The truth about fuel prices?

[MRR]

I got to thinking recently how we in the US complain about high fuel prices $3 gallon while in every European country I have ever been too the price is probably three or more times that. What makes it so much more expensive then in the states? Is it taxes, transportation to get the fuel there (I doubt it), etc? Furthermore what makes it cheaper here then there? The government gets a good chunk on what you pay in taxes too (its like 4-5x more then the oil companies make per gallon/liter) and it probably costs more to get it here in the first place!? Also diesel is more expensive in my area then even 93 octane fuel and that doesnt make much sense since it is easier to make/refine?

[Dino Scuderia]

Fuel in the USA isn't as heavily taxed as it is in Euro countries as well as the volume consumed is lower in those countries.

Diesel is going up because the new Ultra Low Sulphur formula is being made and the is an extra refining process.

California is already required to have the new formula and the rest of the country is to have it by October this year.

Any diesel engine model 2007 and on is to burn only the new diesel.

[Clique]

In britain for every one pound of fuel bought 70p goes go Brown and Co and the other 30p goes to the company...therefore the fuel companies have to inflate their prices in order to return a profit once brown and co have taken 'their' share.

[NSXType-R]

Does the new ultra low sulphur diesel have any effect on a diesel that once ran on fuel that wasn't low sulphur?

[Dino Scuderia]

Does the new ultra low sulphur diesel have any effect on a diesel that once ran on fuel that wasn't low sulphur?

All diesel engines will burn it just fine, but 2007 and beyond are specifically designed to burn the ultra low sulphur.

[Ferrer]

All diesel engines will burn it just fine, but 2007 and beyond are specifically designed to burn the ultra low sulphur.

Which are cleaner, more frugal and better perfoming.

[NSXType-R]

I dunno if I'm right but I think most of the fuel costs come from the taxes in European countries. We have taxes too but just not as high.

[2ndclasscitizen]

In the USA they don't need to import as much as they have large oil reserves within their own country, which helps keep prices down

[drakkie]

In the Netherlands the fuel price consists of:
10% refinery costs
15% actual cost of the crude oil
60% taxes
10% transport costs
5% profit and other costs
These percentages are not precise,but you get the idea

[drakkie]

All diesel engines will burn it just fine, but 2007 and beyond are specifically designed to burn the ultra low sulphur.

As a short reminder, this fuel is the only one sold here for the last 15-20 years It allows the manufacturers to use more advanced technology,like better injectors and/or commonrail technology on their engines,thereby lowering emissions and better performance

[h00t_h00t]

There is a much more cynical answer, because you'll still pay for it.