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1wezil
09-12-2008, 12:18 AM
Has anybody seen the gas lines tonight ? i heard it was BAD in Sweetwater tn and Knoxville all the stations down town Sweetwater were out of gas and closing till more gas came in ! people are NUTS ! i'am in Nashville tonight and everything is cool hear . JUST BECAUSE OF IKE !!!!!!!!

mississippiturf
09-12-2008, 12:35 AM
Yepper. Stations in central Mississippi began rationing gas tonight and some stations were out. Prices have jumped thirty cents today and will rise some more tomorrow.

mjealey
09-12-2008, 12:40 AM
Obviously, I live in Knoxville. I drove by an Exxon on Tazewell Pike and there was cars backed up clear out on the road. It was ridiculous. I completely forgot about this hurricane. I should have stopped earlier in th day and filled up my gas guzzling Chevy!

Hawg City Lawns
09-12-2008, 12:43 AM
heard they may jump 50 cents here overnight i filled up just in case

mjealey
09-12-2008, 12:50 AM
Ths is just ridiculous. The price for a barrel of oil hasn't jumped that much!!! Why in the world is th price going up so much. We get all our oil from the middle east anyways. The price for a barrel of oil was at the same price lasr year as it is now, and I was pating $2.65 here in Knoxville last year. Now I am paying $3.65 before this hurricane thing. I can do math and that means oil companies are making a $1.00 more per gallon than this time last year. What an absolute joke!!! Stick these CEo's of the companies in a 3/4 ton truck pulling around a 5k pound trailer and make them drive 100 miles a day and see how they like it. They don't have to pay for nothing because they are cheafured around all day in Limo's. Off my rant, I feel better though.

1wezil
09-12-2008, 12:50 AM
we heard it's going up a $1.50 overnight and may hit $5 bucks soon i hope the oil people chock on the gas !!!!!!!!!!!!!!!!!!!

zero_turn_mowers
09-12-2008, 01:19 AM
we heard it's going up a $1.50 overnight and may hit $5 bucks soon i hope the oil people chock on the gas !!!!!!!!!!!!!!!!!!!

That is what the News said tonight, I got out and all the stations in town was back up out in the road. $3.65 as of tonight price sure it will go up in the morning.

GreenAcresLC
09-12-2008, 01:38 AM
Owensboro, KY here. Some of the stations here are rationing....only allowing 10 gallon purchases, etc. Most are around the 3.65-3.85 range, but there is one who has already raised to 4.65!!! Yeah, he made the news tonight. Hope he gets charged for price gouging.

On a different note, Zero Turn Mowers from Osceola...Are you the guy I bought the Exmark 36" WB from back in december? If so, its been a good little machine for me.

JW
Green Acres Lawn Service, LLC
Owensboro, KY

zero_turn_mowers
09-12-2008, 01:45 AM
Owensboro, KY here. Some of the stations here are rationing....only allowing 10 gallon purchases, etc. Most are around the 3.65-3.85 range, but there is one who has already raised to 4.65!!! Yeah, he made the news tonight. Hope he gets charged for price gouging.

On a different note, Zero Turn Mowers from Osceola...Are you the guy I bought the Exmark 36" WB from back in december? If so, its been a good little machine for me.

JW
Green Acres Lawn Service, LLC
Owensboro, KY


Yes, thats me. Good to hear its working out.

HoseJockey
09-12-2008, 02:23 AM
Today when the fuel truck delivered the gas to the shop he said gas was gonna go up this weekend. So we sent all our trucks to the Exxon to fill up and try to save the gas at the shop. When I left the Exxon I filled up 5 trucks on my card at around $550 and some change and we still had 7 trucks to try and fill up.

Milwaukee
09-12-2008, 02:34 AM
now our gas price is $3.88 in Michigan:cry: it very tough on people who have no job and have disability.

cheap gas price was $3.69 that was they could low but too expense so now it raise again. I notice barrel of oil are exact to last year but why it still cost more. I be mad if I see ceo from oil company in Michigan.

stevenf
09-12-2008, 03:35 AM
They have been anouncing on the radio that around here gas could reach $5.00 by tomorrow morning. Ike is so big that every one of the oil refinerys in the Gulf is shut down. Lines were crazy around here for the second time. I loaded up my truck and five 5 gallon cans earlier. I learned my lesson after Gustav. You couldnt find gas for almost a week around here! Lines were literally 1/2 mile long. I couldnt justify staying in line that long only for the station to run out of gas by the time I got there.

Richard Martin
09-12-2008, 05:01 AM
Today when the fuel truck delivered the gas to the shop he said gas was gonna go up this weekend. So we sent all our trucks to the Exxon to fill up and try to save the gas at the shop. When I left the Exxon I filled up 5 trucks on my card at around $550 and some change and we still had 7 trucks to try and fill up.

