FUEL COSTS COMMENTS * USA - Give Us A Break
We just can't get a break when it comes to dealing with the energy problem. We try to do the right thing, economically or environmentally, and it backfires
New York,NY,USA -Forbes, by Jerry Flint -19 May 2008: -- Two instances of this have to do with diesel and ethanol... Diesel engines were supposed to be a savior. That's because they are more thermodynamically efficient than gasoline engines. They have higher compression ratios and get more mileage out of the fuel--20% to 30% more. Diesel cars are very popular in Europe, and they save drivers money, partly from the efficiency and partly from the price difference. At a Texaco station in Brussels last week, gasoline was selling at $9 a gallon (figuring $1.59 to the euro) and diesel was only $7.81. In cost per mile in Belgium, diesel is way ahead... So what's the trouble with diesel as a salvation over here? Hint: Did you notice that truck drivers were parking their long-haul rigs the other week to protest high diesel prices?... At a Mobil station 70 miles north of New York City recently, I noticed that diesel was going for $4.49 a gallon, a third more than regular gasoline. This is just enough to wipe out the mileage benefit from diesel. The cost of diesel is bad news even if you are a city dweller without a car. Just about every product moves at some point by diesel truck. You can figure we'll soon see the recent price increases filtering through the entire economy...
* Canada - Fear Not Albertans: NEP sequel unlikely despite fuel concerns
Banff,ALB,CAN -Today's Trucking -1 May 2008: -- The high cost of fuel may serve as good material for coffee break rants, but a revamped version of the National Energy Program (NEP) is an unlikely solution and probably unwise... David Bradley, CEO of the Canadian Trucking Alliance, assured the Alberta membership that the national association was not pushing for an updated version of the NEP, which was abandoned in 1986 by the Mulroney government... "It's not in my view to approach this with an NEP Part Two and I don't think the government will approach it," explained Bradley, during the AMTA annual management conference in Banff, Alberta, last week... While Bradley admits the trucking industry doesn't have a very good record for pricing discipline and holding the line, he says it is imperative for carrier not to give discounts on fuel surcharges and explain to shippers how much the cost of fuel is affecting their business... "Take a stand and make them pay," said Bradley. "You can't take a 30 to 40 percent reduction in fuel rates. This isn't going to change, fuel prices are not going to be reduced."... (Picture: The Canuck buck has really become a 'petro-currency' says CTA boss David Bradley)
Labels: fuel cost troubles
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