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Fuel prices moving up, just in time for spring boating and driving?
"Fred Dehl" wrote in message ... wrote in oups.com: Looks like a repeat of the 2005 fuel pricing may be in store. Those *******s. But I guess you can't blame them, since most of the increase last year went straight to the Record Profit Bottom Line of the big oil companies and their stock prices have now been adjusted to take those profits into account. Failure to reproduce the same type of earnings this year would have a negative impact on future stock values, and we certainly couldn't have that, could we? Gas prices rise in Spring and Summer due to the multiple formulations which differ from state to state during warm months to meet emissions requirements. And due to demand when competition price point curve breaks down due to demand exceeding supply. This is exasperated by not having enough refinery capacity for the summer peak gas demand months. I hate it too. And if I were the one making the decision to build or not build a new refinery I'd have pause...Why build a new one for the peak demand of 3 months a year. Like the electric companies when they have problems with peak demand, rather than expand on their generator capacity they encourage us to conserve. Then when we start suffering brownouts and demand better service they request a rate hike to build a new generator, and guess what, they get one. |
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