Five or six years ago, when gaso prices were higher, I predicted $2 gaso and most of you thought I was crazy, but it happened. Then next I predicted $1 gasoline, but I had to keep postponing the dive to $1 year after year. This year? My premise is winter time of year is the price bottom, and I am just saying somewhere in USA we hit one buck. Could be Virginia due to low gaso tax, but we've got gaso tax increases coming down the pike. Saw $2.17 the other day. I tend to go by economist A. Gary Shilling, but I do not know what he is thinking right now. I'll claim anything under $1.10
If the glut continues, shale oil producers in the US will shut down. They've been overproducing for the past couple years, and are now running into decreased production from older wells(fracked wells age faster), and the the decrease of having wells too close together. Both increases their operating costs.
Had a couple instances of gas under $2/gallon making a cannonball run a week or two ago from Nashville to SoCal. Then back here, back in the mid $3. So - 2 things of note; just because it's a buck/gallon in low populated areas (mostly) doesn't mean it's a true national price average. After all, if you have 20 times more people paying 3x as much, that price norm should be calculated over the states quantity of drivers as opposed to averaging lows, mids & Highs at various pumps. The other thing is that gas price-fixing is permissible (for whatever reason) in the United States. That's why it's often the case - the more impoverished areas pay less for gas - while more affluent areas pay more. .
Well I know pricing models are important. I feel my area is higher profit margin, partially because our state gaso tax is so low so they keep cost here same as Maryland, but Maryland has higher gaso taxes. I am hoping we can increase gaso taxes here but no see pump price go up. I got $2.33 here with RFG and about 22 cents tax. Cali used to be close to same as here, after adjusting for tax/gal. Now Cali has carbon taxes, which are not shown at the pump, and maybe other factors I see as low as $1.77 now in south Va. where gaso taxes are lower and it is not RFG. I am saying 1.00 buck is my prediction.
The clueless chart makers should have put the Prime at the lowest cost by using gas only. Using their rounding, that should have been $300 instead of $750 and $1000 LESS over 5 years
You replying to me or the OP? If me, it has already started. U.S., Canadian oil company bankruptcies surge 50% in 2019: report - Reuters 2020: The Year Of The Oil Bankruptcies | OilPrice.com
Look at the math again. If gas is $1.00 a gallon the Prime using just gas would be more efficient that their "average" car listed. Rather than paying $1000 more over 5 years as stared, you would SAVE $1000 over 5 years. In other using gas would be cheaper than plugging in.
Sorry, o/p. I complete believe most suppliers will cut production to prop up prices, unless things go completely off the rails
I long for the good ol' days when gas was under a $1 CDN per liter. Currently around $1.40 CDN per liter. By my math about $3.79 USD per US gallon.
Yes, I know, but the assumptions on calculating PRIME PHEV on this fuel.gov site was that I charge once every day and use full EV range every day for 41 miles/day (15K miles/year) drive. If I input the personalized setting not to charge PRIME at all, yes it will give me the saving you mentioned.
When I was in short pants I seem to recall 25 cents a gallon being mentioned. Back when I trudged 10 miles to school and back, fought bears on the way.
