Monday, May 28, 2007

How to lower gas prices



I am not sure why the gas companies would do this--and I am certainly against the government mandating it--but what if they stopped making mid-grade and premium gasoline?

Even when the price of crude per barrel falls we can't gain ground on pricing because of refinery capacity, so why not stop devoting 15-20% of that capacity to fuel that our cars don't need anyway?

If there were more low-grade gas on the market--the type recommeded by the vast majority of auto manufacturers--wouldn't that increased supply lower the price?

Just wondering.




8 comments:

jon said...

Great Idea. I like the way you think!

Anonymous said...

You think gas is expensive in the US, us Canadians are lining up at the pump (like there's a Black friday sale) when the rates go down by 5cents.

My husband actually went across the border to fill up on gas. And it's worth the trip because it saves us more.

Hey, if you guys can get it much more cheaper by devoting all resources to the lower grade, I'm sure we'll end up moving a meter away from the border :)

UGN said...

Yeah, I hate what is going on with gas prices. Right now I am trying to figure out how to get out of driving my son to an event at 5 p.m. and then coming back at 8. I may just sit in my car and read rather than drive twenty miles twice.

Wally Banners said...

it is time to boycott the despots of resources.

UGN said...

If you call using as little as I can "boycotting", then I'm all for it. Unfortunately, I still need to get around somehow. Better would be to free up the oil business to get the oil that wacko environmentalists won't let us touch, to build more refineries, and to invade Mexico to take all of their oil by force (after all, they are invading us and they booed our Miss USA entrant).

Thanks for dropping by!

P.S. I am semi-joking about the invasion.

Anonymous said...

I never paid too much attention to the price of gas until recently. I just paid it. Yesterday I bought gas, and I remember thinking," Wow I almost paid $40 for gas! Sheesh!

I would like to see the USA aggressively look for alternate & cheaper sources for fuel, actually they are out there, and some were pretty effective but going against the big boys they didn't have a chance.

My father and I talked about alternate sources for quite some time a few weeks ago. I was mildly surprised because I never though he would be supportive of alternative sources for fuel. That's what I get for labeling him.

UGN said...

Well, the next car I buy is definitely going to be a hybrid. I hear the new Prius will get over 100 mpg and you can plug it in at night. I don't know that we have come far enough on alternative fuels. Ethanol doesn't cost any less and it is driving up the price of our groceries because corn is in such high demand.

jon said...

Yeah... then farming subsidies will actually have a PURPOSE instead of all that corn rotting away in silos.

sigh... irony again.