Why is Diesel Fuel more expensive than gasoline in the U.S.?

Offroader

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Just out of curiosity, how come Diesel Fuel is more expensive than gasoline in the U.S.?

The advantage of Diesel engines is that besides the fact that it gives you more miles per gallon, Diesel is a less refined petroleum derivative that costs around 25% less to produce.

Why on earth is it more expensive in the U.S.? Is it to discourage its use due to environmental reasons?
 
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Tax rules based on the argument that diesel pollutes more than gas (with modern diesel engines and exhaust systems there is not a big difference on particulates, which was the original issue - of course more miles per gallon means diesel potentially pollutes less in fact..)

In the UK, tax on diesel is so high that some people have taken to using home heating oil, which carries almost no tax, in place of diesel fuel (very similar refinement of oil in fact, however home heating oil has a dye in it which will stain your fuel tank and highlight what is an illegal activity should you be caught).
 
taxes. its always about the taxes.

Canadian gas prices = HIGH. why? TAXES!!! stupid government. why does my V8 takes sooo much gassssss??? :D
 
In April 2006 the new Ultra Low Sulfur rules ffor diesel kick in. The price of diesel will really surprise you in the next few years. (very high)

The truck loading terminals will have to put in an additive to increase lubricity to make up for the sulfur. The additive cannot go in pipelines.

More refining to remove sulfur, more tank management, lubricity additive... it will be ugly.

ULSD is needed to keep from fouling the new diesel truck catalytic convertors (2007)
 
Atlanta_man said:
In April 2006 the new Ultra Low Sulfur rules ffor diesel kick in. The price of diesel will really surprise you in the next few years. (very high)

The truck loading terminals will have to put in an additive to increase lubricity to make up for the sulfur. The additive cannot go in pipelines.

More refining to remove sulfur, more tank management, lubricity additive... it will be ugly.

ULSD is needed to keep from fouling the new diesel truck catalytic convertors (2007)

Gosh - almost as much trouble as adding ethanol to gas - cannot be added at the refinery since it absorbs water in transport etc etc. - The range of different rules across the various states that mean gas producers have to produce dozens of different gas mixtures to comply with varying regulatory requirements already boosts the price of gas - oddly enough if there is just one standard for diesel it could probably still be ahead on cost and complexity to deliver.. (although I am sure the gas companies will use it as an excuse to boost prices and margins anyway)
 
Atlanta_man said:
In April 2006 the new Ultra Low Sulfur rules ffor diesel kick in. The price of diesel will really surprise you in the next few years. (very high)

The truck loading terminals will have to put in an additive to increase lubricity to make up for the sulfur. The additive cannot go in pipelines.

More refining to remove sulfur, more tank management, lubricity additive... it will be ugly.

ULSD is needed to keep from fouling the new diesel truck catalytic convertors (2007)

Looks like those "falling prices" commercials Walmart runs will have to be replaced.
 

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