Biden considering emergency measures to boost refinery output

[Zorba]

In the late 60's and early 70's, until the Arab oil embargo, gasoline prices were stable around 30-35 cents... And stations used to have "gas wars" with decreasing prices pretty regularly.
I realize costs have gone up, but gas prices have gone up far more than other things.

The gas stations and refineries had all consolidated since then too.

 

[BoomerD]

The gas stations and refineries had all consolidated since then too.

Fckn corporate rip offs!

Consider this...in 1970, the federal minimum wage was $1.60/hr. Currently, it's $7.25/hr. That's about 4.5x the 1970 rate. If gasoline followed that increase, it would be about $1.50/gallon. We're getting ROBBED!

 

[hal2kilo]

THIS x10000. I don't understand why everyone drives around in BOF SUV based Trucks that get shit MPG for no reason. I mean i get it, I like the way land cruisers look and they are cooler than a minivan, but that's pretty much it for this demographic. No one in my neighborhood with one of these types of vehicles use it for anything other than as a family hauler. never seen any one tow a damn thing either.



dont forget the brandon, harley davidson and AR15 bumper stickers. it's the dumbest culture.

And 2 big tattered American flags sticking up from the front corners of the bed.

 

[BoomerD]

And 2 big tattered American flags sticking up from the front corners of the bed.

Those fuckers should be arrested and charged with stupidity leading to desecrating a US flag. I'd rather see one but ed in protest than beaten to threads in some moron's pickup.

 

[Pens1566]

And 2 big tattered American flags sticking up from the front corners of the bed.

No shit, I was behind someone in traffic just like this today as well. Except the flag was upside down, and the tailgate was covered in infowars stickers like "Arrest Fauci" "Arrest Bill Gates" "Covid is a hoax" and "Masks are for slaves and criminals".

 

[Mr.IncrediblyBored]

Fckn corporate rip offs!

Consider this...in 1970, the federal minimum wage was $1.60/hr. Currently, it's $7.25/hr. That's about 4.5x the 1970 rate. If gasoline followed that increase, it would be about $1.50/gallon. We're getting ROBBED!

If minimum wage is your benchmark for affordability, wait till you see what happened to education, healthcare, and housing costs.

 

[eelw]

Didn't read this topic yet, so don't know if it's been brought up yet. But the whole innocent act, but it's OPEC that sets the prices. Okay sure individual companies can't set their own prices. But then how is Russia dumping their oil at rock bottom prices without any penalty?

Edit - and if Congress is able to pass a bill to charge extra taxes on the insane profits these oil companies are making, what's to stop them from just further increasing costs to recoup the difference?

 

[MomentsofSanity]

Fckn corporate rip offs!

Consider this...in 1970, the federal minimum wage was $1.60/hr. Currently, it's $7.25/hr. That's about 4.5x the 1970 rate. If gasoline followed that increase, it would be about $1.50/gallon. We're getting ROBBED!

These people think having a fridge or a TV is a luxury. You think they give a shit if someone can afford to own a car?

 

[Roger Wilco]

Oil took a 6% dip today.

Oil slumps 6%, snaps seven week winning streak

Oil prices edged lower on Friday as demand concerns emerged following interest rate hikes in the week, although new sanctions on Iran capped the downside.

www.cnbc.com

 

[zinfamous]

Crossovers really are not the problem. It's the parking lots full of V8 F150s, Tundras, and Silverados I see all over the damn place for no good reason other than the "big thing good" mentality US automakers foisted upon our primitive brains.

all crossovers also murder babies because no one can see over them. The owners don't really know this, but it's true. They are all baby murderers, and yet most of them are worried about not-really-living-at-all cells in other people's bodies....all while they roll over your child because they have to text their sister about the wilted arugula that they just saw in the Safeway.

yes, cylinder/curb weight is the main thing when it comes to gas efficiency, but these raised monstrosities are not only murdering babies left and right, they just look like dogshit everywhere they are, and it is generally offensive for me to have to look at this shitpoor design, so they absolutely must go!

 

[zinfamous]

Fckn corporate rip offs!

Consider this...in 1970, the federal minimum wage was $1.60/hr. Currently, it's $7.25/hr. That's about 4.5x the 1970 rate. If gasoline followed that increase, it would be about $1.50/gallon. We're getting ROBBED!

hey dude: US wages stagnated right at 1975 (so the growth for one variable in that absolutely weak correlation effectively stopped for 5 decades) and has nothing to do with the price of petroleum on the world market. You're comparing apples to hammers right now.

 

[zinfamous]

Those fuckers should be arrested and charged with stupidity leading to desecrating a US flag. I'd rather see one but ed in protest than beaten to threads in some moron's pickup.

I mean...you know there is no crime for desecrating the flag, right? You know this, I hope. It wouldn't be the United States if there were such a crime.

I really do hope you understand that. It would suck that you wasted your time dodging Vietcong bullets and never actually learning that lesson. That would really suck. Especially considering that you probably killed people, not having understood that.

