Diesel Fuel Rips Off America

Diesel Fuel Rips Off America

By Sam Sorrell

Why is diesel fuel $0.40 a gallon more than regular unleaded, when the fuel itself is cheaper to make? According to the US Energy Information Administration (EIA), oil companies blame this higher pricing due to the marketing and distribution. This makes no sense as diesel for the longest time sat at the bottom of the price board due to it being less refined and cheaper to mass produce. Oil companies blame the rise in price due to higher worldwide demand, during the economic growth from 2002-2008. Since it has been nearly six years since this growth, can we see lower prices now?

Another argument made by the EIA is the transition to less-polluting, lower sulfur diesel fuel has affected the fuel production and distribution costs. While one can understand the effect of fuel production, how would distribution be changed? The methods of movement should not change by how clean the fuel is or is not.

Finally, the EIA state that the federal tax on diesel is $0.06 more expensive than regular unleaded fuel. This is something that should be changed as well, as diesels engines are more fuel-efficient and should receive a break due to consuming less fuel than regular unleaded fueled vehicle.

With the increase of diesel vehicles on the road now, we should be applauding the idea to a now cleaner and more efficient fuel source, but instead we see them being taxed and made to pay more due to out dated inflation, bogus marketing jargon and a higher federal tax that has no explanation.

My name is Sam Sorrell. I am a sociology student at Sonoma State University and am graduating May 2014. This letter was written for an investigative sociology class taught by Peter Phillips.