriety.  Hydrogen fuel cells are a potentially great way to address two of growing energy concerns in America today, including those living in La Selva Beach homes. The reduction of carbon dioxide emissions and lessening our dependence on foreign petroleum resources is extremely important.  Hydrogen can be produced from abundant and diverse domestic resources, and the fuel cells in production and development can provide a clean and efficient way to use this energy.  Together they represent an extremely different approach to energy conversion and transportation.

FCV’s or fuel cell vehicles are propelled by electric motors. However, unlike battery electric vehicles, which gain their energy from an external source, FCVs create their own electricity. Just think, as you’re driving back to your La Selva Beach home, you’ll have both a clean fuel source, and the power you need to get the job done.  The onboard fuel cells create electricity through a chemical process that uses hydrogen fuel and oxygen from the air. The fuel is stored onboard in high pressure tanks. In addition, with the help of a “reformer” device, fuels such as natural gas, and methanol can be used after they have been converted to hydrogen gas. These vehicles are quiet, offer little emissions into the air besides water, and heat. In addition, their efficiency has been shown to be at least twice as comparable combustible vehicles.

In 1999, the members of the California Fuel Cell Partnership started to make progress towards creating and maintaining a commercial market for hydrogen fuel cell vehicles.  By 2008, a total of 250 fuel cell vehicles were driving down California roads, and refueling themselves at 25 stations scattered throughout the state.  California is one of the first states to recognize hydrogen as an alternative fuel source, and subsequently began the regulation process to enable retail sales of the fuel.  In July of 2008, members of CaFCP published a unifying vision for the expansion of hydrogen stations and fuel cell vehicles between now and 2017.

At this time, automakers project that thousands of fuel cell vehicles will be available for California consumers by 2012, and the earliest examples will undoubtedly be constructed using both private and governmental funding. With the expected increase in fuel cell vehicles on California roads, an estimated million dollars could potentially be spent to create the necessary infrastructure by 2013.

In a conference at the SAE 2009 World Congress in Detroit Michigan, people from Nissan, Toyota, and the National Renewable Energy Laboratory, hydrogen fuel cell vehicles will most likely be an important component of the nation’s transportation by 2050.  The main reason for this delay is the fact that a new infrastructure must be created, or the old one needs to be drastically changed in order to incorporate hydrogen as a fuel.  In addition, because of hydrogen’s volatile nature, safety is of great importance.  Thankfully, state of the art materials and techniques have made the fuel cells some of the safest sources for power on the grid today.

Making the switch to alternatively fueled vehicles is just one way that you can make sure that you grow, and the environment is preserved.  Making the right choice for you is dependant on a number of factors, including the availability of the fuel, performance of the vehicle, and your desired impact on the environment.  Before making any decision, do the proper research, and chances are you’ll make the right one for you.

Question by Armless Joe, Bipedal Foe: My new alternative fuel car won’t start. How long can I go without changing the hamsters?

What am I supposed to be feeding these guys anyway?

Best answer:

Answer by Mable VT is thinking, kinda
They need to be replaced every 3 months or every 600 miles.. Didn’t you read the pamplet?

What do you think? Answer below!

First run, 5.00mmw. All subsequent runs, 5.00mmw. Conclusion… Zero current leakage, maximum efficiency!

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Dealing With High Gasoline Prices – Alternative Fuel as an Option ?

June 19, 2011 By

Article by Fred K

The rising gasoline prices has everyone concerned about the future. Of course, with gasoline being the fuel of the most common form of transportation today, who would not be? And since gasoline is still a major fuel used by most cars in the world, there is nothing that can be done except deal with the changes. People may not have that much of an influence in lowering the current gas prices especially with the great demand for gasoline elsewhere in the world. The most effective means would be making a collective effort of minimizing gasoline use as well as trying to get more out of every gallon of gas as possible.

The pricing of gasoline is a combination of a number of different factors. One of the most important parts is the price of crude oil in the market. You can say that crude oil is the primary raw material from where gasoline is being derived from. In fact gasoline is a major product of crude oil. That is why crude oil accounts for more than half of the price tag of gasoline in gas stations. If the price of crude oil goes up, the price of gasoline also goes up.

Another factor that affects gas prices is the refining costs. Different states require certain refining regulations to be followed. This is to follow the certain standards in refining gasoline to make them acceptable for use locally. Certain refining additions to the process would likely add up to the retail price of gas sold in different states. Taxes are also considered a prime factor in setting the price tag for gasoline at retail gas stations. Different areas in the country follow different tax standards for gasoline.

Aside from the federal taxes, states also have their own set of taxes being placed on petroleum products. The higher the taxes placed on gasoline, the higher its retail price eventually becomes. The difference in state, federal and local taxes is also one of the reaosns why different states have different gasoline prices.

Dealing with the high gasoline prices for the car owner does not depend on these factors however. It has more to deal with trying to get the most out of every drop. And this usually means that car owners try to get the best mileage out of their vehicles when using them.

Good mileage does not usually mean having a new car. It also has a lot to do with a number of factors. For one, driving habits can also affect a car’s mileage. Aggressive driving can lay waste to gasoline use and reduce a car’s mileage quickly. Drivers who are prone to sudden and quick accelerations and fond of hard braking can put some strain into a car’s performance after awhile.

Another means of improving mileage that car owners can actually do is keeping up with their car’s scheduled maintenance. As the car is used day in and day out, it can aquire certain wear and tear along the way. A car’s scheduled maintenance process would enable the car to get much needed repairs and maintenance work even before things get worse. This can help maintain a car’s good mileage. The longer the car enjoys better mileage the better chance a car owner would have in dealing with the rising gasoline prices. Another way to get out of the increasing fuel price is to look into alternative fuel.

