damn straight... here in NY, their cut i think is 16%
Posted on 04/16/2006 5:20:03 AM PDT by snowsislander
April 15, 2006 — Just as Exxon Mobil broke the news this week that it was giving its CEO a nearly $400 million retirement package, the government announced the average price of a gallon of gas could rise this summer by more than 10 percent.
In just two months, the price of gasoline at the pump has jumped 40 cents a gallon (go to the end of this story for ways to shop for the lowest gas prices in your area).
It has lot of people telling tales of worry and hardship, and asking: Where is all the money going?
Nina and Gordon Erquiza own a small pipe-cleaning company in Los Angeles. Gasoline for their two trucks now costs as much as $800 a month.
"It is a choice that we make every day of our lives — whether or not to buy gas and go to work or to have health insurance," Nina Erquiza said. "It's an every day thought and an every day issue for us."
Gas Price Breakdown
Though the Erquizas live where gasoline taxes are among the highest in the country, their problem begins at the beginning, with the sharply higher price of crude oil. In a gallon of unleaded, crude accounts for $1.45 of today's average price of $2.68 at the pump.
Next is the cost of refining that oil — 55 cents of the gallon's price, a big jump in costs.
"They're normally about $5 to $10 a barrel," said Tom Kloza, an analyst. "Now, it's closer to $20 to $30. And that's because a lot of money is flowing in on the fear we won't have enough refining capacity this summer."
Next is transporting gas to the pump — just 5 cents a gallon.
And then, there's taxes — 18 cents for the federal government and 27 cents for state governments.
"Taxes used to represent as much as 40 to 50 percent of the price you paid at the pump," Kloza said. "Nowadays, it's a much lower figure than that because they haven't changed in 12 years."
What about profits? Big oil companies like Exxon-Mobil make money at every step of the process because they take the oil out of the ground, refine it and sell it. Exxon-Mobil's profit is estimated at a hefty 29 percent.
And the price of gas may continue to go up.
Even without unforeseen events such as another bad hurricane season, Kloza said, "We'll probably peak on gasoline very close to $3 national, with some states above that."
I paid $3.04 for 93 Octane in PA last night. That's a jump of 30 cents in a little over a week, though.
Sorry, but your proposed solutions simply won't work. You failed to account for the political considerations.
(1) drilling for petroleum in areas presently closed to such drilling might harm some endangered species, pollute some land or water, look just plain ugly, or otherwise offend the effete French-esque Americans like John Kerry and Earth Justice lawyers.
A more appropriate move that comports with the agenda of the American people (or at least the Democrats) would consist of (a) an embargo on imported petroleum and other energy sources; (b) very heavy taxes on energy companies to keep them from earning a profit; (c) price controls on gasoline and other petroleum products designed to create shortages and weeks-long gas lines; (d) subsidized always-available energy products for professional welfare recipients; and (e) excessive tariffs to choke off the flow of goods from foreign lands with more sensible energy policies.
(2 and 3) If you want nuclear power, you first must prevail upon the enviro-wackos to endorse it. That won't happen. And since the American people [or at least Democrats and other assorted enemies of the United States] pine for the Presidency of Jimmy Carter, do you suppose that recycling nuclear fuel ever might become politic? Hell, no. Try again. And we cannot possibly continue our foray into nuclear power without solving that conundrum in a way that preserves the Carter precedent.
(4) Clean coal isn't clean enough to satisfy the demands of the American people [or at least the enviro-wackos and other enemies of the United States who control the political debate through their influence over the Democratic Party], and in any case, burning it releases carbon dioxide, which is very impolitic. We need to implement the Kyoto Memorial Stone Age Restoration Act and live with rolling blackouts devolving ultimately into long-term electrical blackouts rather than expand our exploitation of energy resources.
(5) Even alternative energy sources run into major problems outside the deep-red states like Texas. We just cannot build a wind-power facility in Massachusetts because it might offend the view scape of the highly endangered Mary Jo Kopechne. Or something like that. Just talk to the distinguished senior Senator from the great Commonwealth of Massachusetts, Ted Kennedy, about her; after all, he last saw her alive as the passenger in his car when he parked it inverted in a Massachusetts tidal marsh after a drunken party during the summer of 1969.
Other estimates differ. We import 12 million barrels a day and ANWR can produce 1mbd. Right there we cut imports by nearly 10 percent not to mention what can be achieved with other drilling efforts.
The bottomline here is that the population is growing as is usage. We've actually trimmed domestic production over the past few decades.
This issue is much like the border...festering for decades.
Maybe because the Repubs don't represent us anymore, like the Dems... their interest now lies anywhere else but the people they represent. The Repubs are spineless cowards who will not stand up to a bunch of Illegal aliens who are hijacking our country. Like the Dems, all the Repubs want will be the newly legalized Illegal alien votes once the Illegals are made legal.
Peak oil has happened. Domestically we produce less every year and have for the last 30 years. Every year we import more to make up for the shortfall. With China and India's growing thirst and the world's declining production, it's just a matter or who can pay the most...for now...later it'll be who has the biggest stick.
"That is, certain groups are going around now, irresponsibly talking about nuclear war and trying to drum up support for an attack on Iran."
Yeah, and Iran is just sitting there trying to be a good world neighbor and otherwise minding it's own business.
"and Iran is just sitting there trying to be a good world neighbor and otherwise minding it's own business."
Same sarcastic comment could be made about North Korea.
damn straight... here in NY, their cut i think is 16%
How do they justify rewarding these people for doing nothing? In fact, they should be penalized for not getting refining capacity up higher to sell more product.
It appears that your comments are based on conjecture. Have you ever read any annual reports from any of the major oil producing companies? Have you ever spoken with their presidents and CEO? My wife and I have. Many times. We've been dinner guests at their homes. It helped that my wife worked for Texaco in various capacities in Texaco's world headquarters.
When she reads tome of the pundits' remarks here, she rolls her eyes and wonders at the total ignorance of the industry.
Taxing all energy products by federal, state and local giverments was OUTLAWED?... made illegal.. You know, for benefit of the economy and the people, EVEN THE POOR...
Taxing energy makes ALL products more expensive.. and lessens the quality of life.. and is a drag on the economy..
I suspect that refining costs are higher because the U.S. is using more low-quality oil these days from sources like tar sands. It costs a lot more to refine that stuff than the high-grade light sweet crude from Saudi Arabia.
I haven't been on FR much for three days, and I'm just catching up. Come to Texas.
Most states maybe...but in California, statewide sales tax at 7.25% (8.275% in my city), is charged ON TOP of California's fixed gas taxes and the federal tax. So as prices rise so does the tax.
Same sarcastic comment could be made about North Korea.
And each is probably doing all it can to help the other in destroying us. They ACTIVLY want us dead.
When you are dealing with such as N.Korea and Iran the you will fight them now or fight them later but FIGHT THEM YOU WILL.
The longer we procrastinate the more likley nukes will be involved.
One note on reprocessing: Even the French have been cutting back on this, as mining and processing new fuel is cheaper than reprocessing. The economic argument isn't there, but there is a security and environmental argument to be made. It costs more than new fuel, but not THAT much more. In the process you end up with less waste to wait to be buried in Nevada, which means that pollution threats are down (this would really drop if they ever opened Yucca Mt), and there's less waste and spent fuel to guard from theft.
Splitting hairs, I know, but its kind of like hybrid cars - the economics aren't really there for most (or barely there for some), but they do cut down on fuel use, thus providing a security and environmental benefit...
Info's appreciated- thanks!
YEP...the sh:t from Mexico is tar...
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