The national yearly average motor gasoline fuel consumption in the millions of barrels per day
Components of Gas Prices
Published Tuesday, June 16th, 2009
The price of gas in the last 48 days has risen $0.61 or 30.3% on average nationwide to set a gallon of regular unleaded gasoline to $2.669 on Monday. This comes as global events pull crude lower to $70 a barrel. Crude has had a rollercoaster ride with global events such as protests in Iran and sabotage in the Niger Delta; the World’s Reserve Currency and OPEC (Organization of Petroleum Exporting Countries) have stated that $75-80 per barrel is a fair level.
From each barrel of crude, a refinery produces 19.15 gallons of gasoline, 9.21 gallons of diesel, and 16.32 gallons of various other products. In 2007, the cost of crude oil only contributed 58% to the price of gas per gallon at the pump; this is 10 percent higher than previous years. The refining cost — up 1% from the previous 7 years — contributed 17% to the average distribution cost of a gallon of regular. Distribution, marketing and retail dealer costs and profits in 2007 were 10% of the gasoline price, which is down from the 2000-2007 average of 12%. The demand for gas in the US, another factor in the price per gallon, is driven by a steady increase in the monthly vehicle mileage. Given slow rise in vehicle fuel efficiency, the US consumption of gasoline has, since 1980, remained about 700 gallons per year or a consumption of 9 million of barrels of crude oil a day.
The Effects of Gas Price Changes
Published Tuesday, November 25th, 2008
The daily average price of a gallon of gasoline has declined to just under $2 after a sustained period of record high prices. The effect of previously high prices has been reductions in driving, increases in the use of mass transit, and purchases of more fuel-efficient vehicles, which have all been steps to improving energy independence. According to the Department of Transportation, ‘vehicle miles driven‘ (VMD) fell for the 11th month in a row, 4.4% in September alone. The Department of Energy also stated that we consumed 5.5% less gasoline than last year. Yet, the drop in VMD and gasoline consumed has created a gas tax revenue shortfall of $3 Billion in 2008, which means less money for transportation infrasturcture.
The effect of recently lower gas prices is yet to be seen, but the continued economic growth of India, China, and other developing countries around the world, in addition to OPEC and non-OPEC reactions to this price decline, is expected to eventually bring the price of oil back up.
Federal Highway Administration - http://www.fhwa.dot.gov/
FHWA is charged with the broad responsibility of ensuring that America’s roads and highways continue to be the safest and most technologically up-to-date. Although State, local, and tribal governments own most of the Nation’s highways, we provide financial and technical support to them for constructing, improving, and preserving America’s highway system.
National Highway Traffic Safety Administration: Traffic Safety - http://www.nhtsa.dot.gov/portal/site/nhtsa/menuitem.5928da45f99592381601031046108a0c/
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