If you are watching the evening news often, then one issue that you will constantly notice being reported is the fluctuation of fuel prices. Have you ever thought what is causing the costs of gasoline to increase in price every now and then and why is it that some gas products are more expensive compared to others?
Let us try to find out the reason behind this event.
First and foremost, why is it that gasoline prices are fluctuating so often? Basically, the price of crude oil is the basis among refined petroleum products. This is determined largely by the fluctuations in world’s supply and demand. Therefore, the cost is main factor that is influencing the cost for retail gasoline throughout a given period.
It’s a Given Issue
As a matter of fact, refinery costs are fluctuating in a given year. This is a representation of other expenses that are impacting prices of gasoline. Gasoline has different formulation throughout summer in an effort to reduce smog-creating pollutants that are entering the environment as a result of fuel. The cost of product for gasoline blend for fueling from periods of June 1 to September 15 are actually higher compared to fuel blends that are sold at other seasons. It is because of this why the price at gasoline stations are increasing.
Refineries should produce close to 15 fuels in order to meet the different requirements for summertime fueling both for state and regional.
During winter however, refineries simply have to produce few of it. And US refineries normally perform maintenance in spring which can then result to lower gasoline price and decline in supply leading to higher prices. Now if we are about to compare this to buying digital items, it will be totally different. There is only a “sale” in a given season and then after that, the cost of items will return to normal. Right now, if you are lucky and playing Diablo II, you can get “sale” items by checking D2 items price list.
Why Does Different Countries have Different Gasoline Prices?
End product for motor gasoline is distributed across countries. Depending on the place of origin and supplier, the cost of importing gasoline will affect its final price. Remember, suppliers have to deal with tariffs, taxes, environmental fees and everything in between to deliver fuel. All of which are adding to the overall price of the product.