What the heck is happening with diesel prices?

[kyle4501]

  The perish-ability of fuel is one of the very reasons a boycott could have such an impact.

Any price reduction would be temporary as they would then cut back on production to ensure they sold it all next time & the resulting shortage would run the prices up - thereby replacing the lost revenue from the boycot.

It isn't "too expensive", if it was, it wouldn't be sold in the large volumes. When the hurricanes hit the gulf coast & the refineries & pipelines had to shut down for several days, the news media showed an interview with a person talking about how she absolutely couldn't afford the higher price of gas on her fixed income & that she would not pay it. So, as a result, she was forced to stay home & not go anywhere . . . The funny part was - can you believe this? - she was putting gas in her car during the interview!

One problem is lack of a good & viable alternative to independent travel. In Europe, mass transportation works well & is easy to use. I had a company car, but it was often much easier to take the bus & train. Our country is laid out different, so mass transportation won't work as efficiently here.
Then there is all the marketing hype telling all who hear that they deserve more. . . .

When the "greatest generation" wanted more, they earned it. Today, when most people want more, it seems they simply demand it. The first thought is to find someone to blame & make them 'pay'. What ever happened to personal responsibility? Why not first asking what 'I' can do differently to improve 'my' situation? When you rely on the actions of others, you are a spectator & no longer a participant.

We must get past the self entitlement & the 'me first' mindset of the masses if things are to improve.

[niles500]

Brian - My apologies - I forgot #2 - While government requirements increasing the percentage of ethanol additive to gasoline to 10% or more of volume is increasing worldwide, more recently many blendor/distributors have cropped up nationwide (thanks in part to government subsidies) and are now online - The case is not necessarily diesel going up, but gas (gasahol) coming down - or more exact "watered down" - FWIW

[buswarrior]

The US dollar has dropped in value by some fair bit over the last few years, an issue that many Americans are not familiar with.

For instance, not so long ago, a US dollar was equal to 80 cents Canadian. Similar stuff in relation to other world currencies.

Now, they are pretty much equal. Good for a vacationing Canadian that still has a job, quite bad for his next door neighbour whose job used to involve exporting product to the US...

So, that oil may not have changed value as much as your dollars that buy it are worth less.

Smarter economist types may wade in here to elaborate more accurately.

And, diesel, by and large, is what powers the transportation industry in North America, and has a relatively small share of the private consumer individual. Who has access to the numbers?
The trucking fleets often enjoy contracted prices for the fuel, not pump prices. As well, the price of fuel just gets passed on to the eventual consumer.

We have no one to pass the costs on to, we also see the same when it comes to parts prices for the coach.
If we were the middle man, what care would we have?

happy coaching!
buswarrior

[pickpaul]

Here's an interesting current news article about the relationship between gas and diesel prices.

http://www.marketwatch.com/story/heating-oil-diesel-and-gasoline-make-a-toxic-mix-2011-11-18

It reports that refiners are planning on shifting production from gas to diesel and heating oil right now as they see higher returns in that market.

The whole thing seems pretty simple to me. The refiners shift production to match the market as best they can. It may not be perfect or instant but it is the free market at work and the prices stay close. If it ever did track perfectly the gap between the two would perfectly represent the additional energy density of diesel. That it doesn't track perfectly simply represents the inefficiencies of an imperfect marketplace.

WVO or yellow grease is consistently available for under a buck a gallon and that's my solution :-) it may not be available at the pump but big bays have plenty room for a couple of hundred gallons, conversions are simple and your average busnut knows how to turn a wrench.

Just my .02c worth :-)

Cheers, Paul.

[belfert]

WVO isn't a product that will save the general public from high fuel prices.  There is a fairly limited supply of WVO and as more and people turn to WVO as a fuel it will go up in price just like crude oil.

[luvrbus]

Vegetable oils are going through the roof also Palm oil is way up others will follow,price of diesel is going up sad if it does drop for a short period they will tax it more then when the price goes back up you get a double whammy.

If you cannot afford 6 bucks a gal for fuel by the end of 2012 you need to sell the bus because it will bring 6 bucks on the open market IMO  Heating oil was down by 15% yesterday 

good luck

[belfert]

If diesel hits $6 the only way a bus will sell is if it is going to be used as a permanent home somewhere.

