Diesel Fuel Prices.......

[dually2002]

Can anyone offer an explanation as to why diesel prices range from 1-12 cents higher than premium gas? Is this a localized thing or is it nationwide?

[DmaxMaverick]

Because they want to, and they can. No other reason. Diesel fuel taxes are higher than gasoline, but minimal compared to the actual market, cost of delivery, and superficial mark-up. Same with LPG, which is a "cast-off" by-product of distilling petroleum. The Supply/Demand argument falls flat, when it's only billionaires seated at a table who decide what the supply will be, what you are allowed to demand, and what they want to charge for crude today. Keep in mind, crude oil is "owned" by no one. Access, transportation, processing, marketing, delivery and taxes is what we pay.

[Mark Rinker]

Can anyone offer an explanation as to why diesel prices range from 1-12 cents higher than premium gas? Is this a localized thing or is it nationwide?

Nationwide.

Another explanation is the BTU content of the fuel. #2 diesel has about 30% (?) more energy content per gallon, when compared to regular unleaded. Add 10% ethanol to that gallon of gasoline, and the BTU gap widens even further.

So, from a purely energy content point of view, its reality based pricing. Add to that ULSD fuel is now a standard across the US and Europe, it becomes another commodity subject to speculation that can affect price.

[More Power]

Here's an editorial from a couple of years ago that may explain some of the diesel fuel pricing.

http://www.thedieselpage.com/dieselprices.htm

Jim