[xarkz]

diesel is cheaper in many countries in europe. Is it subsidized there?

[Zardoz]

Diesel: The truck stops here

$this->bbcode_second_pass_quote('', 'T')he kid who delivers your pizza may be charging you an extra buck for gas, but for the guy that trucked the tomatoes, hauled the dough or milked the cows, passing along the fuel increase isn't as easy as pie.

From truckers and farmers to loggers, construction workers and fishermen, skyrocketing diesel prices are pushing what many consider the backbone of the American economy right up to the breaking point.

"I'm in debt," says Jim Gossett, an owner/operator truck driver with a wife and daughter in Chapel Hill, N.C. "Do I turn in all my equipment, potentially lose my home?" For the last nine years Gossett has driven a truck. For the last few he's been running a specialized carrier, delivering boats to marinas and dealers across the country.

He says his profit margin used to be around 25%. But with the near-tripling of diesel prices over the last few years, he now says that has been cut to 5%. He says cutthroat competition in the industry means he's unable to pass along the increased cost.

[Waterthrush]

Do you think it's possible that producers are passing along higher producer prices on diesel and not on unleaded gasoline? I know the two products are different, but if oil companies were desperate to keep the lid on public outrage over fuel costs (and the resulting possibilities of windfall profits taxes, regulation, and liberal progressive government, might they just jack up the price of diesel to balance the budgets?

Let me know if this is an impossibility. I'm just trying to figure out what is going on.

[DantesPeak]

$this->bbcode_second_pass_quote('Waterthrush', 'D')o you think it's possible that producers are passing along higher producer prices on diesel and not on unleaded gasoline? I know the two products are different, but if oil companies were desperate to keep the lid on public outrage over fuel costs (and the resulting possibilities of windfall profits taxes, regulation, and liberal progressive government, might they just jack up the price of diesel to balance the budgets?
Let me know if this is an impossibility. I'm just trying to figure out what is going on.

[DantesPeak]

Note that South Korea has halted exports of gas oil (similar to diesel) and gasoline. I am not sure how much SK actually sends to the US, if anything, but it does mean that the US has to compete for a more limited supply of diesel due to many problems with supplies around the world.

$this->bbcode_second_pass_quote('', 'S')-Oil declares force majeure after outage-sources

SEOUL, March 26 (Reuters) - South Korean refiner S-Oil (010950.KS: Quote, Profile, Research) has declared force majeure on April-loading oil products including gas oil and gasoline due to an outage earlier this week, two trading sources said on Wednesday.

Whether jet fuel supplies will be disrupted was not immediately confirmed as traders had different information. "Gas oil and gasoline supplies will be delayed for sure, but S-Oil is saying that it has some stocks left for jet fuel," said a trader who buys products from the refiner.

But another jet fuel buyer in Asia said S-Oil had notified supply disruptions earlier in the day.

[shortonoil]

$this->bbcode_second_pass_quote('DantesPeak', ']')Note that South Korea has halted exports of gas oil (similar to diesel) and gasoline.

[gnm]

$this->bbcode_second_pass_quote('shortonoil', 'U')sing the historical ratio of crude costs to gasoline, 34%, oil at $105/barrel would now put gasoline at $7.35/gal. Someone is eating a whole lot of losses.

[frankthetank]

I know people here disagree, but i think someone in the government or in the shadows is keeping the costs low... I still wonder if we'll see $4 before GWB is out of office. Remember his little response to that reporter mentioning the prospect of $4? He hadn't heard about that. Maybe they'll keep the price low/riots low until they are in Paraguay?

[shortonoil]

$this->bbcode_second_pass_quote('gnm', ']')Brilliant! Succinct. Thanks for that chart. I have been wondering for quite a while now who is eating that and why. Are the refiners being magnanimous? Did they just wake up and say, Hey, these prices are going to be hard on the people, lets reduce our margins to barely above operating costs....

[DantesPeak]

Guess who is making up for the shortall caused by South Korea?

