[ale] OT: gas going up this weekend

[Sean Kilpatrick]

I know it is cold comfort, but, to repeat, gas is cheaper now (in constant 
dollars) than it was in April, 1974.

There are two major parts to the rise in gas prices:

* Long term: demand for crude oil (especially from China but also from 
South America and Africa) is rising and isn't going to go down until the 
world's major economies develop energy sources NOT dependent on fossil 
fuels.  That isn't going to happen in the next 20 years, so plan now for 
higher fuel prices in the coming decades.  Greater demand and flat supply 
can only lead to higher prices.

* Short term:  The Atlanta metro area is required by the EPA to use 
"designer" gasoline.  That is, we are forced to use a "winter" blend and a 
"summer" blend.  That's nice; it helps reduce air pollution.  BUT, 
gasoline retailers are prohibited by the EPA from mixing the two fuels in 
their tanks.  I >THINK< the crossover occurs on June 1.  As the crossover 
date approaches, retailers are forced to jack up prices to control demand 
or they risk running completely out of gas.  And the refineries are now 
beginning to produce the summer blends , thus guaranteeing a shortage of 
the required "winter" fuel, which, of course, limits supply and forces 
prices to rise. On a more positive note, "summer" gas, has more gasoline 
in it so your fuel mileage is a bit higher, and it is a bit cheaper to 
produce, so the cost goes down a few cents. Usually. :)

Given the above, it is a safe bet that gas prices in the Atlanta metro 
area will continue to rise over the next 33 days and then drop noticeably 
come June 1.

Sean

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On Thursday, April 28, 2011 02:54:35 pm Geoffrey Myers wrote:
> Jim Kinney wrote:
> > On Thu, Apr 28, 2011 at 2:04 PM, The Don Lachlan <ale-at-ale.org
> > <http://ale-at-ale.org>@unpopularminds.org
> > <http://unpopularminds.org>>
> > 
> > wrote:
> >     Georgia used to have very inexpensive gas. Now, it's the higher
> >     side of average and the national average is between 3 and 4
> >     times what it was 10
> >     years ago.
> > 
> > National average (today) is $3.88 and Ga is $3.76. We're still lower
> > than average and the new tax bit won't change that.
> > 
> >  http://fuelgaugereport.aaa.com/?redirectto=http://fuelgaugereport.op
> >  isnet.com/index.asp
> 
> You know what they say about average?  A guy is standing with one foot
> in a bucket of frozen water, the other foot in boiling water.  On
> average he should be okay. ;)
> 
> Personally, being below average doesn't comfort me.  I think the price
> of gas is too high.  I don't know who to blame.  It sucks.
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