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Old 05-9-2007, 01:05 AM   #11
iPatcH
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Default Re: Don't pump gas on May 15th ....

I'm going to go ahead and post this here as well:

I see a lot of bulletins asking to not pump gas on May 15th. This doesn't devalue gasoline, in fact, it could raise prices at the local level.

For example, if the owner of a local BP station sells less 25% less gasoline on ONE particular day, it won't actually effect how much he's ordering. Instead...he may just raise prices per gallon at that particular location so he could meet the same profit line and stay in business.

Before I go on, I don't claim to be an expert. But for some strange reason, over the last 10 years or so I've had an interest in "energy" and the way the oil/energy industry works.

So briefly explaining how this works, and why a "gas-out" would be nothing more than ineffective:

- When you first drill oil, the result actually sprays out of the ground. It's very watery and requires an expensive amount of refining.

- A decade down the road, as they drill deeper, the oil isn't as easy to bring to the surface. However it requires very little refining to turn it into gasoline, making it the most profitable and easily available time-period in a oil well.

- Finally, as you go deeper and deeper, it's harder and harder to bring the oil up. The oil gets thicker and is once again very expensive to refine. Then, finally, the well runs dry and is no longer profitable to drill.

So, MOST of the oil wells in the Middle East are currently at their peak period of drilling (hence the name 'peak oil'). Business is good, however, America uses more and more oil every year. This means that our consumption is expanding, however since the wells are at their peak, the production isn't expanding.

Multiply this with a rapidly expanding oil market in Asia and Western Europe, and now we have competition. We literally have to bid with OPEC for our oil against other governments (and always have). That is why our oil prices are rising. Consumption vs. production. We keep using more while they cannot produce enough to meet demand. This drives up the prices per barrel, and, of course, drives up the prices per gallon.

So is it the oil company's fault? Nope. **** them, but nope.
Is it OPEC's fault? Nope. **** them twice, but nope.
Is it your local gas station's fault? Of course not.
Is it our fault for consuming a ridiculous amount of oil? Yup.

I try to look at the bright side of the situation. High oil prices aren't THAT big of a deal in our day to day life. It simply doubles the amount of money we spend to get around in cars. This amount of money is very small in comparison to what we're spending on drinks at a bar per month or even our mobile phone or internet bills.

However, for someone with an 8 MPG SUV that requires 25 gallons of fuel twice a week to make the normal commute, this is pretty significant. So, now that we've all been slapped in the face with $3+ per gallon...SUV and truck sales are at a record low.
People who never gave a **** about the environment in the first place are now flipping their lids because the consequences are attacking their precious Plasma HDTV savings fund.

So the point of all this gibberish of mine, if there is one:

Don't like high gas prices? Here's how to protest:

1. Sell your car and buy a hybrid or more fuel efficient vehicle. The Sun Times recently published an article that breaks down all of the new hybrids and tells you how long it'll take you to break even on the extra investment. Some of them were as short as 16 months!

2. Stop driving when you can. Take the bus/train.

3. Ride your bike if you're traveling less than a couple miles. Think of your body's calories as free gasoline (it IS just built up energy after all).

4. Stop using oil-based/consuming products when you don't need to. This includes, well, just about every-****ing-thing in your life. Plastic bags, iPods, etc, etc, etc. The more plastic, the more oil.

5. Most power plants in the USA are still oil-based. So switch to florescent bulbs, ease up on the AC, turn unneeded lights/appliances off when you're not using them.

But simply not getting gas on May 15th...that's not going to change a thing. The only person it'll bother is the poor guy who owns the local gas station. Besides, you'll just end up buying more gas on May 16th won't you?

Love,
Benn
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