Wed 3 May 2006
I’m tired of Americans complaining about gasoline prices. You reap what you sow. Did you really believe that 5% of the world’s population could consume 25% of the world’s energy indefinitely? Did you believe that oil supplies were unlimited, or that no other countries in the world would begin to industrialize? Americans buy huge, gas-guzzling vehicles and use ridiculous amounts of plastic packaging. It was bound to catch up with us.
I’m no fan of the energy industry, but it’s time to stop blaming oil companies, or at the very least it’s time to stop putting 100% of the blame on them. If you want to talk about being ripped off, you should be more concerned with the 25% profit margins of the banking and pharmaceutical industries than the 10% margins the oil industry averages.
Moreover, it’s a supply and demand issue. If gasoline is outrageously priced, don’t buy it, or buy less of it. When study after study shows no appreciable decline in gasoline consumption even at these “high” price levels, how exactly do Americans expect prices to drop? I won’t dismiss the possibility of Enron-style market manipulation (great documentary), but right there’s so much scrutiny on that sector (you know things are crazy when Republicans are considering windfall profit taxes) that these companies would be insane to try anything that foolish.
Bottom line: reduce consumption. Employ some strategies to reduce fuel consumption in your current vehicle, and in the future make more intelligent decisions about fuel economy when purchasing a car. Little things like not slamming the accelerator when the light turns green, only to have to slam the brakes at the next light can help. Besides annoying people like me by tailgating more steady drivers, you’re wasting fuel.
I would love to see a Chinese-style consumption tax. It’s far too easy to overuse petroleum-derived products when you can buy a thousand plastic forks for under $20. Tax plastic utensils 100%. Tax SUVs 20%. I’ve been wanting gasoline to be taxed higher for a long time now, though that’d be politically impossible at this point.
The price of oil-derived goods will go up one way or another. By taxing the crap out of this stuff, we can reduce consumption, drive down demand, and lower the wholesale price. Better, I say, to have it go towards medical research or education than the coffers of oil companies.
May 5th, 2006 at 2:20 pm
Why don’t you stop hating my freedom?
Seriously though, totally agree. Reducing consumption is the first and easiest thing we can do.
May 6th, 2006 at 4:10 pm
Nicely said, Duc. Does this mean I can’t buy that H2 I so desperately wanted? I heard it gets like TWELVE MPG highway!!!111 That’s a real fuel-sippin’ vehickle!
May 9th, 2006 at 10:51 am
Why are all those people living on top of our oil?
Anyway, cheers.
May 31st, 2006 at 8:41 pm
Be aware: personal household consumption is an incredibly small part of the fuel consumption picture. The vast vast majority is used by industry and in production of goods. This is simply to say: you must, must, must buy less stuff. Certainly plastics, and especially disposable plastics, impact petroleum supply, but anything you buy has taken a vast amount of energy to be made, packaged and transported. Seriously consider that before you buy new trinkets, and seriously consider changing at least some of your food consumption to include foodstuffs grown and packaged locally.
June 6th, 2006 at 4:16 pm
Interesting website. I don’t think taxes are the answer. The laws of supply and demand are doing what they are supposed. I don’t like the idea of producing Hydrogen Stations says that the oil companies can keep their market. I’m not a chemist but I did work at a integrated circuit manufacturer and we used a process where we combined pure hydrogen and oxygen to create ultra pure water. Is there a affordable reverse process out there that can separate the hydrogen and oxygen from water (H2O) and create a clean burning highly efficient water fuel?
June 27th, 2006 at 10:23 pm
I agree with the “interesting website” statement. The supply and demand plus the crude oil speculation will keep the price elevated. If the refiner has to pay $1.28/gal. for the crude before delivery, you can rest assured that processing and markups and TAXES will account maintain the price per gallon above $2.50. Cut back on miles driven will help but the problem escalated with the manufacturing of most of our consumer products now being produced in foreign countries. It now requires much more fuel to get the products to market in the U.S. Since these countries are now more industrialized, they need more oil and electricity. Does anyone have a solution for an economical freighter???????
