Gas prices dropping soon?

[Bikeman315]

2 things caused the Tx grid collapse.
1, windmills that froze up
2, The switch from ICE pipeline pumps to electric.

Let’s just a wee bit to simplified.

https://www.texastribune.org/2022/02/15/texas-power-grid-winter-storm-2021/

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[K4fxd]

just a wee bit to simplified.

Occam's razor

The windmills went down, power to natural gas pumping stations got cut, natural gas stopped flowing to gas generating plants. The grid went down.

Really pretty simple.

 

[K4fxd]

If the windmills hadn't gone down or if they still used natural gas powered ICE pumps the grid would have chugged on.

 

[Bikeman315]

Occam's razor

The windmills went down, power to natural gas pumping stations got cut, natural gas stopped flowing to gas generating plants. The grid went down.

Really pretty simple.

What about the other 76%?

 

[K4fxd]

What about the other 76%?

76% of what?

If the windmills had not froze, or if the pumps did not stop, nobody would be ridiculing Tx.

Root cause analysis.

Now if you want to know the why's, that is beyond this forum.

 

[Bikeman315]

Gee, who would have ever thought.

Price Gouging at the Pump Results in 235% Profit Jump for Big Oil: Analysis

https://www.commondreams.org/news/2...pump-results-235-profit-jump-big-oil-analysis

 

[K4fxd]

I love it. Same thing they did the last time gas was over 3 dollars a gallon. Blame the oil companies.

 

[NFG19]

I love it. Same thing they did the last time gas was over 3 dollars a gallon. Blame the oil companies.

There’s a video where I think chuck schumer. He was standing in front of a gas station sign blaming trump. When gas was over $3.00. Now it’s the president doesn’t control gas prices! Lol well which is it?!

 

[Bikeman315]

There’s a video where I think chuck schumer. He was standing in front of a gas station sign blaming trump. When gas was over $3.00. Now it’s the president doesn’t control gas prices! Lol well which is it?!

The President does not control short term pricing in a free market economy, period. Chuck is a politician just like Graham, McConnell, Pelosi and the rest of them. They say what their constituents want to hear. Blame is easy, solutions not so much.

 

[sk47]

Gee, who would have ever thought.

Price Gouging at the Pump Results in 235% Profit Jump for Big Oil: Analysis

https://www.commondreams.org/news/2...pump-results-235-profit-jump-big-oil-analysis

Hello; Interesting thought. I have not yet read the link so will go with the idea a company in business selling a product in high demand will make a profit. Since some of the policy reasons behind the fuel price increases have already been discussed I presume some of the larger numbers has to do with the inflation we all suffer.

I have been paying more for my gas in the last 18 or so months to be sure. The gas I purchased worked as expected in my vehicles and lawn mowers. Here is my point. I took two covid shots over a year ago that did not give the protection expected. Many folks took extra boosters of those shots. Thing is they got the covid illness anyway. If making a profit is the "bad" side of oil companies does the same not apply to big pharma. Best I can tell there have been and continue to be big profits for the vaccine makers and so far the shots do not actually prevent disease. Oh, I get that folks with four shots think they do not have as bad an illness when infected because of the shots. Not sure about that. Anyway, big profits backed up by mandates for a questionably functioning product.

Sorry for the sidetrack. Point being making a profit is not necessarily bad. A lot depends on how it was done. It has been my understanding that the profit margins from selling gas/diesel at a service station are very slim. Much slimmer than things such as the candy the service stations may sell. Gas stations have and are being attacked of late

I will read the link to see if it is an unbiased report or another puff piece slanted to favor an agenda. By that I mean for months now the cries have been to deflect fuel price blame away from those who have actually created the situation starting around 18 months or so ago.

 

[sk47]

The President does not control short term pricing in a free market economy, period. Chuck is a politician just like Graham, McConnell, Pelosi and the rest of them. They say what their constituents want to hear. Blame is easy, solutions not so much.

