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Gas Prices May Go Up with Switch to New Additive (California)
kxtv ^

Posted on 12/27/2002 9:42:57 PM PST by chance33_98



Gas Prices May Go Up with Switch to New Additive

California's gasoline supply will go through some changes next year. The state is phasing out the controversial additive MTBE but the alternative may prove more expensive.

A warning sign listing potential dangers caused by the fuel additive MTBE. For now, Brent Andrews must post it at his Woodland gas stations, but the signs won't be up much longer. "Now they're saying it's no good. Right. It's typical. They used to say we couldn't eat eggs and butter, too, and now they do," said customer Bill Boots.

The state is ordering refineries to phase out MTBE next year. It will be replaced with ethanol, an oxygenate some experts claim will help reduce auto emissions.

Drivers probably won't detect much difference in the fuel, but they will notice a difference at the pump. The transition is expected to cause price spikes, though it's unclear how high prices may rise. Experts say it could range anywhere from a few cents a gallon to 75 cents. "It's a basic supply and demand scenario, and my crystal ball is as good the next guy's," said Brent Andrews of Interstate Oil. "It's really hard to tell what will happen as far as gasoline pricing."

The state ordered refineries to phase out MTBE by January 1, 2004. Some have already switched.


TOPICS: Front Page News; Government; News/Current Events; US: California
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1 posted on 12/27/2002 9:42:57 PM PST by chance33_98
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To: chance33_98
the hypocrisy of the environmentalists that move from the epa, state of california government, and back and forth to industry never ceases to amaze me.

mtbe is a known carcinogen. yet, the environmentalists mandated it for california. meanwhile, the oil companies got rich from this additive.

10 years ago kgo radio host bill wattenberg (not ben) used to yell his lungs out about this issue. it causes cancer, he'd say. but no one paid any attention. meanwhile, the state's rivers, lakes and underground water are contaminated with this stuff.

finally, the state of california decided to remove this junk.

and guess what? now the oil refineries are saying they'll have too little supply and so the price of gas will go up!

2 posted on 12/27/2002 9:49:53 PM PST by koax
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To: chance33_98
Why should I care? The chauffeur refuels the Rolls. < /limousine liberal >
3 posted on 12/27/2002 9:49:54 PM PST by how_left-wing_is_the_media?
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To: chance33_98
For now, Brent Andrews must post it at his Woodland gas stations, but the signs won't be up much longer.

Other gas stations in Woodland have signs claiming no MTBE; guess which ones I go to (when I remember that I want to avoid MTBE). I have not noticed much of a price difference.

4 posted on 12/28/2002 12:57:25 AM PST by exDemMom
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To: chance33_98
Ethanol Gas is cheaper that MTBE, that is why ARCO stations are so cheap, their gas is 10% ethanol already. But of course any change handled by goobermint is expensive, even if it costs less we will pay more...
5 posted on 12/28/2002 2:53:56 AM PST by American in Israel
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