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Fuel rip off

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  • Fuel rip off

    Loophole enhances 'hot fuel' profits
    IRS measuring rule allows oil industry to manipulate gasoline and diesel taxes.
    Hundreds of millions of dollars in fuel taxes paid by American drivers aren't going to the government, but instead into the pockets of gas and diesel retailers.

    It's legal, the IRS acknowledges. It's widespread, according to industry experts. And it's the latest twist in how the oil industry sells fuel based on temperature fluctuations.
    The practice, dubbed "hot fuel," was exposed by The Kansas City Star in August. The fuel is often sold at temperatures hotter than 60 degrees -- a standard agreed to by the industry and regulators, but virtually unknown to the average consumer.

    As a liquid, gasoline expands and contracts depending on temperature. At 60 degrees, the 231-cubic-inch U.S. gallon puts out a certain amount of energy. But fuel is often sold at much hotter temperatures, causing the gas to expand and the amount of energy, by volume, to decrease. Yet consumers still get only 231 cubic inches per gallon.
    Put simply, selling the hotter, expanded fuel to consumers forces drivers to consume more, making the industry more money. The Star reported that consumers were being overcharged an estimated $2.3 billion annually at then-current prices for gasoline and diesel because of the hot fuel phenomenon.
    Link to the full artical

    I wonder if buying fuel or filling up when the fuel is more likely to be cold like after a rain and never when the gas station tanks have just been filled by a tanker truck would be better? It certainly explains why the tanks are located out in the parking area in full sun and never under a roof.

  • #2
    Well its funny that when I do purchase fuel on colder days the pump is dreadfully slow that I end up not filling up.
    The other day it was bitter outside. I stopped for fuel, the pump was pumping out penny by penny of gas at a snails pace under a massive wind and rain storm. I was frozen solid. I couldn't lock the pump and sit in the van. I ended up stopping before it even went to a half a tank.
    Odd isn't it?
    I always wondered why these fuel tanks don't work well in cold. Maybe that has something to do with it.


    • #3
      Wow, Doug!

      We can always count on you to educate us on a regular basis! Thanks for the info. :-)


      • #4
        one of the 7 deadly sins....greed. If people would just ban together and boycott these ridiculous actions, we might get some results and keep more of our money!! what an outrage! thanks Doug


        • #5
          It amazes me what is legal and what isn't.


          • #6
            Az Summers

            Well, in the summer it gets up to 118 degrees and no lower than 110 for days and days and days.... That gas must be reeeeeely hot. Then the gen is on all day from dog to dog to keep it, not hot, but acceptable. The Hv puts warm air back into ya know. I have been gettin 5-10 more than I ask for in many cases. That tip helps. The Gas co loves me, and I guesss all us suckers. No they are the suckers, sucking us dry.I don't fill up in the heat of the day.


            • #7
              Figuring out expenses


              The above link is for DOE reporting group.There is an easy to read chart at the top of the site and all the articals are under that. Remember last years highs?The plan looks to be that next years (2008) prices for fuel will be last years high durring the catrina event.Plan accordingly in advance to adjust for the price increase and you can come out looking llike you did not have to raise your price at a time when the consumer will be feeling the pinch when the price goes up.Insulate by planning and hope there are no catrina like storms this year less we be looking at 3.50 and up. Still waiting to see 4 [email protected]


              • #8
                Oh boy Doug, you have an awful lot of time on your hands.... I need to send you some more clients ! :-)


                • #9
                  Please let Doug have free time!!!!!

                  I like the the fact that Doug has free time, because of this free time he has changed a lot of mobile groomers from generators to inverters. Doug has time to answer all of our inverter questions. Doug keeps us informed of the latest and the greatest. Doug's fore thought could be true [email protected] a gallon, but in this case I hope you are really really wrong.

                  So please let Doug have free time.


                  • #10
                    Doug tell us, are you working on a water powered groomin van? Water powered generator? or could it be a water powered dog washer?


                    • #11
                      I'am ready for an inverter and solar panels on my roof top if thats what it takes to keep my hard earned money away from all the greedy so in so's! Shoot hook my house up too!


                      • #12

                        Do you know why they never cured the comon cold?Go to the super market pharmacy and count all the cold and flu products and tell me how many there are. Hydrogen won't work to replace fossil fuel but it does make a good show of effort for the purpose of intent.


                        • #13
                          who do you think is being greedy?

                          Do you know how much the oil companies make on a gal of fuel?Granted they sell an enormous amount but they dont make much from each gal.A barrel of crude is devided into a number of products.Even the waste is used in the manufacureing of plastics. what would your life be like with no more plastic.Look around you.Even your clothes,shoes,the chair your in is padded is'nt it.The glasses on your face or your contact lenses,your watch,your phone,your grooming tools,the tools used in medical feild,the plastic used to make the electronics parts you rely on that make all the toys and tools work.All rely on oil.Even when you die and are planted in a hole in the ground you can do so because of oil.
                          Oil controls the world becuase of it vastness but the greed is not as bad from the companies who pull oil out of the ground as it is from the people who take a 40 + % in taxes and then blame it on it the companies who own ,sell and work the oil fields.The price of crude has not doubled or trippled to keep up with inflation the taxes have. A gal of gas should cost as much as one hour of labor at minimum wage excludding taxes if that wage had kept up with inflation.It should be 10 bucks a gal then add 40% in state and federal taxes.
                          What does [email protected] look like now.


                          • #14

                            It's not how much the company makes but how much the exec's get paid.

                            We are alll in business for the same reason to provide for our families. Some just live in bigggggggggggggger houses, have better accountants, and drive fancier cars that don't have dog hair flying out of the window.


                            • #15
                              "A gal of gas should cost as much as one hour of labor at minimum wage excludding taxes if that wage had kept up with inflation.It should be 10 bucks a gal then add 40% in state and federal taxes.
                              What does [email protected] look like now."

                              A great deal