diesel price

anniemaccie

What is the reason for diesel being more expensive than unleaded? Some years ago, when I drove a petrol car, diesel was much cheaper. The reason I ask is: last year I bought a newish diesel and the fuel cost 4p more a litre than petrol. That meant it cost around £1.80 more per tank, but I get approx 100 miles more per tank than equivalent petrol engine.
But as petrol has gone up by a penny a time, diesel has gone up 2p. It now costs 7p more per litre so my tank costs over 3 quid more than a tank of petrol.
Anyone know the justification for this?

TiTheRev

Because there are more diesels on the road now than ever & they can get more revenue from it...

alexlyne

To view the difference in price, gotta look at percentage difference of one over the other. It varies a bit, but generally diesel is less than 5% more than petrol. As prices go up, the dfiference will increase in real terms, but the percentage wont change that much.
2009 ( I think, though maybe it was '09) was an anomaly when diesel soared in relation to petrol. it was more than 10% difference.

BenL

Huge worldwide demand coupled with a shortage of diesel refineries mean the prices have overtaken petrol.

vikingaero

10-15 years ago there was the hoohaa regarding deaths caused by diesel particulates and ever since then diesel has been priced/taxed higher. There's a finite amount of diesel that can be refined from a barrel of oil - each barrel will produce about 75 litres of petrol and 25 litres of diesel. With the huge demand in recent years for diesel motors there's a squeeze on prices. In the winter the demand for heating oil puts pressure on diesel prices.

As BenL has mentioned there is a limited capacity to refine diesel. No refinery company will invest the 1/2 billion required for a hydrocracker - if you look recently a number of refineries in the UK have been put up for sale.

bigjl

TiTheRev wrote: »

Because there are more diesels on the road now than ever & they can get more revenue from it...

What he said.



Just wait for the revenue increasing the price of LPG when nobody is looking.

Probably as soon as more people use it.


Bloody government.

motorguy

vikingaero wrote: »

10-15 years ago there was the hoohaa regarding deaths caused by diesel particulates and ever since then diesel has been priced/taxed higher. There's a finite amount of diesel that can be refined from a barrel of oil - each barrel will produce about 75 litres of petrol and 25 litres of diesel. With the huge demand in recent years for diesel motors there's a squeeze on prices. In the winter the demand for heating oil puts pressure on diesel prices.

As BenL has mentioned there is a limited capacity to refine diesel. No refinery company will invest the 1/2 billion required for a hydrocracker - if you look recently a number of refineries in the UK have been put up for sale.

^^

Thats it in a nutshell.

High demand for diesel is forcing prices up.

Inactive

But diesel is always cheaper than petrol in mainland Europe ?

bigjl

Was almost the same price last time I was there in a car?

Admittedly a couple of years ago, but the difference was greatly reduced to the price difference of 10 years ago.

The diffeence is an awful lot more to do with taxation that cost to produce, French drivers have long been encouraged to drive diesel, hence why the PSA group was given money to help develop the XUD engine, one of the best diesel engines of all time, not the most efficent compared to new ones, but when you consider the ddesign is from the late '70s early '80s it stacks up well.

davetrousers

Why diesel costs more

Inactive

bigjl wrote: »

Was almost the same price last time I was there in a car?

It is still cheaper now.