Our Fuel Problem

[pennzoil29]

I know that I'm posting this in the wrong section, but I figure it will be seen more. It is a petition to get the government to open up, and start drilling for oil. I'm spending more than $400 a month in fuel now. It is starting to take its toll. I signed it. Won't you?

 

 

http://www.americansolutions.com/actioncen...7b-346a1e096659

[SLESierra]

short term gain at best. Think of the holding on to our reserves as a future for our children to wield the power these other countries have over us now. The problem is not supply - the problem has been the speculation on the supply. If you open another area up to drilling then that same area is up for the same speculation of eventual depletion and does nothing for the supply. Just ask an economics major - I bet they laugh every time someone brings this up as they know it will just cause a sag for a few days and the prices will return to their current levels.

The best way to solve this problem is to

1. Make speculators on Wall Street take possession of the products they trade.

2. Define possession as the actual physical storage of a product.

3. Stop the offloading of fuels from American soils when the prices for such fuels are driven higher by such practices.

[slimjim2525]

I saw diesel yesterday for 5.09 a gallon. I filled up with 87 octane and cost me 93.00 dollars.

[sno]

short term gain at best. Think of the holding on to our reserves as a future for our children to wield the power these other countries have over us now. The problem is not supply - the problem has been the speculation on the supply. If you open another area up to drilling then that same area is up for the same speculation of eventual depletion and does nothing for the supply. Just ask an economics major - I bet they laugh every time someone brings this up as they know it will just cause a sag for a few days and the prices will return to their current levels.

The best way to solve this problem is to

1. Make speculators on Wall Street take possession of the products they trade.

2. Define possession as the actual physical storage of a product.

3. Stop the offloading of fuels from American soils when the prices for such fuels are driven higher by such practices.

Great post. But, while I like the concept, I can see those points leading to scenario where only a few big oil companies control the supply, pricing and delivery. This would likely lead to price-fixing &/or collusion which could/would not be proven.

 

There has been some talk of increasing the asset levels needed for trading oil... meaning that in order to bid (speculate), you have to have a higher percentage of the funds to actually purchase. This would cut out a lot of the minor-league traders and speculators but still leave a great number of entities bidding.

 

What bothers me is that as we reduce demand, the refiners are cutting production in order to keep prices at current levels. I'd like to see a little "decency" by them to keep production up until prices are more reasonable. But, supply vs demand rules and as long as we keep paying these prices, they'll keep charging them.

[CapitalTruck]

I think domestic drilling plays a role in our oil usage future. It is far from being some one stop solution. The idea of actually taking delivery of the product is a good one (as far as speculation is concerned). However, eventually if prices keep climbing demand will go down. Compared to this time last year, oil and motor fuel consumption has dropped somewhat. While this isn't shocking (with the higher prices), it does at least mean that we're cutting back (and thus prices should go down some at some point). Maybe not, but here's to hoping. The other thing to remember is that regardless of where oil is drilled, all of the oil companies are international companies. So if the Chinese want more they'll get it, regardless of where it's drilled.

[rogerf]

It's easy to blame this situation on speculators or for-profit corporations or the owners/investors of those companies. The real reason is demand, mostly from the developing world that is building stuff to ship to US markets. Somehow the Chineese seem to be able to afford these oil prices and continue to buy up as much oil as they can get to fuel their industry. Why???, because they are flush with cash from the US. The capitalist thing to do is invest in the oil companies making the winfall. Then we can afford to fill the tanks in our gas-suckin big trucks from the dividends. Think of it as getting our money back from the Chineese.

[redsled2007]

From what I've gathered, almost all the oil from the US goes to export. Our environmental laws won't let us use anything but "light sweet crude". Something about too much sulpher content. Probably a lot more to it , but that's the quick point

[omegafiler]

Drilling for more oil is absolutely NOT the solution. I hate to say it, but high gas prices is about the only thing that ever made a dent in changing US oil consumption in general. For the first time we have people rethinking vehicle purchases, avoiding gas guzzlers, driving less, etc.

