Why does diesel fuel cost more?

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So a couple of days ago I was filling up and a guy next me asked me why diesel costs more than gas. I always wondered this but never really looked into it. I told him it was because they have to remove the sulfer from the fuel and add more additives for lubricity and removing the sulfer is somewhat difficult. Is this right? If not then why is diesel fuel more expensive?
 
Because we don't refine as much as we do gasoline. The latter is in far higher demand than the former.

JMHO
 
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Just like those above stated--->Taxes {And} Greed!! More diesels are being sold and the demand has gone up... So our fine fine government who wants to regulate everything has stepped in and kept the prices higher...

I actually was able to visit with our states congress man a few weeks ago... And asked him this same question... It was like the old charlie brown cartoon on TV... when his parents or teachers spoke! All I heard was Wa!Wa!Bla!Bla!Wa!Wa!Bla! not a dang thing he said had anything to do with the high price of diesel fuel... And of course I had a smart $%^& comment back... That's exactly the answer I expected...

I love this country...But Our government is an absolute JOKE!!!

From what I have read and heard... The US diesel is a very poor quality compared to the diesel in the UK & Germany as well as many other countries... Is this true?
 
Originally Posted By: -SyN-
Just like those above stated--->Taxes {And} Greed!! More diesels are being sold and the demand has gone up... So our fine fine government who wants to regulate everything has stepped in and kept the prices higher...


Diesel fuel has been more expensive than gasoline for a lot longer than "demand has done up".
 
Diesel used to be a LOT cheaper than gasoline. Seems to me the price shot up a long time before the new low-sulfur regulations went into effect. Most likely greed...OOPS I meant "supply and demand"...
 
Prior to 9/11/01 I was paying $.90 a gallon for BP diesel supreme off-road, delivered and regular off-road stayed between 75-80 cents a gallon. We all know what has transpired since then.

The advent of USLD has driven up the price of refining some, but not to the degree of difference that we see now. Ask someone who heats their home with either #2 or K-1 how much this price increase of 4-5 times of ten years ago has affected them.

During the winter of '01/'02 the answer I recieved then was the Iraq war was driving up the price of diesel, military demand. I cannot answer the question because I simply don't know, other than its higher because they are still selling it
 
Refineries in the USA are setup to maximize gasoline production not diesel from a barrel of oil. Diesel also has more energy content than gasoline.
 
If taxes were the case then why prior to ten years ago was it on average 50 cents a gallon cheaper than gasoline?

A few years back my mom was cleaning out a desk drawer and found a diesel fuel bill from the mid '70s, delivered for 12 cents a gallon, and I am going to guess gasoline was around 50 cents at the same time.

The taxes ore usually within a few cents a gallon between the two, depending on what part of the country you are in, besides I am getting not only bulk diesel delivered, I also recieve bulk gasoline, so I see the price before tax.
 
I do think taxes today are way way higher then 10yrs ago...also we are talking about today not 10yrs ago... No disrespect... The past fuel prices has nothing to do with what is going on right now... And in the present day...Honesty is almost but gone... It's all about profits..."We will tell you what WE want You to know...No More!!"

I've even read where diesel costs way less to refine then gasoline... Is this true? I have know idea... I really don't know what to believe any longer...
 
Sorry: This is all just my personal opinion...I don't mean to offend anyone if I do? I appologize... I just hear what I hear and read what I read...

I wish I could go back 10yrs ago... yet again back in the 70's...Today is just plain Ugly and it's not going to get better...
 
Yep, it is the fuel taxes. I run commercial and have to track the fuel tax, state by state. At the pump, Illinois has a relatively high price, but when you factor out the tax, Illinois fuel is cheaper than the surrounding states even after you factor out the other state's fuel tax. I paid ballpark $15,000 last year just in fuel tax.

Whether the cost makes that much difference is relative. When I purchased my '06 Jeep Liberty Diesel, many shook their heads, especially when diesel prices soared in '08, and wondered why I would run a diesel. Well, since the average 3.7 gasser Liberty is lucky to get 21 mpg for a road trip, my diesel version consistently gets 30+ on a road trip. Even with city and rural farm road driving, my diesel Liberty mpg is always higher than gasser version road trip mpg. So, diesel may be higher than gas, but it would have to have a lot larger spread before having a diesel would be, on equal, the same cost per mile as with a gasser. I'll keep the diesel.
 
Road taxes for the most part.

ULSD is difficult to make, particularly as we get the heavier bitumen crudes with high amounts of sulfur. HDS is not very selective catalysis-wise, so it takes a lot of hydrogen to get those sulfur atoms out. You end up opening up lots of aromatics and popping hydrogens into double bonds before you actually get the sulfur. Especially sterically hindered molecules dont exhibit good catalytic activity. Plus there is Henry's law...
 
It's more than just fuel tax. That's at best 20 to 30 cents a gallon difference from RUG. Diesel went from well cheaper than RUG to now well more than PUG.
 
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Why does diesel fuel cost more?
Because they can get it. It costs many, many millions to convert refinery production to a different product beyond a minor range. Distillate fuel consumption remains high (diesel for trucks, boats, trains, ag, heating oil, jet fuel) while gasoline consumption has flattened out somewhat. Europe exports gasoline to the U.S. and other markets because they produce excess gasoline while they keep up with their diesel fuel needs--the consumption to diesel has shifted faster than the refineries have changed their equipment.
 
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