July 7th, 2006 at 8:22 pm
By Terence O’Hara
Washington Post Staff Writer
Friday, October 28, 2005; Page D01
By most familiar comparisons, the $9.92 billion profit earned by Exxon Mobil Corp. in just three months is almost unimaginable. It would cover all Social Security benefit payments for three months. It would pay for an Ivy League education for about 60,000 kids.
And that is just Exxon Mobil Corp.? Now with the prices this high, poor families can’t get to work, yes there’s public transportation, but wait, that runs on gas too. These poor people aren’t driving the Hummer H2s, chances are, if you have a H2, you can afford gas at $3.50/gallon, big deal for them, it adds up for the rest of us. Besides, no major technology growth dealing with car engines has been created in who knows how many years. Excluding hybrids, which still need some work. Is there a real reason that a 2006 brand new CAR still gets only 22MPG highway at YES 55MPH?? Yes, and it’s so oil executives can retire on pension at 6.8 Million dollars per year instead of 1Million?
You give oil companies too much credit, i agree reducing consumption is the way to go. so..please continue to put pressure on oil companies 99.9% for they are your people who have large amounts of say in the way our government is run..IE GW BUSH, Cheney (and i’m sure democrats too) It’s all largely political, and of course the rate at which we develop new engergy sources.
July 11th, 2006 at 12:08 pm
10% margins of the Oil Industry? Talk about who’s clueless…
July 12th, 2006 at 3:02 pm
Saving fuel would be great if we had know that the cost of fuel would sky rocket in just a year. I have a full size pickup for work and a Mustang for pleasure. I agree that I should cut down on gas consumption but I can’t sell the cars for anything close to what they were worth just six months ago. Nobody is buying V-8’s anymore. But, look at the THOUSANDS and THOUSANDS of big rig trucks that suck down two hundred gallons of diesel in eight hours, those are the gas guzzlers. We need to have more products go by rail and less by gas vehicle.
July 13th, 2006 at 6:56 pm
Just watch the video’s and see for yourself how we can use less gas. It will soon be in everygas station partystore around.
August 7th, 2006 at 6:11 pm
OK, everyone here has made there points. Some I agree with and some I don’t. Taxes, well if you raise taxes on the gas company’s you will just have to pay them more. Who pays taxes the person buying the product. Hey I’m all for using less gas. In fact I only buy gas from one company for about 30 days at a time. I also have a group of friends that do this with me and they talk to there friends. We don’t cut out one company all together, this would just cuts out one more company in the area to have competition with and keep prices up in the area. I’m not saying its a good idea. But if I tell enough people and they tell enough people then maybe one day there will be enough that the company’s start losing money and prices may fall. I also keep in mind that the oil refineries are there to make plastic’s. That is the finished product. The gas and diesel are all just waste from the refinery process to get to the plastic. Someone said in the end of the 90’s (Hey we are all selling our hazardous waste and making a little profit. This beats having to pay a disposal fee and not getting anything back. But wait we not only have a product they can’t live without, But they can’t live without are waste either. And the public will pay the price set on it and if they start barking about the price will lower it for two weeks and the public will stop barking then will just raise it higher. Till all they do is bark about the price at this point we have the optimal supply and demand for the product.) If anyone would like to go back to the fortune 500 most profitable company’s in the end of the 90’s you will see that all the oil company’s were around the 30 to 35 range. now they are in the top five.
August 9th, 2006 at 2:16 pm
Hey man…. this is all a bunch of BS. The only reason for gas prices are going up is all the wars US have started for the last years in the Busch era. The only reason Busch was even put in power was becayuse all the big oil companies could get what they wanted, war to raise the gas prices.
August 9th, 2006 at 2:57 pm
Going out on a limb and say that Bush didn’t attack the World Trade Center on Sept 11th and start all this…they may have gone after Iraq after the fact…but don’t blame all wars on Bush, also Katrina didn’t help matters much either. According to someone else in this forum, blame the stock holders of big oil (republicans?? wealthy democrats??) Besides what kind of logic does “blame gas prices solely on war and Bush” bring to the table…think deeper man
You may be either A) idiot or B) too drunk to realize..but Bush isn’t spelled with a C That’s the beer
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