 

This in turn has and will change the market and force manufactuers to build more fuel efficient vehicles. Even more importantly, invest even more into alternate fuel/power sources. CAFE requirements would have helped do this anyways, this has just speed up that process a lot more than some would like. In other words, I don't think anybody wanted gas prices to go up quite so fast. But the end result is the same.

 

Bottom line, if there is plenty of oil, and prices stay low, people have absolutely no incentive to push for better MPG vehicles and alternate power sources that reduce dependency on oil, period. Want proof? Just look at where we are today thanks to a long history of "cheap" oil.

 

And with that said, there is absolutely no guarantee that drilling for more oil is going to somehow magically lower gas prices. Since when is stuff here in the US cheaper than things imported? There is a reason the US imports just about everything we buy. Gas prices have been going up forever, and will continue to do so as long as US and Global demand goes up. Which it will - at least globally. Giving people MORE oil isn't going to help anybody other than the oil companies.

 

We are already in the very early stages of moving away from oil dependency, lets not go backwards.

[chitownpete]

Drilling for more oil is absolutely NOT the solution. I hate to say it, but high gas prices is about the only thing that ever made a dent in changing US oil consumption in general. For the first time we have people rethinking vehicle purchases, avoiding gas guzzlers, driving less, etc.

 

This in turn has and will change the market and force manufactuers to build more fuel efficient vehicles. Even more importantly, invest even more into alternate fuel/power sources. CAFE requirements would have helped do this anyways, this has just speed up that process a lot more than some would like. In other words, I don't think anybody wanted gas prices to go up quite so fast. But the end result is the same.

 

Bottom line, if there is plenty of oil, and prices stay low, people have absolutely no incentive to push for better MPG vehicles and alternate power sources that reduce dependency on oil, period. Want proof? Just look at where we are today thanks to a long history of "cheap" oil.

 

And with that said, there is absolutely no guarantee that drilling for more oil is going to somehow magically lower gas prices. Since when is stuff here in the US cheaper than things imported? There is a reason the US imports just about everything we buy. Gas prices have been going up forever, and will continue to do so as long as US and Global demand goes up. Which it will - at least globally. Giving people MORE oil isn't going to help anybody other than the oil companies.

 

We are already in the very early stages of moving away from oil dependency, lets not go backwards.

 

 

 

 

You are gosh darn right. We asked people to stop wasting-they didnt listen, we said do it for your kids future-didnt listen. Gas is $4 a gallon. Holy crap! We need to do something! In the long run its a good thing since no one seems interested in promoting population control and we can live the way we do just by not wasting so much. The other day I rode a bicycle to return a video, saved about $1.25 worth of gas and took the same amount of time. I buy the same amount of gas as when I had my Tacoma(4 cyl) I just dont drive as much. If you reduce your consumption 35% arent you kind of breaking even?

[2018GMC]

Opinion -

 

I agree that the high gas prices are forcing Americans to be more conservitive. Its too bad that the development of alternative fuels and new technology will most likely not happen until we deplete fossil fuels.

 

FYI-

 

Here in Arizona I have noticed that alot people are actually slowing down and driving 70 mph instead of 80 - 85 when the speed limit is 75. It's amazing how much better MPG cars, trucks, etc can achieve when you slow down 10mph and dont drive like you stole it. Too bad my 79 Chevy only gets better mpg when i drive 55 which means you get run over on the interstate. Guess that will stay parked ALOT.

[yukondan]

If you feel that drilling for oil in the US is a good thing and want congress to make changes to open up resricted areas, There is a movement to bring attention to your Senators and congressmen. This movement is as follows:

 

Send to your Senator AND congressmen to their Washington office (not local office BUT Washington office) NEW OR USED Drill Bits, Any Size any condition.

 

My opinion, just drilling for more oil in US Terrority is not the solution Just as Corn based Bio-fuels is not the answser as that takes food off our tables and jacks up the cost of food.

 

Investigation into oil future pricing from speculators to the oil companys themselves may reveal more answers than anything. The devaluation of the US dollar against other country money is whats pushing up prices (or so Thats what I reed in finance circles)