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Rising diesel costs hurt local truckers

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phantom power Donating Member (1000+ posts) Send PM | Profile | Ignore Mon Mar-17-08 10:25 AM
Original message
Rising diesel costs hurt local truckers
Trucking company executive Kevin All says he has "seven trailers not working, trucks are sitting in the yard and I have men on unemployment."

All said Friday he wished ``there was some light at the end of the tunnel, but I can't see any."

http://www.thedailystar.com/local/local_story_077040038.html

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GreenGreenLimaBean Donating Member (395 posts) Send PM | Profile | Ignore Mon Mar-17-08 05:21 PM
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1. diesel was cheaper than the lowest octane gas.....
why the big jump? i'm guessing someone doesn't want diesel cars to succeed in the US...
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GliderGuider Donating Member (1000+ posts) Send PM | Profile | Ignore Mon Mar-17-08 06:07 PM
Response to Reply #1
2. Lack of refinery capacity
From the EIA:
Why are diesel fuel prices higher than gasoline prices?

Until several years ago, the average price of diesel fuel was usually lower than the average price of gasoline. In some winters when the demand for distillate heating oil was high, the price of diesel fuel rose above the gasoline price. Since September 2004, the price of diesel fuel has been generally higher than the price of regular gasoline all year round for several reasons. Worldwide demand for diesel fuel and other distillate fuel oils has been increasing steadily, with strong demand in China, Europe, and the U.S., putting more pressure on the tight global refining capacity. In the U.S., the transition to low-sulfur diesel fuel has affected diesel fuel production and distribution costs. Also, the Federal excise tax on diesel fuel is 6 cents higher per gallon (24.4 cents per gallon) than the tax on gasoline.

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4dsc Donating Member (1000+ posts) Send PM | Profile | Ignore Mon Mar-17-08 07:11 PM
Response to Reply #2
3. So why is price going up now??
I wonder if any refinery capsity is down because diesel is going up on almost a daily basis..
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gear_head Donating Member (107 posts) Send PM | Profile | Ignore Tue Mar-18-08 02:25 AM
Response to Reply #1
4. sure. when crude was $3 a barrel ....
and refinery-cost was the biggest cost.

today, cost of crude predominates.
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