Cost of Fuel

[SV DestinyAscen]

For most people the price of fuel would have to rise to 150 dollar per barrel crude levels plus refinery shutdown capacity issues to put a dent in congestion. When the price of commodities go up, there are thousands and millions that suffer. Canadian oil shake will benefit from OPEC capacity slowdown, but celebrating the increase cost of energy is pretty silly. Like saying I'm glad unemployment is high because I don't like to see people at my vacationspots .

[Lepke]

Since Opec agreed to cut production the barrel price has gone up less than 10%. And Opec members are known for violating their own agreements. Iran is bringing their production back to pre sanction levels. Libya may get their country together, etc. Most of them are short on cash, so history will probably repeat.
As the price rises, many frackers will go back into production or increase production. Many are operating in old pumped out fields and have low costs because the wells and pipelines are there already.
Since the US is again a oil exporter, there is an incentive to produce more oil. In a few weeks, the people trying to take America back to pre-European settlement will be gone and new pipelines will be able to be laid, new oil wells drilled. Canada's oil sands will be able to reach the bulk of US refiners.
I would like to cruise greater distances on cheaper fuel until something better comes along.
You poor Canadians, all those energy supplies and Trudeau can only tax and spend.

[Pete7]

Originally Posted by SV DestinyAscen

For most people the price of fuel would have to rise to 150 dollar per barrel crude levels plus refinery shutdown capacity issues to put a dent in congestion. .

Certainly in England the high prices averaging $120 a barrel between 2011 and 2014 did make a difference to the number of cars on the road and motorboats venturing more than a few miles outside of their marina. However, it really hit those who live and work in the countryside and don't have good public transport.

I drive a 2 litre car which does 53 mpg (imperial gallons). The idea of buying an US vehicle with a V8 engine doing low teens mpg just isn't even worth thinking about.


Pete

[leftbrainstuff]

Oil like all resource stocks will continue to have wildly fluctuating highs and lows due to supply and demand.

What is clear is that the cartel behaviour from OPEC is likely a thing of the past. Primarily due to fracking and tar sand extraction led by the US.

Declining growth due to changing consumer usage and renewables is also weakening oils grip on our lives.

We liveaboard and run our espar diesel heater daily in winter. We replenish diesel twice a year. It's not a significant cost. We spend a magnitude more on booze.

[crabcake]

Originally Posted by zeehag

http://northglennews.co.za/99772/mas...ected-in-2017/
ok so the price of a barrel of crude is going to be driven up by the rising price of fuel. this seems a lil corporate greed based to me--the fuel rise precedes the increase in per barrel of crude. forcing the market.
yes, pete, this will ultimately again increase the costs of all crude oil based items. currently the barrel price is 53-ish usd per barrel. they want 60-70 usd per barrel.

As is the normal course of events, speculators are driving the prices up. They fill their wallets from your purse!

[Mike OReilly]

Higher oil, and therefore gasoline and diesel, prices are the only way to reduce oil consumption. From an environmental standpoint this is good. From a social stability standpoint, not so good. But this is the path we are on since our societies are unable to reduce energy use and consumption rates rationally.

But I wonder if the uptick in oil prices have any impact on boat purchase choices. I’ve read here of the perceive decline in sailing vs power boating. Not sure if it’s true (just haven’t seen real data on it). But if it is true, you’d think higher fuel costs would inspire people to shift to sailboats.

Car buyers quickly shift to smaller, more fuel efficient vehicles, with higher oil prices. Is the same seen in boating (shifting to sail from power)?

[kmacdonald]

The fuel shortage in the 80's destroyed the power boat market.

[Stu Jackson]

Originally Posted by joel383

Most recently the governor just ordered the last dividend to only partially be disbursed. It was a failed money grab. You see, its the American way, we all like nice things but nobody wants to pay for them, so when we(state of alaska) run out of money later this year we will borrow more!.......................
...........................................

I'm not Ann and I call you on this disturbing myth.

Why do you pay taxes? We all do.
What we should expect from our elected representatives, who work FOR us, is able management of the money they have.

Because many of them don't doesn't mean your assertion has any truth.

I worked hard all my life. I don't expect the wingnuts to steal my Social Security $$. It is NOT an entitlement, it IS my insurance for old age.

I think most Americans DO work hard. WADR, I think you're wrong.

[CarolinaCalm]

We are day/weekend sailors in eastern NC. We typically use less than 30 gallons diesel,..total....in a busy year. Diesel prices will not impact us. We love sailing on our scale.
We also enjoy reading about the much larger adventures on this forum.

We have an old (1999) single cylinder diesel that uses 1/3 gallon per hr (when we need it) Typical day sail is to motor a 1/2 hr out and back to the marina. We do this routinely. I probably run the engine longer to make sure it as able to get to operating temp. Environmentally probably not perfect but for us functional, reliable and economical.

The price of oil will rise and fall but as a sailor it makes me enjoy the wind more so the price of fuel means less.

[Pete7]

Originally Posted by Stu Jackson

I think most Americans DO work hard.

Indeed as a foreigner I have been impressed with the American work ethic I has seen working along side US colleagues. However, you need to sort your holiday allowance out, 2 weeks a year is just mean.

Pete