Dear goodlulu-ga
The cost of gasoline is determined by an number of factors.
The first is the cost of crude oil to refiners. Crude oil prices are
determined by worldwide supply and demand. Rapid gasoline price
increases often occur in response to crude oil shortages. This
shortage can be governed by many factors including decreased output by
the crude oil producers, war, threat of war, gasoline producers buying
more oil and thus creating a sellers market where prices are driven
up.
Refinery processing costs.
Changes in gasoline specifications.
Marketing and distribution costs – these vary from region to region
and depend on the grade of the gasoline.
Retail station costs.
Taxes.
More background information can be found at
http://www.platts.com/features/gasoline/price.shtml
Here is an example extracted from the Californian Energy Commission
(the site has graphics):
California Motor Gasoline Price Breakdown April 12, 1999
Gasoline costing $1.62 per gallon, crude oil costing $14.75 per barrel
9 cents - Dealer Margin includes all costs associated with the
distribution and retailing of motor fuel.
48.3 cents - Local and state sales tax estimated at 8.0%.
70 cents - Refinery margin must cover all costs associated with
production, distribution, and acquisition of gasoline. During times of
market disturbance, production (and acquisition) costs may increase
beyond normal values.
35 cents - Crude oil prices fluctuate daily causing a change of about
2.5 cents per gallon in the crude cost for gasoline for every $1.00
per barrel change in crude oil cost.
http://www.energy.ca.gov/gasoline/breakdown/1999-04-12_breakdown.html
The 2000 figures can be compared at
http://www.energy.ca.gov/gasoline/breakdown/2000-03-13_breakdown.html
The Exxonmobil has some graphs showing crude oil and gasoline price
fluctuations since 1920 and a discussion of their effects at
http://www2.exxonmobil.com/Corporate/Files/Corporate/gpip.pdf
I hope this has answered your question. Please ask for clarification
of this research, or if the links do not work, before rating the
answer.
answerfinder-ga
Search strategy
"gasoline price" factors
://www.google.com/search?hl=en&lr=&ie=UTF-8&oe=UTF-8&q=%22gasoline+price%22+factors |
,
0 Comments
)