Actions like these are part of the problem during situations like hurricanes. Everybody panics and fills up their vehicles at once causing shortages. I can understand someone who is in the path of the hurricane filling up but you're no where near it.

Richard Martin
09-12-2008, 05:12 AM
Today when the fuel truck delivered the gas to the shop he said gas was gonna go up this weekend. So we sent all our trucks to the Exxon to fill up and try to save the gas at the shop. When I left the Exxon I filled up 5 trucks on my card at around $550 and some change and we still had 7 trucks to try and fill up.

Actions like these are part of the problem during situations like hurricanes. Everybody panics and fills up their vehicles at once causing shortages. I can understand someone who is in the path of the hurricane filling up but you're no where near it.

brucec32
09-12-2008, 10:17 AM
Ths is just ridiculous. The price for a barrel of oil hasn't jumped that much!!! Why in the world is th price going up so much. We get all our oil from the middle east anyways. The price for a barrel of oil was at the same price lasr year as it is now, and I was pating $2.65 here in Knoxville last year. Now I am paying $3.65 before this hurricane thing. I can do math and that means oil companies are making a $1.00 more per gallon than this time last year. What an absolute joke!!! Stick these CEo's of the companies in a 3/4 ton truck pulling around a 5k pound trailer and make them drive 100 miles a day and see how they like it. They don't have to pay for nothing because they are cheafured around all day in Limo's. Off my rant, I feel better though.

Last time I checked most vehicles didn't run on crude oil but on gasoline or diesel which happens to be refined in areas near the gulf. Just a hunch but I'd guess the shutting down of multiple refineries in the last month has interrupted the supply which has led to shortages.

Those evil "oil companies" like Exxon, etc control about 14% of crude oil supply from wells they own. The rest comes from nationalized sources like Venezuela or Saudi Arabia, where the government owns the oil. The evil oil companies have to buy it from them. It's unlikely they'll decide to sell it below cost.

Profits are way up for oil companies in recent years. But the profit margin has remained at about 10%. The average profit margin for cosmetic companies is higher than that. I doubt many here would accept a 10% profit on sales, either. And we don't even have to spend years on a project and risk billions of dollars before we see a dime returned.

Go check the stock price of oil companies in the last 2-3 months. They've lost a good bit of value. (about 15%)

Question: If oil companies always control the price of oil, how come it was $145 earlier this summer and its nearing $100 now? Are they suddenly feeling more generous and less greedy?

Richard Martin
09-12-2008, 04:02 PM
I stand corrected. This "shortage" was intentionally caused by a North Carolina company called The Pantry. In the name of trying to make sure there were no shortages of gas they decided to limit purchases to 10 gallons per customer in 11 states during the current "crisis" that they have single handedly created. Prices went up by almost 50 cents a gallon here today.

The article states that The Pantry is asking customers to limit their purchases to 10 gallons but all of our local Pantry stores and affiliates are limiting purchases to $40 with no exceptions.

http://www.walletpop.com/article/_a/bbdp/gas-is-hot-commodity-as-ike-eyes-texas/171735

dura to the max
09-12-2008, 04:31 PM
it went up about .40 today, w/ another $1 expected tomorrow. i went ahead and filled up after a former employee called and told me. it was about $4 when he called and i stopped at a little country store and paid $3.73. still insane........but i should be ok for a week.

FDuce
09-12-2008, 04:56 PM
Question: If oil companies always control the price of oil, how come it was $145 earlier this summer and its nearing $100 now? Are they suddenly feeling more generous and less greedy?

Oil companies don't control the price per barrel. That is controlled by market demand. What I don't understand is when the price per barrel was going up the prices at the pump went up within a day, but now the price per barrel has fell by almost $50 but the prices have barely gone down at the pump. That sounds like price gouging to me.

shade tree landscaping
09-12-2008, 04:56 PM
jumped about .15 here over nite. Station on the corner was 3.25 last nite, this morning was 3.39. Now I know for a fact that between when I saw it last nite to this morning that no new gas was delivered, so why does the price jump up when the tanks in the ground still have the same product that was 3.25 yesturday?

QualityLawnCare4u
09-12-2008, 06:37 PM
It has changed here from 3.49 to 3.69, 3.89 then 4.09 since yesterday around noon. Can't wait to see where it stops at!

