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€€€€ Diesel prices ???

  • 08-04-2008 11:06pm
    #1
    Banned (with Prison Access) Posts: 1,284 ✭✭✭


    how can the resent Dsl price increases be allowed to continue in the face of a world struggling to make consumers take the most environmental economic option available..

    In the last year or two dsl prices have shot up above petrol prices. All things being equal diesel has risen by a whopping 20% when compared to petrol!

    and what of negative feedback from the fact that more expensive product generally require long working hours to pay for such a product but in turn this extra work uses up more fossil fuels
    This i call the "negative feedback product cost" and it hits us everywhere.
    Its worst case is seen in house prices.


Comments

  • Registered Users, Registered Users 2 Posts: 2,625 ✭✭✭AngryHippie


    TBH, house prices are dictated more by demand than by the price of production, If demand is high, prices shoot up, when demand tails off, the prices creep down until the properties start selling again, So using house prices as any indicator of the effect of fuel prices is a pretty inaccurate way of looking at it. A more accurate indicator would be to look at the cost of agricultural produce, pesticides aside, the cost of all other inputs to farming have remained pretty much the same over the last 10 years, while the cost of feed and fuel have been pushing up steadily (fuel being an input into the cost of feedstuffs). This will give some indication of how much the increase will be by the time it gets to consumers, although when transport, processing and storage costs have been factored in, the picture gets properly scary.

    As for the most economical option, well there are alternatives to buying a house, such as renting or emigrating......

    On the initial diesel question though, The reason that the govt. are allowing the increases in prices is because for many years it was largely ignored by the bulk of consumers, even though it has always been a more economical fuel, once the demand started to shift, the government revenue had to be made up from somewhere, and now here we are.

    Ask Cowen, he'll have a smart answer for ya, but ask soon or he won't have time to answer ;)


  • Banned (with Prison Access) Posts: 1,380 ✭✭✭derry


    As I understand it when they put a barrel of oil into a cracker which sorts out the fuels like paraffins diesels and petrols etc
    There is a natural ratio of those fuels that will come out for a simple example
    20% parrifin
    20% petrol
    20% deisel
    and 40% other stuff tar plastics etc

    If however the fuell demands are
    30% diesel a
    nd 10 % petrol there is a problem
    the two fuels don't match the demands and they are going to be left with a 10% pile of petrol
    unless.....

    Oil refineries can use EXTRA energy to convert different fuels into other fuels so they can use petrols or parrifins to make for example some extra diesel like for example

    Oil refineries
    makes 25% diesel
    and 15% petrol
    and 15% parrifin
    and they used the missing 2.5% of petrol and the missing 2.5% of parrifin to make the 5% of the extra diesel
    and the other missing 5% was burnt up to make the
    EXTRA energy
    to make the missing diesel

    So in the above example we haven't matched demand equally but we have reduced the stock pile of the petrol accumulating to 2.5% but we also took away from parrifin 2.5% and that parrifin might have been able to sell well as it is a much cheaper fuel and so costs got to be recouped from somewhere so deisel prices will go up to cover
    the EXTRA energy input
    and the loss of 5% petrol and parrifin
    and the reforming of the other 5% petrol and parrifin
    in this simple example

    The excess 2.5% petrol not consumed can with further energy expenditure be made into plastics or shipped to a petrol deficient country or flared if there is to much to get rid of
    ( believe me they can and do flare petrol or parrifins or any excess fuels types to balance the loads if its the cheapest solution not just gas)

    so its all to with ££££ $$$$ EEEE and taxxes and stuff
    like heads they win tails we lose :mad:


    So much as I cant stand dip stick Fiana Fail and boring bar singer Cowen this time he isn't the principle agent creating all this mess

    However he might be able to help sort it out if he wanted to if his brain could understand the oil refinery issues and he was willing to alter the fuel taxes to suit loads
    But then why should he

    His opinion is he is off the hook it.s the oil refinery fault
    and anyway he gets a state car with free petrol and most everything else hes alright jack how are you doing .....

    So you and us plebs can walk if we cant afford the costs because Cowen will say its free enterprise and if oil companies want to flare petrol thats a commercial issue
    Cowen doesn't do refineries he does gouging the the tax payers

    So hope it clear as mud might as well be knowing wont change the story one bit

    So the next time you see a oil refinery flare remember they don't have to pay taxes on fuel until its sold so they can afford to flare off expensive excess fuel as its still not in the government tax net just to keep prices in the right way and the government don't give a flying **** what you think

    derry


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