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Old 08-19-2008, 09:30 PM   #7 (permalink)
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Originally Posted by Big Dave View Post
So let’s put the myth that the spread of diesel over gasoline has anything whatsoever to do with world demand down as being busted. In most countries that tend to prefer diesel cars, diesel is less expensive than gasoline. But in the US the reverse is true.

There is only one plausible reason: Ultra-Low (15 ppm) Sulfur Fuel is required ONLY in the US. It costs more money to remove the sulfur. This relationship was not true at all in 2006, prior to the advent of ULSD requirements. Gasoline and diesel cost roughly the same (gasoline was more expensive in summer, diesel more expensive in winter) prior to ULSD.

Diesel in the US is more expensive than gasoline and you can exclusively thank the EPA.
I'm sorry, but your list and conclusion couldn't be further from the truth.

Average petrol prices have fallen from 119.51 pence per litre in mid-July to 113.15 now, cutting 13.63 off the typical two-car family’s monthly spend on petrol. The average price of diesel has in the past month fallen from 131.56 pence per litre to 125.58, a saving of six pence a litre.
August Fuel Price Report Fleet Directory News: THE Fleet Industry links directory

Why is diesel more expensive than petrol?
Why is diesel more expensive than petrol? | This is Money

Diesel is more expensive than gasoline in most of europe. Scroll down for the list.
Czech diesel price ranked fourth-highest in Europe - Prague Daily Monitor - 21.07.2008

The list at the begining of this thread is so incredibly wrong, it actually claims diesels in the the USA is cheaper than gasoline.
Regular 91 OCT in € 0,72
Super 95 OCT in € 0,68
Super Premium 98 OCT in € 0,68
Diesel in € 0,69

The high price of diesel has nothing to do with ULSD or the EPA and everything to do with supply and demand. Over the last few years the whole world (not just europe) has been switching from gasoline powered cars to diesel powered cars. Refiners on the other hand can't infinitely vary the proportion of diesel to gasoline they can extract from a barrel of oil. They can only go so far one way or another before drastically increasing the cost of refining. But because the US has remained largely a gasoline market, it has been able to survive without building a any new refineries in the last 30 years by importing refined gasoline from markets where diesel is more in favor.

The upfront cost of a diesel engine plus the cost of fuel more than offsets any fuel economy benefits. The huge premiums I was used to seeing on Craigslist for old beat up Mercedes and TDIs have started to disappear as people wake up to the reality that diesel costs an additional 60 cents a gallon. Sure you still have SVO conversions and biodiesel. If you can find it, more power to you.


Last edited by tjts1; 08-20-2008 at 03:28 AM..