MOW PRO LAWN SERVICE
09-12-2008, 07:06 PM
$3.95..........

jeffex
09-12-2008, 07:53 PM
my friend who works for colonial pipeline called me at 4:30 pm to tell me to fill up my tanks . His connection in the gulf told him the supply was shut down and expect shortages to raise the price of gas much like after Katrina. As I headed for the bank to cash a check I saw $3.45 at BP and my usual stop at Sunoco was $3.71 I doubled back to the Bp station after the bank and they were changing the price just then. I managed to get $3.53 just down the highway. this is no way to run a country . We need more refineries in different locations to prevent being at the mercey of spot shortages that greatly inflate the price of gas. Gas and fossil fuels are the lifeblood of this economy. It just seems insane to me that we are in this condition!!!

christoff
09-12-2008, 10:52 PM
West Coast Canada, $149.9 a liter, or $6 a gallon...sweeeet

S.I.
09-12-2008, 11:22 PM
The rising cost of oil and gas, as was reported when prices were falling, was not a result of supply and demand, but the aftermath of "speculation". Like others have said, the price of a barrel of oil is comparable to this time last year, yet the price of a gallon of gas is substantially higher.

Although oil companies want people to believe that closing refineries in the gulf will cause a shortage, there are enough refineries around the country to keep up with the demand http://en.wikipedia.org/wiki/List_of_oil_refineries.

I have not seen the impact form Ike on fuel prices here, but then again we are in the middle of one of our nations largest oil reserves and today hit the lowest price since memorial day ($3.79-$3.91).

Another natural disaster is just another reason for station owners to raise the price. Speculation of what COULD happen is the only reason for the increase.

zero_turn_mowers
09-13-2008, 12:51 AM
Went to $4.64 this morning around 9am.........Last night (Thursday) was $3.65

brucec32
09-13-2008, 02:49 AM
Oil companies don't control the price per barrel. That is controlled by market demand. What I don't understand is when the price per barrel was going up the prices at the pump went up within a day, but now the price per barrel has fell by almost $50 but the prices have barely gone down at the pump. That sounds like price gouging to me.

It's funny how that works. They are going to make sure they get the price increase in early and be very slow to lower prices, I agree. I've heard long explanations of why this has to be the case from a business theory perspective, but I dont' want to take the time to go through it here and I'm not sure if it's true or not.

But remember. Oil price is a big factor but only one of the many elements in the price of a gallon of gas. I'm not sure what the numbers are, but say non-oil costs such as state and federal taxes, refining costs, transportation costs, marketing, overhead, dealer profit, etc were 50% of the cost of a gallon, and the oil itself is the other 50%, at the peak of the market a couple months ago.

Oil has fallen over 30% since its peak, but gas prices here dropped (before the storm) only about 15% lower. Well, this would be fairly consistent since only the oil price has fallen. The other costs are relatively fixed and won't lower the price a penny. The numbers are not exact, but you get the idea.

If you continue this logic with oil falling another 50%, back to $50/ barrell oil, that would put gas at $2.62. That's unlikely, but it demonstrates that there is not a 1-1 correlation between oil prices and gas prices.

http://auto.howstuffworks.com/gas-price1.htm has some more info on the components of gas costs.

If you take the position that you have a right to cheap gas and that private companies should have to sell it to you at a price that you randomly determine to be fair, then you can call it gouging. If you take the position that companies and stockholders who provide goods and services own their property and have a right to sell it for whatever they want, and that this encourages them to continue to do so and this system avoids shortages, then you would call it capitalism and free markets at work.

We tried price fixing in the 70's. I remember sitting in the car for hours with my parents waiting to get gas. I dont' mind paying the going rate one bit.

brucec32
09-13-2008, 03:01 AM
The rising cost of oil and gas, as was reported when prices were falling, was not a result of supply and demand, but the aftermath of "speculation". Like others have said, the price of a barrel of oil is comparable to this time last year, yet the price of a gallon of gas is substantially higher.

Although oil companies want people to believe that closing refineries in the gulf will cause a shortage, there are enough refineries around the country to keep up with the demand http://en.wikipedia.org/wiki/List_of_oil_refineries.

I have not seen the impact form Ike on fuel prices here, but then again we are in the middle of one of our nations largest oil reserves and today hit the lowest price since memorial day ($3.79-$3.91).

Another natural disaster is just another reason for station owners to raise the price. Speculation of what COULD happen is the only reason for the increase.


How do they get refined gasoline to one state from another state when the pipeline only runs from those states to the closed refineries? Wanna guess how many trucks and tanker cars that might require? And wouldnt' those trucks already be busy? Or do they just leave lots full of parked tanker cars and trucks sitting around for these occurences?

I hope you don't take offense. You just need to educate yourself about things rather than going off half cocked. It's emotionally satisfying to blame various conspiracies for these price increases. But it wouldn't be entirely correct. Markets are imperfect, but they are by far the best method of allocating scarce resources. I think it's pretty obvious that a major hurricane in the gulf is going to cause some shortages, and shortages cause price increases. It's Econ 101 stuff. There's a reason they have all those fancy economics departments at business schools in universities around the world, you know. This sort of stuff isn't instinctual. You have to learn it. It isn't 'the man' trying to keep us down. It's pretty basic economics at work.

http://www.amazon.com/Economics-Dummies-Sean-Masaki-Flynn/dp/0764557262