Hello; The idea that somehow policies enacted by Exec orders or legislation with a presidential signature do not affect prices in a free market seems naïve. Of course a president can influence prices in a free market. We have seen the effect the last year or so.
You have made this claim a few times before that somehow doing business in what is called a "free market" is not affected by regulations/policies enacted by those in power. The red tape and stalling tactics of the many government agencies are one example. The direct results of an executive order are an example.
You mentioned some posts ago we have a very different point of view. That is so on some things. On this it is not just a difference of opinion. There is an active campaign against fossil fuels going on currently. That somehow that campaign is not affecting fuel prices doe does not fly for me.

 

[Bikeman315]

Hello; Interesting thought. I have not yet read the link so will go with the idea a company in business selling a product in high demand will make a profit. Since some of the policy reasons behind the fuel price increases have already been discussed I presume some of the larger numbers has to do with the inflation we all suffer.

I have been paying more for my gas in the last 18 or so months to be sure. The gas I purchased worked as expected in my vehicles and lawn mowers. Here is my point. I took two covid shots over a year ago that did not give the protection expected. Many folks took extra boosters of those shots. Thing is they got the covid illness anyway. If making a profit is the "bad" side of oil companies does the same not apply to big pharma. Best I can tell there have been and continue to be big profits for the vaccine makers and so far the shots do not actually prevent disease. Oh, I get that folks with four shots think they do not have as bad an illness when infected because of the shots. Not sure about that. Anyway, big profits backed up by mandates for a questionably functioning product.

Sorry for the sidetrack. Point being making a profit is not necessarily bad. A lot depends on how it was done. It has been my understanding that the profit margins from selling gas/diesel at a service station are very slim. Much slimmer than things such as the candy the service stations may sell. Gas stations have and are being attacked of late

I will read the link to see if it is an unbiased report or another puff piece slanted to favor an agenda. By that I mean for months now the cries have been to deflect fuel price blame away from those who have actually created the situation starting around 18 months or so ago.

What you fail to understand is that there is profit and there is gouging. Two totally different things and not always easy to differentiate. Maybe reading the link before commenting would help you. You also seem unable to discuss a singular topic without adding a sidebar that may of may not any add to the conversation (just stick to oil/gas without bringing in Covid and Pharma).

You also cannot seem to differentiate between the oil companies and a gas station. Again big difference between a multi billion dollar corporation and a local guy down the street who owns a gas station. But you are correct in stating the the gas stations owners are not making huge profits. The oil companies keep the profits for themselves. They do not pass it down.

And, of course you cannot post anything without bringing up the government. This is your goto argument regardless of the topic. But at least this I understand. You are a political lemming, much like many others out there. I on the other hand are a middle of the road independent, beholden to neither side. I'll call BS regardless if it comes from the left or the right. There's plenty of it to go around.

 

[Bikeman315]

Hello; The idea that somehow policies enacted by Exec orders or legislation with a presidential signature do not affect prices in a free market seems naïve. Of course a president can influence prices in a free market. We have seen the effect the last year or so.
You have made this claim a few times before that somehow doing business in what is called a "free market" is not affected by regulations/policies enacted by those in power. The red tape and stalling tactics of the many government agencies are one example. The direct results of an executive order are an example.
You mentioned some posts ago we have a very different point of view. That is so on some things. On this it is not just a difference of opinion. There is an active campaign against fossil fuels going on currently. That somehow that campaign is not affecting fuel prices doe does not fly for me.

And here you go again. I find it interesting that you read what you want to read and then comment on that. I said "short term pricing". What you have seen happening this year has not been effected by any policies. As proof of this claim, gas has dropped almost a dollar a gallon in the past few weeks. What government policy are you crediting for that drop? Excuse me I can't hear you. All of you "policy" lemmings are quick to place blame but fall deaf when things start to turn around.

