Re: Gas price whiners
I think it is pure and simple price gouging.... Our government exacts a
cruel tax on petroleum products and the refineries charge what they an get
I had my own gas station for several years.... this was a leased premise
scenario.... My service rep would never allow me to move my prices down....
no matter what the local price was, I would never make enough for the gas
bar to pay for itself (I was allowed a little over 3 cents per litre....
anything else, the oil company took. I could move my price down if I wanted
to take a sh*t kicking but, if I started a gas war, my oil company wouldn't
help me out. Heck, if the guy down the street started a gas war, my oil
company wouldn't help me out.
I'm not sure of the exacxt number here in Alberta (it varies province to
province) but about 40% of our gasoline price is taxes.... IIRC, the world
price on a barrel of oil is based on west Texas crude....high quality crude
can go for higher and lower quality crude can go for lower.... the chemist
have us there since they can determine what products are easily extracted
from the base and which products will require special treatment such as
catalyst treating....What it boils down to is like being a farmer.... a
farmer might get $200 for a good steer,,,, the butcher can turn that steer
into over $1000 worth of meat. If the butcher sticks to his guns, he can
always find a farmer that will part with a good steer for cheap.
Crude oil producers have the oprion of shutting in a well if it can't pay
for itself. There are regulations regarding this though I am unsure of what
it all entails.... to permanently shut in a well take bucks... lot's of
bucks. The refineries offer a price for the wells production... If the
refinery is running above their break even dollar, the price they offer goes
down.... If the refinery is operating at max production level (sometimes as
high as 125%), the price offered can go way down.
Long story made short.... the government makes out like jack the bear since
they dont have to do anything other than pass another levy.... The refinery
(and it's shareholders... some of whom appear to be politicians) makes out
like jack the bear.... The consumer suffers real bad and the producer counts
pennies (but still does much better than the consumer).
Sorry to ramble. Michael, but this is a real sore subject with me.... I
don't mind companies making "healthy" profits.... I just don't like having
to bring my own vaseline....
"Michael Johnson, PE" <email@example.com> wrote in message
> Jim, I don't blame you for bitching. It's sad when you pay more for a
> gallon of gas than we do here in the US considering all the oil we
> import from Canada. Who, or what, is responsible for it?
> Jim Warman wrote:
> > WTF are you rattling on about???
> > Gas prioces are high.... our respective governments are reaping huge
> > windfalls through royalties and taxes.
> > Less than 2000 meters beneath my feet, is a huge puddle of the stuff
> > gasoline is made from. Sure, there is a matter of supply and demandbut
> > here.... Right now, I'm paying 99.9 cents per liter for regular gas....
> > the reason the price is that low is because the signs don't go any
> > Right now, the business signage companies are in town doing a bang up
> > business installing new signs.
> > FWIW, 99.9 per liter is around 4 bucks a gallon.... when I was younger,
> > had cars that couldn't hold 4 bucks worth of gas. Am I upset about gas
> > prices? You bet!!! Do I reserve the right to "whine" about gas
> > damned right.... and I'll stop when you start paying for my gasoline...
> > "RichA" <firstname.lastname@example.org> wrote in message
> > news:email@example.com...
> >>China is driving oil prices since THEY are the new part
> >>of the demand equation. If you think it's just gas, take
> >>a look at the price of steel, aluminum and other materials
> >>they are consuming. They've doubled in less than two years
> >>as well. Welcome to the new World.
> >>But, if you don't like it, move to Argentina. Gas is subsidized
> >>and a tank will cost you (believe it or not) $2.00!!! Of course,
> >>you're wages are likely to be a little lower. :)
> >>Or, if you think high gas prices are good for your environmental
> >>cause, move to England where a tank will run you $90.00.
> >>Oh yeah; Your wages will be lower in England too, so with houses
> >>in London costing $1m+, get used to the idea of a 400 square foot
> >>flat and the term, "roommate."
> >>"Bittorrents are REFUNDS for all the BAD movie products Hollywood
> >>never gave us refunds for in the past"