Diesel Prices today wtf??? 30c dearer than regular ULP

[Greg Roles]

I think it's more the fact the transport industry is mainly all locked into contracts for fuel, and the rest of diesel users form a small minority. As oil prices rise, they can ease off the rise on the ULP majority, and squeeze the heck out of the diesel minority. It's all down to money and who will complain the loudest, in MHO anyway.

Or you can believe the China demand story....

[cetane]

Knowns:
* Diesel engines are cheaper to run than petrol engines
* Diesel costs less to refine than petrol
* Because petrol is less dense than diesel, you get more volume from a given volume of crude when you refine it into petrol than you do if you refine it into diesel
* In other countries (particularly in SE Asia and Europe) diesel is king. It has been for years and years, it's we who are catching up
* Go back 20 or 30 years and diesel was always about 10c cheaper per litre than petrol

IN ASIA THE POPULATION IS BURGEONING AND THE EMERGING MIDDLE CLASSES ARE BUYING....DIESEL CARS!

So, it comes down to supply and demand. Our oil price is governed by the Tapis (Singapore) oil price. Automatically we pay more per barrel than the US spot price. Add this all together and you get high prices. You can't blame the Aussie government for diesel prices in isolation as it applies to ALL products of crude oil. If you want to blame anybody, focus on the Asian consumer, the lack of oil refining capacity, the knowledge that oil is running out and the hedge funds and speculators that are using oil as currency because the US dollar is so weak.

Unknowns:
* Just how high the price of diesel Will go..................

[gldgti]

Knowns:
* Diesel engines are cheaper to run than petrol engines
* Diesel costs less to refine than petrol
* Because petrol is less dense than diesel, you get more volume from a given volume of crude when you refine it into petrol than you do if you refine it into diesel
* In other countries (particularly in SE Asia and Europe) diesel is king. It has been for years and years, it's we who are catching up
* Go back 20 or 30 years and diesel was always about 10c cheaper per litre than petrol

IN ASIA THE POPULATION IS BURGEONING AND THE EMERGING MIDDLE CLASSES ARE BUYING....DIESEL CARS!

So, it comes down to supply and demand. Our oil price is governed by the Tapis (Singapore) oil price. Automatically we pay more per barrel than the US spot price. Add this all together and you get high prices. You can't blame the Aussie government for diesel prices in isolation as it applies to ALL products of crude oil. If you want to blame anybody, focus on the Asian consumer, the lack of oil refining capacity, the knowledge that oil is running out and the hedge funds and speculators that are using oil as currency because the US dollar is so weak.

Unknowns:
* Just how high the price of diesel Will go..................

all true -

and i'd add that a similarly high demand for diesel distillate comes from the war effort in the middle east - the whole US armed forces runs on jet A kerosene (nice clean light diesel) and they are burning up a huge amount right now.

[Logzy]

all true -

and i'd add that a similarly high demand for diesel distillate comes from the war effort in the middle east - the whole US armed forces runs on jet A kerosene (nice clean light diesel) and they are burning up a huge amount right now.

Last time i checked tanks run on normal everyday diesel.

[TDI Dude]

Knowns:
* Diesel engines are cheaper to run than petrol engines
* Diesel costs less to refine than petrol
* Because petrol is less dense than diesel, you get more volume from a given volume of crude when you refine it into petrol than you do if you refine it into diesel
* In other countries (particularly in SE Asia and Europe) diesel is king. It has been for years and years, it's we who are catching up
* Go back 20 or 30 years and diesel was always about 10c cheaper per litre than petrol

IN ASIA THE POPULATION IS BURGEONING AND THE EMERGING MIDDLE CLASSES ARE BUYING....DIESEL CARS!

So, it comes down to supply and demand. Our oil price is governed by the Tapis (Singapore) oil price. Automatically we pay more per barrel than the US spot price. Add this all together and you get high prices. You can't blame the Aussie government for diesel prices in isolation as it applies to ALL products of crude oil. If you want to blame anybody, focus on the Asian consumer, the lack of oil refining capacity, the knowledge that oil is running out and the hedge funds and speculators that are using oil as currency because the US dollar is so weak.

Unknowns:
* Just how high the price of diesel Will go..................

Another factor in diesel pricing from Singapore, it that the largest consumer of diesel in Asia is the power industry. The oil companies charge what they want and the big power companies pay it as they have no choice. Further to that... here in Australia all the transport companies get a 15 cents per litre rebate from the Government, this applies to all vehicles over 5 tonnes tare only. So guess who's making lots and lots of money???? Yep you guessed boys and girls a) the oil companies and b) the Australian Government via taxes on diesel. Also the rebate for the transport industry is only given to them as an offset to their quarterly BAS statements (GST).

And you wonder why the watch pussy of a government agency is going to worry about diesel pricing when it affects how many every day citizens???? And on the flip side raises so much more revenue for the government without having to lift a finger or make one new policy statement that maybe seen as hurting their chance for re-election.

Lets face it my diesel friends we use less, pollute less and we pay the most... hmmm doesnt seem right does it!!!

[Spoddy]

What really surprises me is that there isnt more shouting coming from the transport industry.

Its got to be hurting them a lot more than it's hurting us.

Not really - the price to the transport industry whilst higher than recent times is still around the $1.30 to $1.34 level.

As for the war - no impact as the oil hasn't come from Iraq for years and years so has no impact these days other than The US now has a steady supply in the country it occupies....

[Logzy]

Its really amazing how many people believe the rubbish the oil companies are telling us, why the record profits then.??

[gldgti]

the m1 abrams main battle tank (US ARMY) uses a turbine engine which runs on jet A kerosene.

[BeigeJet]

Last time i checked tanks run on normal everyday diesel.

the m1 abrams main battle tank (US ARMY) uses a turbine engine which runs on jet A kerosene.

In fact the turbines in M1 Abrams can run on almost any liquid hydrcarbon however they choose to run them on Jet A Kerosene because of the consistent quality of the fuel. The very same fuel used in helicopter turbines. Australia has 59 Abrams tanks now! God knows why. Would been better spending the money on aviation military instead. Sorry a bit off thread.

Diesel price in Rowville this morning at Shell Coles Express was 178.9 cpl.

Safeway Caltex was 165.9 cpl and Mobil 165.9 cpl.

One day diesel will again be cheaper than petrol! But we might be waiting a while.

[STV4SYT]

One day diesel will again be cheaper than petrol! But we might be waiting a while.

Lets hope so.

Is anyone brave enough to run Bio in their PD engine?

I saw a mk1 GLD down the street from me that has the "Runs on BioDiesel" sticker on the back.