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Originally posted by PA 3L SVT: Originally posted by BOFH: I don't believe the oil companies set the price of fuel. The only thing they control, just like OPEC is production. They really can't even control the gasoline basic formula as the EPA has a couple of dozen different formuations throughout the USA.
Read up on 'zone pricing' - there are two Exxon stations within a mile of each other here. One is charging $1.999/gal, and the other $2.119/gal. I asked the $2.119 owner why he ALWAYS charges $0.10/gal more than his neighbor and it's because he's in a different price zone. Exxon charges him more for the supplied fuel. Exxon (all of the oil co's actually) definitely has direct control of the selling price of fuel. They base the price of supplied fuel on a variety of factors, including amuont of local competition, local demand, local marketing charges, and local income levels. Giving them a direct hand in the local selling price of fuel.
Oh yeah, the SAME EXACT truck delivers fuel to the two stations.
Is one station farther from the refinery than the other? They have to draw the line somewhere.
There are all sorts of examples of stuff like this, especially in the phone biz. In some rural areas, a call to your neighbor a mile down the road is long distance, but a call into town 20+ miles away is a local call.
Huh?
Back to the distributor, I'm sure they have some formula that dictates the price of fuel based on the NYMEX price, distance from the refinery or distribution terminal (where you get gas out of a gasoline pipeline) etc.
Heck, the same truck, may deliver gas to an Exxon station, then a Texaco or Chevron next. The only difference is the industrial sized bottle of fuel additives they pour into the bulk tanks.
Gas is gas in any market, but the additives are supposed to be different by brand.
TB
"Seems like our society is more interested in turning each successive generation into cookie-cutter wankers than anything else." -- Jato 8/24/2004
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Joined: Sep 2002
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Originally posted by HITMANinMI: Actually another reason is because people buy SUVs and these Hummers thing and drive them across the country, using tons of gas while doing so. In turn they use more gas and it ups the need for places to make more oil, so blame the SUV drivers.
They should pay more for gas, and people that own Toyota Prius, other hybrid should pay the least, just my opinion.
My parents have an expidtion, and it gets extremely good gas milage, about 21 mpg, which is better then my car is currently getting. also the H2 is based off the chevy taho which is rated for about the same mpg as my ranger got, and that was 18 city and like 23 highway. And my ranger was a small truck not a BIG SUV. And what you gonna tell me porshes, get like 50 mpg too? no they get like 10!
95 SES Sold
99 SE Sport Sold
99 SVT T-Red Tan Interior. K&N, Magnecors, 19' Theorys, And some audio stuff.
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Joined: Feb 2004
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Well people it's like this.... People will buy it ...so they sell it.....cost...whats that? It's what people will pay for it....STOP Paying..if you dont like the price STOP driveing somuch....... "Im no tree hugger...im not anything but a american".... Bone A#$ White...I just park the svt and do things close to home.... Im not saying stop going to work ...but carpool...if your going to the store its one thing..but work.. come on there's people at work on the way for the most part....every car gone is more gas not used....there not kidding it works... "Where we dont know...just like busing"...lol Control loss is the problem here ....[censored] [censored] [censored] thats all I here...do do do is the fix..do something that will help...... not [censored] about the suv and trucks...you make me laugh Hello there was V8's in everything just twenty years ago. just think what will happen when they get rid of gas cars then what ?......then you will get mad...
98/Con/svt/Cougar trans
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Joined: Sep 2002
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I think your numbers are a bit off. http://www.fueleconomy.gov/feg/noframes/18168.shtml According to them, 14 and 17mpg for city and highway. On the same site, they list the porche boxster as 18-28. Not sure what porche you are talking about for 10. But most of the moderately priced ones get better efficiency.
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Quote:
I think your numbers are a bit off. http://www.fueleconomy.gov/feg/noframes/18168.shtml
According to them, 14 and 17mpg for city and highway.
According to the EPA my Mazda6 also gets 23/27. In reality it gets 16/20. I've never broken 20mpg even on 1000 mile road-trips.
Those numbers don't mean crap.
2003 Mazda6s 3.0L MTX
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Is it wrong to assume you never ride the motor close to redline? The peak numbers they list are just that: peak numbers. If you drive the car like a woman, you'll get better gas mileage.
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Originally posted by auiotour: My parents have an expidtion, and it gets extremely good gas milage, about 21 mpg, which is better then my car is currently getting. also the H2 is based off the chevy taho which is rated for about the same mpg as my ranger got, and that was 18 city and like 23 highway. And my ranger was a small truck not a BIG SUV. And what you gonna tell me porshes, get like 50 mpg too? no they get like 10!
uuuhhh yeah right, we just went car shopping and hub wanted an Expedition. I saw the mileage...which was like 12/10 or something and I said "H E L L No are we getting that." So I HIGHLY doubt your parent's Expedition gets that good mileage. On another note, we have an Explorer. We got it cause we needed it to get up our family's mountain in northern California. Otherwise we never would have even considered it, but we needed the 4X4 that was also a 4 door. Now that we are no longer in California, and do not use the 4 wheel drive, we don't really drive that truck around much. We live on a military base, about 1/2 mile from hub's work, and he actually would be riding a bike to and from work if he hadn't have just had knee surgery. Once his knee heels, he will be back to riding his bike. When we go anywhere else, we take my Contour. Now, gas prices are up because it's summer, and people are traveling, especially military. This part of the year is the BIGGEST traveling season for military, not just to go on vacation because the kids are out of school, but this is the military's "PCS Season"....meaning military families all over are moving to new bases and/or countries. In the past 2 months, we have lost 3 families that we know personally, who have moved either overseas or across the country. That's just the way it is. They(gas companies) know this is the biggest part of the year for driving, so they are going to jack up prices. Why not? They are allowed, people will need the gas, and will have to pay the price. Now that I have said that, are you going to blame the military for gas prices raising?
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Originally posted by sigma: According to the EPA my Mazda6 also gets 23/27. In reality it gets 16/20. I've never broken 20mpg even on 1000 mile road-trips.
Knowing that you live in Texas, as fast as they drive, how fast were you driving on those road trips? Anything over 60-65mph and your gas mileage goes to $hit supposedly. I see it when I drive, highway driving (75mph) gets me the same gas mileage as driving in town. -Nick
"Moore has also accused the American people of being the stupidest, most naive people on the face of the Earth. And after last weekend, he's got the box office numbers to prove it!"
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Originally posted by 99blacksesport: Originally posted by sigma: According to the EPA my Mazda6 also gets 23/27. In reality it gets 16/20. I've never broken 20mpg even on 1000 mile road-trips.
Knowing that you live in Texas, as fast as they drive, how fast were you driving on those road trips? Anything over 60-65mph and your gas mileage goes to $hit supposedly. I see it when I drive, highway driving (75mph) gets me the same gas mileage as driving in town. -Nick
I noticed a 4mpg increase on the return portion of a recent road trip b/c i set the cruise at 68 rather than 82.
Diesel owns you
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Zone pricing articles from a quick Google: Reprint of WSJ article from 2000 (with BB comments)4/2/04 article from a Palm Springs, CA paperCBS News coverage from 2003Especially note this line from the CBS article: Quote:
"Zone pricing is basically a demographic study of the income, the competition in that area and they determine what they can extract in that given market area," says DaCota.
DaCota is a station owner in California. He hits it on the head with the "determine what they can extract" statement - oil companies charge as much as they possibly can wherever they can. "Who cares if consumers don't want to pay $2 per gallon? If we charge it, they have to pay it or walk."
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