[Rick59-4104]

If diesel hits $6 the only way a bus will sell is if it is going to be used as a permanent home somewhere.

 If diesel hits $6.00 a gallon with our present system of trucking our food and products long distances to market filling up the bus with diesel is probably not going to be the No. 1 concern of most of us.    I'll park the buses out by the pond, put them on blocks, build a porch on them and call em guest houses.
 At some point with stagnant wages for most working people for the last 20 years, ever increasing costs for everything we have to have to survive (ever notice how the things you don't have to have, TV's, cameras, gets cheaper, things you have to have fuel, food, gets more expensive) things will get ugly. I think there is a tipping point. Glad I live in a rural area, have guns for hunting and lots of ammo, and a large garden. ( and I am one who has  never been of the survivalist mind set).

Rick

[luvrbus]

The country is changing not for the better either some states are doing away with the red fuel exemption farmers are growing products for fuel now not to feed people, 1/2 of our food is imported now who gets the blame we do for buying the crap

The family farmer can't compete against the large farms owned by insurance co's and other corporations,try planting you 10 acres of peanuts and see what kind of BS and red tape you run into from the government    


good luck  

[pickpaul]

I'm not suggesting WVO is the solution for everyone but it is a viable way to keep bus driving an affordable hobby for most. I've driven in veggie fueled diesel Mercedes since '03 and never had to pay a penny for oil.

[artvonne]

try planting you 10 acres of peanuts and see what kind of BS and red tape you run into from the government    
good luck  

  Try planting Corn next to guy growing hybrid Corn by Monsanto, Monsanto has goons they send to your door, lol.

  I see growing food for fuel while people in the world are starving to death, as about the greatest sin against mankind since the Holocaust. But nobody really cares about that when their gassing up.

[artvonne]

  Glad I live in a rural area, have guns for hunting and lots of ammo, and a large garden. ( and I am one who has  never been of the survivalist mind set).

Rick

  I never thought like that before either, but the world is just rapidly going very crazy.

 

[Joe Camper]

Artvonne we just got back from a trip to Ft Lauderdale and we did not take the bus.

Here is why.

We stayed at a La Quinta in Lauderdale it had a King bed a couch in the room a bar fridge a beautiful kidney shaped heated pool all landscaped like the westin a beautiful view and our 2 dogs were allowed to stay for free.

68 bucks a night.  We drove down in the PU cause of the dogs but if not Southwest is currently flying anywhere for 59 bucks.

We are 1500 miles from Lauderdale 1 way I do not even need to do the math for the bus round trip. The difference in cost has thrown the convenience and comfort factor for the bus right out the window.

Shorter trips......maybe for some. We are in Chi where can we get to that is close and interesting.Not too many places any better than our own back yard.


We are getting rid of ours I have recently been looking at plastic class A but I do not believe we will end up in one of those either I am afraid gas will be north of 4 bucks a gal by next summer.

Our Solution is a travel trailer. It gets us the most bang for the buck can pull it with our PU we already have and it will provide the fix we need for the camping addiction.

I have been scouring the tin can tourists for a vintage trailer and I know we will still enjoy every minute almost the same. Possibly more. Ill get about 12mpg and they dont have another power plant and drivetrain to keep up plates and insurance are peanuts. We are not going to make it to the Keys this winter but you can bet will be down there again next year.

We cannot afford to have fun with the bus any longer or maybe we just cant fool ourselves any longer.

[luvrbus]

Joe, we bought a Safari Trek with the overhead bed and love it a older model all metal sides and plenty of storage little pricey for a S&S job but we can afford to drive it oil change 7 qts not 7 gals lol 14 mpg average on fuel but it doesn't like towing very good a little weak on that end, without the separate bedroom @ 26 foot it has as much room as a 40 ft bus just our way

good luck

[robertglines1]

If :: fuel is the  main factor in your bus hobby.  You made the right decision.  Get out-- quick!  It is the least expense in the big picture for me.  I complain; for sure.  When I made $1 a hr diesel was .25cents when I made $42 a hr diesel was $3.70  Should it have been $10.50? Little extreme example but get the example. Plug your own numbers in. The younger you are the less the difference will be. I was 18 making $1  and 60 when I retired.   FWIW  Bob