11 votes

California gas prices over the past few days. It is a bad sign for the rest of you.

Gasoline has shot up by 10's of cents over the past few days here in Southern California.

I personally paid $4.62 a gallon for the weekly fill at my local 76 station. Was not even $4.05-12 a few days ago. Makes me extremely happy to be the owner of a peppy 4 cylinder car... Two-three years ago it cost $25 for a full tank. These days it is $50+.

http://www.californiagasprices.com/retail_price_chart.aspx

The blame is being put on refinery problems. Typical.

Prepare for it my friends, I don't see it slowing down until people are priced out of driving their vehicles down the street. And I wish I could say that is an exaggeration.

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On the contrary, the analysis of why this is happening

seems to have to do with circumstances peculiar to California, specifically with the blend of gasoline allowed to be sold there and rules on price hikes.

What you are witnessing is a manufactured shortage, and the price mechanism has been hamstrung from alleviating it.

While certainly other States have stupid laws on price hikes concerning gasoline, none, save California, require a special blend that has limited supply capacity to be sold.

This could have been and most likely was, easily predicted when California passed their dumb law on their special gasoline blend.

For the most part I do agree

For the most part I do agree with you on behalf of the special blend bull.

However, I also see it as a reason to hike up the rest of the country's gas prices. Perhaps not to the same degree as California, but any excuse these days seems to implicate higher gas prices for all.

Is Exxon synomomous with Enron ?

Sounds like the Enron scandal all over again.

____

"Take hold of the future or the future will take hold of you." -- Patrick Dixon

Consider this

Oil companies drill miles, upon miles, upon miles to get oil in some of the most remote places on earth. It is then trucked, piped(although we dont have many pipelines), or by rail to the limited number of refineries in this country to be refined and tuned. Then the crude oil is turned into the most efficient fuel possible, gasoline, and in several different grades. It is then trucked to gas stations across the country. The local gas station owner sets a price so he could recuperate his money and eek out a profit after all the numerous fines and taxes put on him (especially in california). Think of all the employees that were involved in this very volatile and expensive process that need to be paid. Oil Companies lead the way in paying the most taxes. They also compensate their employees very well (which is why I always laugh at leftists that complain about Walmart, but complain about how "high" gas prices are). And may I remind you who reaps nearly a fourth of that "4 dollar a gallon gas"? The government, who in turn does not spend the revenue (a user tax) on roads... but on idiotic rail, welfare, eduKation, and so on.

Yet here we complain about how high gas prices are. Natural Gas will replace Diesel and Gas for most semis, trucks, tractors, etc. This will reduce Gas prices quickly, and I guarantee that by 2014, we will be seeing sub $2 gas if inflation is dealt with by the new GOP congress. And hopefully new pipelines will be approved, since a big cost added to gasoline is transporting it, and pipelines virtually eliminate 1/2 of that cost.

I beg to differ

We already have those pipelines that run 175 miles from the refinery to our local economy and were still paying $4.00 a gal, but were 500 miles away from California.

From what I understand it costs an average of $5 bucks per barrel of oil. throw in the cost of exploration and refining and your at $25 for a barrel of refined gas max...

It costs far more to produce a gallon of ethanol than gas, and addition of which give you 20 less mileage than gas but it cuts down on pollution by 15%. big deal.

____

"Take hold of the future or the future will take hold of you." -- Patrick Dixon

I am so glad I am a homebrewer.

E85 cane be made at much lower price per gallon. Getting your vehicle prepared and tuned for it is what costs. So far I have 2 cars running perfectly with it, my mpgs dropped but after buying mash and fuel it costs about 1.50 gal.

I have an ethanol friendly

I have an ethanol friendly car. I haven't yet tried ethanol in it...it didn't seem worth it yet based on price at the local ethanol station. Can you suggest some resources for making my own efficiently as you seem to be doing?

Also, if you are getting 1.50 gal, what is your mpg to calculate cost per mile compared with gas?

You will need a few things to

You will need a few things to make it at home. 1. Check your local laws regarding making it. Here in Oregon it costs $15 for a permit. 2. You will need to make a still. To make one you will need about 6 feet of copper tubing water source and for safety reasons a gauge to monitor pressure within the lines. 3. Corn mash. Once you make a still the corn mash is around $25 for 55lbs. The mash will make around 25-30 gallons of ethanol. The octane rating is around 118 so you will need to add 15% gas to your fuel. Now the energy properties of ethanol are a lot less than gas so your fuel mileage will drop lets say 15-20% per driving habits. I get 15-16mpgs in a full size Volvo.

Do you think you would get better mpg with a flex fuel car?

Or is your car already modified for flex fuel?Would this mix work on a standard car that is not flex fuel.Can a car be optimized to use only ethanol with no gasoline added?

