Comments on: Big Oil Err Government http://www.saysuncle.com/2008/04/08/big_oil_err_government/ Remember, I do this to entertain me... not you. Mon, 13 Feb 2012 16:37:36 +0000 hourly 1 http://wordpress.org/?v=3.3.1 By: countertop http://www.saysuncle.com/2008/04/08/big_oil_err_government/comment-page-1/#comment-198394 countertop Wed, 09 Apr 2008 04:03:24 +0000 http://www.saysuncle.com/archives/2008/04/08/big_oil_err_government/#comment-198394 btw, in the interest of full disclosure, in real life I represent folks who are in the middle of the ethanol debate. Not telling who, only that I am involved and my bias speaks for itself. btw, in the interest of full disclosure, in real life I represent folks who are in the middle of the ethanol debate. Not telling who, only that I am involved and my bias speaks for itself.

]]> By: countertop http://www.saysuncle.com/2008/04/08/big_oil_err_government/comment-page-1/#comment-198393 countertop Wed, 09 Apr 2008 04:02:04 +0000 http://www.saysuncle.com/archives/2008/04/08/big_oil_err_government/#comment-198393 Yep. Station owners generally get about $0.06 per gallon, regardless of the underlying price per gallon. Its why so many convenience stores have opened up . The other odd thing, which the Tam and Jay alluded to is how the price is set - which is based upon the expected cost to replace the fuel in the tanks, not the price that was paid. So indeed, there. Of course, big ethanol has been a HUGE boom to big oil They get a $0.51 per gallon tax credit (read - SUBSIDY) for each gallon of ethanol they blend into gasoline. Right now, they are using about 7.5 BILLION gallons of gas. Nancy Pelosi and her stooges just increased that mandate to 36 BILLION GALLONS . . . and have not gotten rid of the tax credit. In truth, it expires in 2010 but they will likely extend it to 2015 and drop it to a paltry $0.46 per gallon. In 2015, the mandate will be 15 billion gallons. . . . . you can do the math on whether Nancy Pelosi and the Democrats are serious when they criticize big oil for receiving too much in the way of tax credits and subsidies. Yep. Station owners generally get about $0.06 per gallon, regardless of the underlying price per gallon. Its why so many convenience stores have opened up .

The other odd thing, which the Tam and Jay alluded to is how the price is set – which is based upon the expected cost to replace the fuel in the tanks, not the price that was paid. So indeed, there.

Of course, big ethanol has been a HUGE boom to big oil They get a $0.51 per gallon tax credit (read – SUBSIDY) for each gallon of ethanol they blend into gasoline. Right now, they are using about 7.5 BILLION gallons of gas. Nancy Pelosi and her stooges just increased that mandate to 36 BILLION GALLONS . . . and have not gotten rid of the tax credit. In truth, it expires in 2010 but they will likely extend it to 2015 and drop it to a paltry $0.46 per gallon. In 2015, the mandate will be 15 billion gallons. . . . . you can do the math on whether Nancy Pelosi and the Democrats are serious when they criticize big oil for receiving too much in the way of tax credits and subsidies.

]]> By: Tam http://www.saysuncle.com/2008/04/08/big_oil_err_government/comment-page-1/#comment-198366 Tam Tue, 08 Apr 2008 17:58:26 +0000 http://www.saysuncle.com/archives/2008/04/08/big_oil_err_government/#comment-198366 Many stations, even chain stations, sell on consignment. If a price drop happens to compete with the chain across the street and you're still selling last week's gas... Whoops! $.02/gal loss 'til the next truck rolls in. Sorry 'bout that. Many stations, even chain stations, sell on consignment.

If a price drop happens to compete with the chain across the street and you’re still selling last week’s gas…

Whoops! $.02/gal loss ’til the next truck rolls in. Sorry ’bout that.

]]> By: Jay http://www.saysuncle.com/2008/04/08/big_oil_err_government/comment-page-1/#comment-198338 Jay Tue, 08 Apr 2008 13:36:56 +0000 http://www.saysuncle.com/archives/2008/04/08/big_oil_err_government/#comment-198338 The gas station owners are always subject scorn as well despite not having any control over prices (unless the station is independently owned which is a rarity). The owner of a station only gets paid a 'per gallon' fee, so what they make is the same if gas is 1.00 a gallon or 3.00 a gallon. The really big bucks are made when gas prices are going down. That's when there's a huge spread between the wholesale price and retail price. The refineries clean up at that point. The gas station owners are always subject scorn as well despite not having any control over prices (unless the station is independently owned which is a rarity). The owner of a station only gets paid a ‘per gallon’ fee, so what they make is the same if gas is 1.00 a gallon or 3.00 a gallon.

The really big bucks are made when gas prices are going down. That’s when there’s a huge spread between the wholesale price and retail price. The refineries clean up at that point.

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