Reason #999999999 to love your Prius: OPEC

As best I can tell in my geo-political naivete, OPEC isn't only worried about us, as in the US.

Their interest is the WORLD crude price, which is heavily influenced not only by US consumption, but Japan, China, and half of the rest of the world.

World Demand goes down in the summer, so they always cut back to keep the price from falling.

The current US price spikes are only partially because of crude prices.

1) The US has a shortage of refining capacity, so they're operating on a Just In Time production model meaning that any disruption causes an instantaneous shortage somewhere.

2) The US has a terrible mish-mash of specialty gasoline requirements across a host of different juridictions, so the producers have to juggle a whole extra layer of demand variables.

3) The US insists on changing gasoline formulation twice a year, forcing yet more variables in production, delivery, demand, etc, again spread across the crazy-quilt patchwork of formulation zones. You can't just take gas from where there's plenty to where you need some because it's likely the wrong blend.

I'm not saying that the price of oil isn't going to go up, but the price of gasoline in the US depends on far more than just crude prices, and the US could do a lot internally to keep it stable, and avoid these whip-saw price changes.

If the US doesn't do it's regulatory and planning part of the job, it really doesn't have a lot of room to blame OPEC for managing it's business on a global scale instead of tailoring things for only US benefit.

 

As far as I'm concerned OPEC should cut production by 25%. The resulting worldwide recession might get folks thinking about exploring alternatives a bit more aggressively.

Or, alternatively, how about we put a $2/gallon tax on gas immediately, with half to be given back to those who are auto-dependent for work such as long haul truckers and dellivery people. Lets see, two bucks a gallon, times how many million gallons a day? Sure would provide a lotta cash for some exploration of alternatives...

Just my simplistic solution to gross (and I do mean gross) consumption :mrgreen:

Peace

 

AMEN. As it is, we have it pretty good in the US. Gas (petrol) in the UK is WAY more expesive - last I heard it was around $6 per gallon. That would make all those Expedition-driving, 2-compact-space-hogging, visibility-blocking, jerkoffs think twice.

Of course, whoever proposed a bill like that would literally end their political career overnight. But I'd vote for them.

 

It's kind of funny how some Americans think they have a right to demand that the Arabs provide us with all the oil we want at the price we want to pay. The Arabs are doing exactly what we would do in their place: charge as much as we possibly could for what we've got to sell, and set production levels for maximum profit.

I agree with the $2 per gallon tax, but trying to refund a part of that to certain classes of consumers would be a bureaucratic nightmare. When you get right down to it our commercial transportation system is a part of our addiction to fossil fuels. We need public transportation that works, we need to live closer to where we work, and we need to produce more goods closer to where they will be purchased. And then we need to power our cars and our industry from renewable sources.

How about a sail-car? Kind of a schooner on roller skates. And while we're at it, let's bring back the dirigible.

 

We have a right to *demand* it. We just don't have a right to get it.

 

The way I see it, OPEC is simply doing what they have the power to do. Speaking from what I believe to be their perspective, we: 1.) invaded an oil producing state (yes, a troublesome one, but we now have our feet firmly in THEIR oil extracting sandbox); and, 2.) allowed the US dollar to become greatly diminished in value (as compared to other currencies), thereby affecting OPEC wealth long based in US dollars.

The first point has either us, or an "independent" Iraq, becoming a threat to OPEC's supply control. I admit that this is a debatable point since Saddam was none too adherent to OPEC edicts.

The second point has them trying to stabilize oil prices independent of the US currency value. If this thought process continues, they just might find that the Euro provides more stable long term base for their vast wealth holdings. Such a move would begin a trend having dire consequences for an American economy long supported by foreign investments (Note: I did not say handouts!).

However, on the plus side, it would be a great time to get a helluva lot smarter regarding energy policy. I had a laugh last night when I heard an Administration official using Jimmy Carter lines like, "Inflate your tires." "...keeping their engines tuned." "...and minimizing the number of unnecessary trips." Just think where we and OPEC would be if we hadn't turned a blind eye to this philosophy 23 years ago?

 

Now that's the job I want -- cross-country freight zeppelin pilot.

You don't get there fast, but the scenery can't be beat.

 

Sorry, but I must disagree with a $2 per gallon tax on fuel. You guys all like having jobs right? You would be quickly kissing them goodbye, along with your shiny new Prius if you're making payments on it. Our current "recession" would be but a joke in comparison with the consequences of such an action. Furthermore, it's not up to the government to force any kind of exploration of alternatives. It's up to US as a people to get that wheel moving, if we so desire.

 

Gas is a LOT more in other parts of the world, and they do alright. Obviously you can't just slap a $2 tax on. Add 50 cents per gallon per year, phased in over the course of the year. The point is not to bankrupt people, just to wake them up to the fact that THIS STUFF IS A LIMITED RESOURCE.

People are sheep. We're not doing too well on our own. Most of teh country will do what it is told. And it *IS* the job of the governement to provide incentives to do the right thing.

The problem is that we somehow ended up with an oil man at the helm. Shudder.

 

I must disagree. Our federal government was originally founded as a defender of our borders. The states are sovereign, and are responsible for their local citizenry, and problems. The federal government has no business micromanaging peoples lives. There's already far too much of that going on already.

Overseas countries tolerate the extortion level of taxation as they don't do a fraction of the driving that has become a necessity in the US. I'm one example. I drive 100 miles every day that I commute to work. That's 500 miles per week. Throw in a day or two with errands in the metromess, and you can add another 100 to 200 miles into that week. I, for one, am not willing to go back to an environment where I am sardined into another putrid apartment complex, nor into some subdivided neighbourhood where you can spit on your neighbours wall.

People are sheep as they are complacent. You rattle their cages, and wake 'em up by other means. Devastating the US economy is not acceptable. You want a tax on something? Put a hefty gas guzzler tax on vehicles with poor fuel economy. This makes that tax a choice for the prospective buyer to make, and doesn't hammer those who cannot afford it.

 

In other words, tax the other guy, not me. I agree with the gas-guzzler tax. But living 50 miles from work is also a choice. Americans use far more than our fair share of the world's resources. Driving an SUV is one manifestation of that. But living far from work is another.

Actually, "Tax the other guy, not me," is a plan I like. The income tax should be 95% for everybody richer than me, 15% for everybody poorer than me, and 3% for me. The yearly tax on my car should be $5, and the tax on everone else's car should be $500. Yep. That sounds like the plan.

 

Yes daniel, I chose to live 50 miles out of town. I've also followed up that choice by buying the most efficient vehicles I could, taking into account quality, and maintenance. So, why should I be penalized? You should try rural living sometime. It's great being able to see stars at night, and listen to the toads, frogs, and insects making their music at night. Absent is the noise of constant traffic, the neighbours party, sirens, that putrid city smell, and stress.

 

You shouldn't be penalized. If EVERYONE pays more, there's no penalty at all. It's not personal, man, it's for the betterment of mankind. Isn't that worth a bit of cash?

All very subjective. I've done the rural and sub-urban thing. For now I love being able to walk to clubs, bars, restaurants, cafes. I can also walk to a number of parks overlooking the most beautiful city in the USA.