Skip to comments.Philadelphia refinery will close: Why it matters
Posted on 06/29/2019 9:14:36 AM PDT by Hojczyk
Philadelphia Energy Solutions (PES) Opens a New Window. is saying it wants to permanently close its oil refinery, one of the oldest and largest refineries on the East Coast, after an explosion and massive fire. The refiner had the capacity to process 335,000 barrels of oil per day or the equivalent of 14 million gallons and is one of the largest suppliers of gasoline on the eastern seaboard. The event caused substantial damage to its building complex and caused the financially struggling refiner to say enough is enough.
This is a situation that has already caused gasoline prices to go up in the Northeast and may cause a domino effect across the nation. As of late June, the national average gas price was down 19 cents year-over-year and expected to drop even lower, according to AAA and averaging around $2.70 per gallon. In Pennsylvania, the average is higher around $2.90.
Philadelphia Energy Solutions had just recently emerged from bankruptcy and was trying to make a comeback as sub-par refining margins and stricter environmental regulations that have made it very difficult to make money. In fact, the government had to forgive Philadelphia Energy Solutions some relief on some renewable energy credits they were forced to buy, that the company said helped drive them into bankruptcy in the first place.
Bad regulations on Renewable Fuel Credits caused the firm to lose millions. The government let them off the hook because they feared that if they lost that refinery, it would drive up gas prices and hurt the consumer. Yet now the company wants to walk away because the cost to rebuild the units that were destroyed is simply not worth it.
(Excerpt) Read more at foxbusiness.com ...
Good...let’s see how those democrats like it without the hated fossil fuels!
I’ve wondered if this is something else Trump should address, since if my memory serves me correctly, that no new refineries have been built since 1975 (due to government policy).
So gas prices are going up?
When’s the last time we built a refinery?
If just one more refinery closes down, we will be in a serious hurt. The government will have to relent or we will have to outsource the refining which is a national security risk.
Ive wondered if this is something else Trump should address, since if my memory serves me correctly, that no new refineries have been built since 1975 (due to government policy).”
Couldn’t happen to a “nicer part” of our country.
Soros sponsored terrorism!
He’s personally financing the tens-of-thousands of illegal aliens to invade Western Nations to bring about his Globalist Government.
I bet he had a say in forcing the closure of this refinery as well. Make America Bow down to the NWO.
That man has a special place in hell for eternity. He just doesn’t know it yet.
Philadelphia is GOING GREEN!!!, Let’s hope they freeze to death in the name of Global Warming
I’ve heard 1977 - that one and all the others are for heavy crude, not the light crude pumped from US wells, so we need to import heavy crude. As for new light crude refineries, most people say NIMBY.
Even under Bush, they were unable to make it happen in a location that was close to ideal.
I own property near the site, and have been angry that the deep state is able to stymie the much needed refinery.
It will effect everyone.
Thanks for the link.
” that one and all the others are for heavy crude, not the light crude pumped from US wells, so we need to import heavy crude.”
And heavy crude comes from Venezuela, so I am betting that we won’t be getting any of it it the near term.
We need more refineries, now fewer.
This is not good.
Katrina came very close to causing a regional disaster
The Southeast was within 6 days of running out of gas, diesel, and jet fuel
Strategically, we need to be able to refine more oil.
We barely take care of domestic needs now. What happens if our strategic needs suddenly escalate?
Our long term planning is sadly inadequate.
Here in California we have terrible water shortages from time to time. We’re now looking at power shortages too.
Where was the long range planning?
Our populace grows, we have increased need for water and power, and yet the idiots in leadership positions fail to address these needs, and instead spend time on gun control or some other nonsense.
Even if the Unit was to be rebuilt it would take years.
Not an overnight solution.
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