The retail price of diesel fuel also reflects local market conditions and factors such as the location and ownership of retail outlets. Regional operating costs and local competition diesel fuel production, tend to have higher diesel fuel prices. Areas farthest from the Gulf Coast, the source of about half of U.S. Transportation costs generally increase based on the distance between the retail location and the sources of supply. In some regions, seasonal swings in farmers' demand for diesel fuel can influence diesel fuel prices. Because heating oil and diesel fuel are produced at the same time, seasonal increases in heating oil demand can also put pressure on the diesel fuel market. During the fall and winter, the demand for heating oil affects diesel fuel prices. diesel fuel demand is fairly consistent and generally reflects the overall health of the economy, diesel fuel prices often fluctuate during the year. Seasonality in the demand for distillate fuelsĪlthough U.S. These fluctuations are normal price fluctuations experienced in all commodity markets. If the diesel fuel transportation system cannot support the flow of supplies from one region to another quickly, prices will remain comparatively high. When stocks are low and falling, some wholesalers and marketers may bid higher for available supplies.
If petroleum supply declines unexpectedly, as a result of refinery problems or lagging imports, diesel inventories (stocks) may decline rapidly. vehicle fleet is almost completely dependent on petroleum. Prices of transportation fuels in the United States are generally more volatile than prices of other commodities. diesel fuel supply and demand imbalances can cause price fluctuations In many countries, diesel engine cars are more common and more electricity is generated with distillate fuel than in the United States. Because heating oil and diesel fuel are practically the same fuels, changes in demand for one fuel may affect prices for the other fuel. International demand for distillate fuel affects U.S. International distillate fuel demand can affect U.S. Because diesel fuel is a major transportation fuel, the demand for diesel fuel generally follows economic trends. Visit What drives crude oil prices? to learn more about factors that influence crude oil prices. World economic conditions contribute to the demand for the petroleum products made from crude oil. Worldwide crude oil demand and supply determines crude oil prices. retail on-highway diesel fuel prices from 2000 through 2021. The cost of crude oil accounted for about 50% of the monthly average U.S. Gasoline is even lower in heat value than #2 Diesel.Short story, it ain't the same thing.Click to enlarge The cost of crude oil is the largest component of the retail price of diesel fuel
Know, though, that you will lose fuel efficiency by doing so. Is used to 'winterize' diesel.VW-Audi says to mix up to 30% regular gasoline to the fuel in their diesel engined cars for cold weather operation. Stank to high heaven when they ran low.Kero has less paraffin than regular diesel, so doesn't gel as quickly, to plug fuel filters on diesel vehicles. Kero, also known as #1 Diesel, actually has higher BTUs than #2 Diesel, or fuel oil, or home heating oil, or Jet Fuel.Formerly sold as 'Water White K-1' fuel oil, probably because of the Kerosun heaters everybody bought 20 years ago or more. You can have them fill some 55 gallon drums.local gas stations may charge a premium since they have to maintain the equipment and storage tank for a low volume seasonal product. Both products are now ultra low sulfur to avoid damage to 2006 and newer truck emission systems, but kero has a lower flashpoint than diesel, therefore diesel won't burn as cleanly in your kero space heater.Since diesel engines can run on Kero, kero and diesel are taxed at the same rates to prevent evasion of taxes, and can contain as high as $.70 per gallon tax, depending on state and local tax rates.some paint supply stores sell Kero in 5 gallon pails for use as thinner.If you use more than that, check with your local heating oil suppliers, some of them may run a kero truck.
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