Posted on 08/22/2016 2:33:38 PM PDT by bananaman22
In last month’s Short Term Energy Outlook (STEO), the Energy Information Administration (EIA) projected that it now expects record U.S. gasoline consumption this year
This projected increase follows several years of lower gasoline demand that resulted from persistently rising gasoline prices over the past decade. From 2002 to 2012 the average retail price of gasoline rose nearly every year, from an annual average of $1.39/gal in 2002 to $3.68/gal in 2012. Consumers responded to these higher prices in multiple ways, which cumulatively led to falling gasoline demand. Some even suggested that U.S. gasoline demand had permanently peaked, as a result of more fuel efficient vehicles and increasing adoption of electric vehicles (EVs). We can now say those predictions were premature.
(Excerpt) Read more at oilprice.com ...
NY wins again....50.6 cents tax per gal
The trend is pretty obvious to anyone with an elementary knowledge of economics. The Law of Demand...lower prices increase the quantity demanded. With gas prices around $2 per gallon or less no wonder.
I personally try to burn Diesel ilo Gasoline. Don’t blame me...
NYS needs to Frack it’s way to prosperity.
A little off target but while walking through a giant parking lot today i made the observation that none of the spots had a giant oil spill on them like one would see on every spot back in the 70’s.
Guess the car makers finally perfected the oil seal...
Not with this damn governor and legislature.
mmmmMMMM!!! I love to burn gasoline and diesel!
That’s an excellent observation. When I as a kid there was always a giant oil spot in the parking spot.
Sounds like the general populace isn’t worried about Global Warming.
The Japanese kicked Detroit’s butt for a while. It finally got their attention a decade or so ago...
Depends on where you’re at. The price has been flat and/or declining in the PNW. Even with lower fuel prices, demand is still dropping. The only thing propping up fuel prices right now are state & federal taxes and EPA emissions requirements, which actually INCREASE diesel fuel consumption.
Its not clear to me that high consumption will translate into higher oil and gas prices.
I just had an oil leak in mine fixed. Lol
Never happen.
If demand for refined product is so high, why is a glut of summer gas being converted to winter gas, and why did the refineries switch to making winter gasoline and other products early this year?
http://www.reuters.com/article/us-usa-gasoline-flows-idUSKCN1040G1
http://info.genscape.com/current-state-of-the-oil-market-webinar-feb-2016-questions-answered
Retail gas price fell going into the summer vacation driving season, which does little to support the writer’s contention.
Stupid fat Americans going to and fro. Let’s do somethin’ about that. /s
Well, because all other things being equal, eventually you burn through the oil glut, and prices start to rise again. But usually there are more factors than simply consumption. Like if OPEC reduced their supply or other world events, those could change prices from the supply side.
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