What is your opinion on the corn ethanol fuel vs food debate?

From what I understand,when ethanol is made from corn,the leftover product is distillers grain,which is used for animal feed.So if most of the corn grown in this country is used for animal feed anyway,and animal feed is still being produced from the same corn that is used to make ethanol,what is the issue?What am I missing?I noticed in anti-corn ethanol articles that distillers grain is not mentioned,which seems very fishy.I am trying to educate myself more on this,so I would appreciate your take on this if you have an opinion.Thanks

I use distillers grain/mash

I use distillers grain/mash from a local feed store. That is the only kind of mash I have found here in Portland.

Anyone serious about ethanol production would not

use corn.

The fact that we are is entirely due to ADM and their lobbyists.

Sugar Cane and Jerusalem Artichokes have a much higher sugar content per acre than corn.

Anyhow, corn for food isn't the wisest choice either. Though it appears in nearly every prepackaged product in some form or another, the grain is essentially indigestible by humans and of little beneficial nutritional value. There are infinitely better and cheaper and easier crops to grow for food than corn.

I think the bigger question is why have we allowed ourselves to be dependent on mega crops for survival? The attendant problems and costs far outweigh any short term perceived benefit.

Need to get on board with this....

Oh, if I just had more time.

Could you please check this out and help with a bump? Maybe facebook and send to your meetup?

http://www.dailypaul.com/257537/freedom-supporter-needs-your...

He is in alot of pain and his memory is really bad, getting better each day, but still needs assistance.

SteveMT's picture

Monopolies hate competition from independents.

This is called a force-out before the arrival of the really big price increases. Ugh.

California Gas Stations Begin to Shut on Record-High Spot Prices
By Lynn Doan and Joshua Falk on October 04, 2012

Gasoline station owners in the Los Angeles area including Costco Wholesale Corp. (COST) are beginning to shut pumps as the state’s oil refiners started rationing supplies and spot prices surged to a record.

Valero Energy Corp. (VLO) stopped selling gasoline on the spot, or wholesale, market in Southern California and is allocating deliveries to customers. Exxon Mobil Corp. (XOM) is also rationing fuel to U.S. West Coast terminal customers. Costco’s outlet in Simi Valley, 40 miles (64 kilometers) northwest of Los Angeles, ran out of regular gasoline yesterday and was selling premium fuel at the price of regular.

The gasoline shortage “feels like a hurricane to me,....
http://www.businessweek.com/news/2012-10-03/california-gas-s...

Gas shortage shutters Costco stations

Article here...
http://www.dailynews.com/breakingnews/ci_21698765/gas-shorta...

http://www.dailynews.com/news/ci_21696967/gas-price-spike-ge...

"The significant increases in gas prices since Monday are the result of a power failure at the ExxonMobil Torrance Refinery, City News Service reported.

The average price of a gallon of self-serve regular gasoline in Los Angeles County recorded its largest daily increase since at least 2008 on Thursday, rising 8.8 cents to $4.347, its highest amount since May 22, according to CNS.

The average price of a gallon has jumped 20 cents in the past week."

exxon is lying. this is all

exxon is lying. this is all to get obama out. Obama killed that pipeline and now big oil is going to try to kill barry soeatero.

this is just a warmup for

this is just a warmup for what's coming... it'll spike to 10 bucks once war with iran starts which is just on the horizon

Someone I know just...

...came back from Germany and said gas is $10 a gallon there if you measure it by U.S. gallons and dollars. Why is it so high over there? We can barely handle the hikes here!

European countries subsides health care and other Government

freebies with gas tax. Your friend should have checked how high taxes are on a liter of gas, and asked how health care gets funded.

Gold standard: because man can not be trusted to control his greed

Gas is more expensive

There because Under the Brenton Woods agreement the USD has been established as the World Reserve Currency. Because of this we were able to enjoy commodities at sweet prices. The United States is able to borrow money from foreign governments more cheaply because it can both accept a loan and pay it back in U.S. dollars. The U.S. dollar also enjoys an inflated value due to global demand for the currency. as more nations need U.S. dollars to hold in reserve and facilitate transactions, this demand requires them to pay more for it, increasing its value.

Funny tho In Venezuela people pay 10 cents per gallon. wounder why that is?

His name is Edward Snowden

What is Capitalism?
http://youtu.be/yNF09pUPypw

Just pulling this out of thin

Just pulling this out of thin air so I more than welcome a correction by someone more knowledgeable... but could it be the way we've exported our inflation?

Anyway... guess I won't be seeing that $3.42 that I filled up with a couple days ago much longer...

"You must be frank with the world; frankness is the child of honesty and courage...Never do anything wrong to make a friend or keep one...Above all do not appear to others what you are not" - Robert E. Lee, CSA