It would really fucking suck.



Love you, Boomer!

 

[Brovane]

Situation continues not to look for Diesel. This could eventually result in food shortages if farmers have issues getting Diesel to harvest crops. Diesel is really critical to the economic health of the US. If a single refinery goes down, we could be looking at even more impacts.

Why have diesel prices raced higher this year? It’s largely due to a shortage of refining capacity, not a shortage of oil, but the prices started to climb higher long before Russia invaded Ukraine.

“The nation is dealing with about a million barrels a day less of capacity than we had just three years ago. That's the equivalent of about 5%,” De Haan explains. “So, not only is oil a problem with sanctions on Russia’s oil, but turning that oil into something like gasoline and diesel is also now a choke point.”

“Refineries have less capacity; we have about 1.2 million barrels a day of less capacity because of shutdowns that occurred prior to the pandemic,” says Debnil Chowdhury, vice president, head of Americas Refining, S&P Global Commodity Insights. “Also during the pandemic, we've had some convergence to biofuels' facilities as well as a refinery that was hit by a hurricane and damaged to the point where it can't really be run anymore.”

S&P Global Commodities is also watching the situation. At a time when the U.S. is typically building inventory, the opposite is occurring, which is also heightening concerns about a possible shortage.

“This is the year we're running very low on inventory entering the summertime, and any type of impact on refining capacity is really going to increase the chance of the shortage,” says Chowdhury.

Farmers Are Now Paying Above $5 For Off-Road Diesel, And It's More Than Just Russia to Blame

 

[brycejones]

Situation continues not to look for Diesel. This could eventually result in food shortages if farmers have issues getting Diesel to harvest crops. Diesel is really critical to the economic health of the US. If a single refinery goes down, we could be looking at even more impacts.

Why have diesel prices raced higher this year? It’s largely due to a shortage of refining capacity, not a shortage of oil, but the prices started to climb higher long before Russia invaded Ukraine.

“The nation is dealing with about a million barrels a day less of capacity than we had just three years ago. That's the equivalent of about 5%,” De Haan explains. “So, not only is oil a problem with sanctions on Russia’s oil, but turning that oil into something like gasoline and diesel is also now a choke point.”

“Refineries have less capacity; we have about 1.2 million barrels a day of less capacity because of shutdowns that occurred prior to the pandemic,” says Debnil Chowdhury, vice president, head of Americas Refining, S&P Global Commodity Insights. “Also during the pandemic, we've had some convergence to biofuels' facilities as well as a refinery that was hit by a hurricane and damaged to the point where it can't really be run anymore.”

S&P Global Commodities is also watching the situation. At a time when the U.S. is typically building inventory, the opposite is occurring, which is also heightening concerns about a possible shortage.

“This is the year we're running very low on inventory entering the summertime, and any type of impact on refining capacity is really going to increase the chance of the shortage,” says Chowdhury.

Farmers Are Now Paying Above $5 For Off-Road Diesel, And It's More Than Just Russia to Blame

Why did Biden shut down the refineries in 2019 and early 2020? When will this democrat war on America end?

/s

 

[SMOGZINN]

As they're considered "essentials", he's an asshole.

Gas is an essential as well. Maybe not for soccer mom that wants to take the kids to Denny's after the baseball game, but definitely for the fleet of trucks that bring food to grocery stores. Diesel supply is a critical commodity for our nation.

 

[Pens1566]

Gas is an essential as well. Maybe not for soccer mom that wants to take the kids to Denny's after the baseball game, but definitely for the fleet of trucks that bring food to grocery stores. Diesel supply is a critical commodity for our nation.

Never said it wasn't.

 

[hal2kilo]

Gas is an essential as well. Maybe not for soccer mom that wants to take the kids to Denny's after the baseball game, but definitely for the fleet of trucks that bring food to grocery stores. Diesel supply is a critical commodity for our nation.

$5.79 a gal at Costco yesterday. Less refining required, blah, blah. Petroleum companies do this EVERY shortage because it causes the most pain.

 

[Puffnstuff]

I've read that the refineries are already at capacity so such an order will not make one bit of difference to those who know while the rest will see it as a do good feel good gesture.

 

[woolfe9998]

Biden is considering giving us a "holiday" from the federal gas tax. Which is unfortunate since it is bad policy to remove the gas tax not only because it only worsens climate change, but because it rewards the fossil fuel industry who have kept prices up by refusing to increase production. It allows them to keep the higher prices and have demand stimulated by reduced taxes. One of the silver linings to these high gas prices is that gas consumption is down, driving and traffic are down.

Unfortunately he may not have a choice, politically speaking.