About the Author

To View Alternative Fuel Sources, please visit: http://Auto-Fuel.Blogspot.Com

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Alternative fuels: methanol, gasoline is still doubt

June 14, 2011 By

Article by liujianwu

Cars “drink”? Alternative fuels concern over friends should know that the market does exist such kind of vehicles using methanol fuel. It is not modified the engine, and added convenience, the price cheaper than gasoline, about 15 to 30 percent. But why not get the promotion? Press survey found that although the alcohol fuel into Xinjiang earlier, can be suspicious of people it has by far been difficult to eliminate.    1, issue: a long history alone record    In 2005, nine Chichiawan chemical market has opened 56 shops. “But less than a year I am alone on the left.” Currently the only still operating methanol fuel project leader Sun Yonggeng said, “although it is much cheaper prices, less emission pollution also can not support the policy, or difficult to be accepted by the public. “    It is understood that month came to “drink” of the vehicle can only be maintained at about 200. Reporter conducted a survey among nearly 40, including 85% of people said that this new type of fuel do not know. Is it safe? Will the vehicle damage? Really save fuel, are difficult to unlock the hearts of many people’s mind.    Owner Mr. Yang said: “This kind of attempt or less as well. Car, after all, own, how can easily carry out experiments on it?” The voice of Mr. He also represents many owners of scruples, “in case of accident how to do? Knock it likely to hear much larger than gasoline. “    2 Status: Only to be “small minority” groups receiving    Among the opposition, the reporter also interviewed several years longer to use methanol fuel vehicle owners, several of them, or who changed several vehicles are still insists to use. Owners of summer master said he has been using this fuel in 2067 was. Add the current ratio is 1:1, there is no feeling of vehicles affected. Comparison of 20 kg of fuel to add down, basically to save oil costs around 40 yuan. Three directors who changed the master told reporters the car, though his car has been changed from Hafeisaima to the Audi A6, can be fuel for many years remained unchanged. The only regret is that long distances can not increase.    It is understood that methanol fuel can not only save money, also has a high cleaning performance. From the Xi’an Environmental Monitoring Station, Chang’an University, on the combustion of methanol gasoline vehicle emission test results show that the exhaust gas, carbon monoxide, hydrocarbons, nitrogen oxides and other particulate matter air pollution standards than the national average, down 80% to 90%.    Why is the market response was so cool? Sun Yonggeng that the main reason is that methanol fuel has not been in large scale, can not be added outside the urban area; In addition, the fuel needs of the concentration ratio and cosolvent are scientific formula is not ideal conditions, but also will be a lot of side effects.    Related links:    What is methanol and petrol?    Methanol fuel is part of the methanol added to gasoline, methanol fuel cosolvent mixture M-series hybrid fuel. More widely used in China is the M15 and M85. One, M15 can be used in a variety of petrol engines, the engine does not change the existing structure, alternative use of finished gasoline, can be mixed with oil. The M85 and M100, required changes to the vehicle engine, install a flexible fuel identification system.

About the Author

I am a professional editor from China Suppliers, and my work is to promote a free

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When will we stop using gasoline and find an alternative gas?

July 26, 2010 By
alternative gas2 When will we stop using gasoline and find an alternative gas?


Also, if anyone knows, when will there be a large production of cars that run on electricity or other energy on the market?
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Can somebody explain to me how fuel injection?

June 8, 2010 By


works for alternative fuels, how does hydrogen cell technology work. I am trying to replace fuel injection of gasoline with fuel injection of hho gas. Any help greatly appreciated.

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We need alternative energy sources/solutions. Should hydrogen/fuel cells be one of them?

December 29, 2008 By


Is it worth it for the government to invest in the hydrogen market, or can science already show that it is a dead-end as far as reducing our dependance on oil and reducing overall emissions?
There is no doubt that hydrogen will work as a fuel source, but is it worth the investment from the government? If the goal is to reduce overall greenhouse gases and dependance on oil, is hydrogen actually a solution?
Thanks for the info, don. Sounds like another future solution (which would be a NOW solution had we been seriously pursuing these things years ago).
Thor, to convert to hydrogen in our current state would actually increase our demand for oil. It is all a matter of how hydrogen is produced, energized, stored, transferred, etc. The overall impact of hydrogen is worse for the environmetn right now than gasoline. So, if I had my choice, I’m sticking with gas/oil.
Now, if the situation were ideal and we had excess hydrogen from nuclear power, that would help but not solve the problem. Hydrogen itslef is not a fuel source. It is a carrier, much like an electric line. The hydrogen must still be energized, which is a very wasteful process that requires tremendous amounts of fossil fuels.
TRM, I’m not sure what you are saying. Could you specify a little?

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How can cars that run on gasoline be converted to run on hydrogen fuel cell?

September 20, 2008 By


I previously posted a question on can cars be converted to fun from gasoline to hydrogen fuel cell. many of you said yes but i still dont know how it can be converted and exactly how much will it cost? thanks a bunch!

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How much Hydrogen is needed to react in a Hydrogen fuel cell?

September 19, 2008 By


So, my question is if anyone knows or can point me to a link is, how much compressed hydrogen is needed to react with a fuel cell to produce enough electrical power to at least equal the amount of drivable distance as a modern gasoline powered car? I can understand that no one may know this as a result of industry secrets and what not, but ill take anything.

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