Yes the US. While US supplies of diesel run down to low levels and truckers complain about high diesel prices and plan protests, diesel exports have increased. While I am not an expert on this, usually the US does not export much diesel.

Per the Wall Street Journal, diesel prices are up 8 cents/gallon today and 126 cents/gallon over the last year.
$this->bbcode_second_pass_quote('', '"')I heard two, maybe three, cargoes done within the past 48 hours," said one Gulf Coast distillate trader.
Other sources said the cargoes were said to have been sold by Valero, and were destined for Chile and possibly Mexico who was short due force majeure due of South Korean barrels.

[whereagles]

$this->bbcode_second_pass_quote('xarkz', 'd')iesel is cheaper in many countries in europe. Is it subsidized there?

[whereagles]

$this->bbcode_second_pass_quote('', ' ')I am not an expert on refinery operations but from what I've read here on how a barrel of oil is cracked into components, such as diesel and gasoline, output can not be varied very much once the refinery is set up to operate in a certain way (some adjustments can be made during maintenance operations).

[Tanada]

$this->bbcode_second_pass_quote('whereagles', '')$this->bbcode_second_pass_quote('', ' ')I am not an expert on refinery operations but from what I've read here on how a barrel of oil is cracked into components, such as diesel and gasoline, output can not be varied very much once the refinery is set up to operate in a certain way (some adjustments can be made during maintenance operations).

[whereagles]

$this->bbcode_second_pass_quote('Tanada', '1'). Kerosene already IS diesel fuel, #1 to be specific. 2. How the heck do you make Gasoline diesel engine compatible, mix it 50:50 with motor oil?

[frankthetank]

If this in any indicator, they still want an arm + leg for a TDI Jetta on craigslist when i see them from time to time. However, i have seen a LOT of diesel trucks for sale lately around here. I'd still love a TDI Jetta...

[Gerben]

The largest trucking company in the Netherlands (one of the largest also in Europe) is switching from diesel to LNG. Also a lot of city distribution companies are now experimenting with CNG. 1 company I know bought a couple of diesel/CNG dual fuel trucks. Also lots of public transport is switching to CNG. We will adapt.

I sometimes add a few bottles of vegetable oil to my tank. Not sure if my next car will be a diesel again though. I don't drive as much as I used to.

[Pholostan]

Ethanol Powered Diesel Car

$this->bbcode_second_pass_quote('', '
')Technical facts
Saab 9-3 with an original Saab diesel engine, where combustion chamber, fuel system and engine software have been modified.

- Max power 195 h.p., torque 410 Nm

- Low fuel consumption, road tests show approx. 5 lit/100 km

- 95 % less fossil CO2, minimal dangerous hydrocarbons and nitric oxide exhaust emission and basically complete elimination of particle emission.

[wisconsin_cur]

$this->bbcode_second_pass_quote('frankthetank', 'I')f this in any indicator, they still want an arm + leg for a TDI Jetta on craigslist when i see them from time to time. However, i have seen a LOT of diesel trucks for sale lately around here. I'd still love a TDI Jetta...

[wisconsin_cur]

$this->bbcode_second_pass_quote('Pholostan', '[')url=http://www.e95.eu/]Ethanol Powered Diesel Car[/url]

$this->bbcode_second_pass_quote('', '
')Technical facts
Saab 9-3 with an original Saab diesel engine, where combustion chamber, fuel system and engine software have been modified.

- Max power 195 h.p., torque 410 Nm

- Low fuel consumption, road tests show approx. 5 lit/100 km

- 95 % less fossil CO2, minimal dangerous hydrocarbons and nitric oxide exhaust emission and basically complete elimination of particle emission.

[Smudger]

I certainly recommend the VW Polo Bluemotion. I have now had for three months and no complaints. It's not hitting the 70 mpg urban cycle but I do live on top of a hill. It has however given 40 mpg even when driving quite hard. its nippy too.