Biden says he's nearing decisions on gas tax holiday and student loans as he tries to tame costs

President Joe Biden said Monday he hopes to decide soon whether to support a temporary pause in the federal gasoline tax and is nearing a decision on student loan relief as he looks to ease the burden of high prices on Americans.

www.cnn.com

 

[Homerboy]

Those fuckers should be arrested and charged with stupidity leading to desecrating a US flag. I'd rather see one but ed in protest than beaten to threads in some moron's pickup.

what about these guys?

 

[Homerboy]

Biden is considering giving us a "holiday" from the federal gas tax. Which is unfortunate since it is bad policy to remove the gas tax not only because it only worsens climate change, but because it rewards the fossil fuel industry who have kept prices up by refusing to increase production. It allows them to keep the higher prices and have demand stimulated by reduced taxes. One of the silver linings to these high gas prices is that gas consumption is down, driving and traffic are down.

Unfortunately he may not have a choice, politically speaking.

Biden says he's nearing decisions on gas tax holiday and student loans as he tries to tame costs

President Joe Biden said Monday he hopes to decide soon whether to support a temporary pause in the federal gasoline tax and is nearing a decision on student loan relief as he looks to ease the burden of high prices on Americans.

www.cnn.com

what I don't get (and I guess, I do "get it") is why he just doesn't call out the fossil fuel industry. EVERYONE is beholden to that mighty dollar.

 

[Pens1566]

what I don't get (and I guess, I do "get it") is why he just doesn't call out the fossil fuel industry. EVERYONE is beholden to that mighty dollar.

https://apnews.com/article/russia-ukraine-biden-covid-health-f73c882b0664a5d5dd62635a9a65364c

He kind of already has. There was a release last week where they went straight after the gas companies. Refinery capacity is down due to "unprecedented, unplanned maintenance globally in the last three months". That has zero to do with Biden or policies. It's a convenient way to reap record profits (again) during an already extraordinary shortage brought on by the conflict in Ukraine. The gas companies are nothing if not apt to collude industry wide.

 

[Dave_5k]

I've read that the refineries are already at capacity so such an order will not make one bit of difference to those who know while the rest will see it as a do good feel good gesture.

US refineries are running at 94% utilization in June, in the very best of circumstances they’ll hit ~95-97% or so in Summer. So not quite perfect operations, but only 1-3% off right now. Every refiner right now is highly incentivized to maximize production - and they are other than intractable supply issues or maintenance failures.

Also, there are about 18 million barrels of refining capacity in the US, spread over 20+ competitors, and the largest single company has a market share of ~15%.

https://www.eia.gov/petroleum/refinerycapacity/table5.pdf

It is one of the most competitive and transparently priced businesses in the world. If you want to see examples of monopolistic price gouging and extreme anti-competition and anti-consumer behavior, you’d instead find many real examples entrenched across the US tech and drug industries…

Finally, the US can import substantial volumes of gasoline and diesel or blendstocks, but global prices are such that it generally loses money today except in specific marginal cases. Russia and China having issues running refineries is a major contributor to the issues. Point being that the US doesn’t control the global market.

Insight: Global refiners falter in efforts to keep up with demand

Refiners worldwide are struggling to meet global demand for diesel and gasoline, exacerbating high prices and aggravating shortages from big consumers like the United States and Brazil to smaller countries like war-ravaged Ukraine and Sri Lanka.

www.reuters.com

While Biden could certainly try to use the DPA to takeover and restart refineries that were closed permanently during COVID as they were losing money, but that will probably take a couple years to get any restarted (they were generally shut down when in need of very expensive maintenance, and have already been stripped of critical parts for reuse elsewhere).

 

[Dave_5k]

https://apnews.com/article/russia-ukraine-biden-covid-health-f73c882b0664a5d5dd62635a9a65364c

…The gas companies are nothing if not apt to collude industry wide.

Ah yes, the widely claimed and yet never uncovered gas price gouging in the US. Where apparently 20 odd companies have managed to secretly collude on and off for decades, with zero evidence ever surfacing, every time prices go up. With multiple politically driven investigations like clockwork.

 

[DaaQ]

Biden is considering giving us a "holiday" from the federal gas tax. Which is unfortunate since it is bad policy to remove the gas tax not only because it only worsens climate change, but because it rewards the fossil fuel industry who have kept prices up by refusing to increase production. It allows them to keep the higher prices and have demand stimulated by reduced taxes. One of the silver linings to these high gas prices is that gas consumption is down, driving and traffic are down.

Unfortunately he may not have a choice, politically speaking.

Biden says he's nearing decisions on gas tax holiday and student loans as he tries to tame costs

President Joe Biden said Monday he hopes to decide soon whether to support a temporary pause in the federal gasoline tax and is nearing a decision on student loan relief as he looks to ease the burden of high prices on Americans.

www.cnn.com

I live near 2 lakes, I have not noticed a decline in people from out of state hauling their huge ass boats down to the multiple marinas here.

Well let me correct that, I have noticed less of the smaller boats. But the 30 foot plus behemoths with twin or triple outboard/inboard engines. Those have certainly showed up in large numbers.