Soaring fuel prices

[BensGrandad]

Can somebody explain to me, a mere simpleton, why because of the weather and not being able to get to deliver the fuel this should affect the price at the pumps. To me it appears that the overheads etc are the same but due to a shortage the fuel companys are turning us over yet again.

 

[manilaseagull]

And they wont reduce the prices later...

 

[drew]

It's called profiteering. Power companies are at it as well.

 

[Jimbo.GRFC]

And they wont reduce the prices later...

Its the students fault

 

[upthealbion1970]

Its the students fault

and 1901ers

 

[seagullsovergrimsby]

with all the bad weather there were fewer cars on the road , to recoup their losses fuel prices have risen on the pretence there is a shortage.

 

[disgruntled h blocker]

It's because there is an increased demand for petroleum based products - from heating oil to diesel to power generators etc.

Also the demand for oil has gone up since companies like Tesco all have CHP (Combined Heat and Power) plants at all their big stores, to generate their own electricity, to be "green".

 

[The Peanut Roaster]

I think 68% tax doesn't help.

Then the vat on top.

 

[BensGrandad]

It's because there is an increased demand for petroleum based products - from heating oil to diesel to power generators etc.

Also the demand for oil has gone up since companies like Tesco all have CHP (Combined Heat and Power) plants at all their big stores, to generate their own electricity, to be "green".

Is that very recent or is it something that has been in for some months.

 

[porkypie]

I think 68% tax doesn't help.

Then the vat on top.

This, you watch them rise again when vat go's up next month!

 

[Poyetry In Motion]

It's called holding joe public to ransom.

 

[1066gull]

I thought fuel duty is 59% ?


To be honest I give up. If anyone can remember back in the summer my posts of fuel dropping at the end of the June books. They dropped a low of 9% that last day (down to $67 a barrel approx) before returning to finish 0.5% UP at close back to about $78.

Prices at the pumps averaged 118.9 back then.

And now a barrel is worth $87.

Sounds about right.

 

[The Peanut Roaster]

I thought fuel duty is 59% ?


To be honest I give up. If anyone can remember back in the summer my posts of fuel dropping at the end of the June books. They dropped a low of 9% that last day (down to $67 a barrel approx) before returning to finish 0.5% UP at close back to about $78.

Prices at the pumps averaged 118.9 back then.

And now a barrel is worth $87.

Sounds about right.

The BIG con here is that vat is charged on the petrol price AND the fuel duty added together, rather than the petrol price alone. So a tax is being taxed.

Come Jan 1st, I believe the duty goes up again along with the increase in vat. Double whammy.

 

[BensGrandad]

Did I not read somewhere that the government were going to bring in an escalating rate of tax for fuel so that if the wholesale price went up the tax went down so the price remained constant. What happened to that idea or did I misread or interpret it.

 

[1066gull]

flip flopping.

 

[disgruntled h blocker]

Is that very recent or is it something that has been in for some months.

No, but demand for them increases when it gets cold... Supply and Demand

 

[Bwian]

Maybe we should ask the students to protest?

 

[Gully]

Did I not read somewhere that the government were going to bring in an escalating rate of tax for fuel so that if the wholesale price went up the tax went down so the price remained constant. What happened to that idea or did I misread or interpret it.

We used to have something called the fuel price escalator, if my mind isn't playing tricks on me, think it was introduced in the mid-90's and carried on until well into the Labour Government. I believe it meant that fuel would increase by a set, and pre-agreed, amount each year regardless of how much oil cost per barrel.

 

[disgruntled h blocker]

We used to have something called the fuel price escalator, if my mind isn't playing tricks on me, think it was introduced in the mid-90's and carried on until well into the Labour Government. I believe it meant that fuel would increase by a set, and pre-agreed, amount each year regardless of how much oil cost per barrel.

Yup, we still do. But I have a feeling that the ConDem's decided to delay an increase so we get a double-hit at the same time as the VAT increase. May be wrong there, mind you!

 

[Gully]

Maybe we should ask the students to protest?

I think there is an opportunity here...perhaps we could all sponsor students to protest on our behalf, the benefit would be that they would get an income to help fund their education and we could protest against stuff without the inconvenience of having to go up to London and get kettled in Trafalgar Square.