“It is a limitation of capital.”
I understand. Although I'd think that folks who invest in refineries want to do things to keep up their refineries. I guess the problem that I see is that there probably isn't much incentive for the refineries to do this. If refining companies decided to really try to push Americans toward diesel vehicles, in order to use the additional diesel that they would produce after retrofitting, they'd wind up selling less refined product after having made major capital improvements.
From my own view, I don't know how we might move more toward the use of diesel passenger vehicles without some government intervention. Something like a pretty sizable tax credit for purchasing a diesel passenger vehicle. I'd imagine most folks would be against that.
A long-term tax credit for the purchase of diesel passenger vehicles might significantly increase the percentage of diesel passenger vehicles over time, which would, as demand for diesel increased gradually over time, likely persuade refining companies to gradually do the necessary capital improvements to change the gasoline/diesel ratio over an extended period of time. I don't know what the depreciation schedule for this equipment is, or what the actual lifecycle is for this equipment, either. However, by causing demand for diesel to rise gradually, I imagine that some of the hit on capital investment would be ameliorated, since companies would have to invest in replacing/upgrading equipment anyway.
But it seems to me that without intervention from outside the market place, folks might not otherwise choose to move toward diesel, and certainly, the refining companies would gain no advantage in encouraging folks toward diesels.
As a side note, I have become, in the last few years, a diesel enthusiast. My son started at a local Catholic high school in September 2007, and I found I was filling my SUV twice a week. Yikes! In January 2008, I replaced my wife's gasoline-engined vehicle with a newer model of the same car, but diesel, and I gave her my SUV (she drives less than 7000 miles per year). Whereas my wife's old car got about 18 - 20 mpg, I've averaged about 30 mpg with the diesel for the past two and a half years. I'm sure that part of that is that there have been improvements overall in fuel economy from my wife's old car to my newer car.
But I think part of it is that because there's a lot of torque, and much of it is available at low speeds, the car is easier to drive more economically.
When we finally get my wife a new[er] vehicle, we'll probably get another diesel.
sitetest
Refining companies, like nearly all producing companies, invest dollars to make products that make profits. They are not social engineering organizations like governments that do not care about the dollars.
I don't know how we might move more toward the use of diesel passenger vehicles without some government intervention.
If it is cheaper, we will, baring government interference. If it isn't, I don't want to move that way.
I buy vehicles based upon dollars per mile, meeting my specifications of usage and safety. In 2007 I bought a new full size pickup for about $15,000, small gasoline engine.
A long-term tax credit...
Please, no more social engineering via tax dollars.
without intervention from outside the market place, folks might not otherwise choose to move toward diesel
And if so, that's okay.