Now I will give you this and I've stated this before (which you conveniently forget), Some policies do have an immediate effect (interest rate hikes for instance). But many other government policies will/can/do only have an effect over the long haul. There's no argument that the current administration wants to significantly reduce and on dependence on fossil fuels. They are not the first and will not be the last. There is also no argument that big oil hates this. If it were up to the current administration we would all be driving EV's tomorrow. Thank God that's not happening.

But at the end of the day we are still discussing gas prices. And today's prices confirm what we have known all along. There are many factors that establish pricing. Few of them make any sense. And none of them are in our control. They charge, we pay. Simple as that.

 

[sk47]

What you fail to understand is that there is profit and there is gouging. Two totally different things and not always easy to differentiate. Maybe reading the link before commenting would help you. You also seem unable to discuss a singular topic without adding a sidebar that may of may not any add to the conversation (just stick to oil/gas without bringing in Covid and Pharma).

You also cannot seem to differentiate between the oil companies and a gas station. Again big difference between a multi billion dollar corporation and a local guy down the street who owns a gas station. But you are correct in stating the the gas stations owners are not making huge profits. The oil companies keep the profits for themselves. They do not pass it down.

And, of course you cannot post anything without bringing up the government. This is your goto argument regardless of the topic. But at least this I understand. You are a political lemming, much like many others out there. I on the other hand are a middle of the road independent, beholden to neither side. I'll call BS regardless if it comes from the left or the right. There's plenty of it to go around.

Hello; Interesting. Guess I touched a nerve. Only see two comments on point. One that gouging and taking a profit are not the same. The other is that gas station owners are not making a big profit as i stated. Yet some of the rhetoric of late has been directed at the gas stations.

 

[sk47]

And here you go again. I find it interesting that you read what you want to read and then comment on that. I said "short term pricing". What you have seen happening this year has not been effected by any policies. As proof of this claim, gas has dropped almost a dollar a gallon in the past few weeks. What government policy are you crediting for that drop? Excuse me I can't hear you. All of you "policy" lemmings are quick to place blame but fall deaf when things start to turn around.

Now I will give you this and I've stated this before (which you conveniently forget), Some policies do have an immediate effect (interest rate hikes for instance). But many other government policies will/can/do only have an effect over the long haul. There's no argument that the current administration wants to significantly reduce and on dependence on fossil fuels. They are not the first and will not be the last. There is also no argument that big oil hates this. If it were up to the current administration we would all be driving EV's tomorrow. Thank God that's not happening.

But at the end of the day we are still discussing gas prices. And today's prices confirm what we have known all along. There are many factors that establish pricing. Few of them make any sense. And none of them are in our control. They charge, we pay. Simple as that.

Hello; Two-part answer. First the policies such as massive printing of money in the trillions and the policies directed against fossil fuels worked together to raise fuel prices over months. Add to these are the policies of the shutdowns during covid which crippled many parts of the world economy including the energy sector. One small but significant portion has been that some closed refineries have not been restarted and may be due to "policies".

After many months of steady rising prices at the pump more and more folks reached their limit of being able to spend so are buying less. The demand destruction part of supply and demand economic theory you have mentioned.
I will also give a tiny amount of credit to the releasing of oil from the strategic reserves. Tho a small part it does increase supply for a few months until around September, I think.

Here is the thing i look back to. In the months before Covid the world was ticking along with big demand for fuel and a functioning global economy. Yet fuel prices were half or less than they are now. Even as post lockdowns have increased demand, I doubt that demand is greater than it was during pre-pandemic time before lockdowns. What has basically changed from pre pandemic to post pandemic. Are the oil and natural gas supplies not still available to be recovered? Are the oil companies so much changed pre and post that they have decided to trash the very economy they depend on to stay in business? Yes I have a bone to pick about the policies affecting my day to day life.

I am so far behind the ongoing word definition changes that I gave up and will use the meanings I have known for decades.

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