08-14-2015, 01:39 PM
(08-14-2015, 09:48 AM)michaelsean Wrote: I never understand the supply of gasoline. If a major refinery goes down, and supply is limited so the price goes up, how come I never see gas stations without gas? Are they bringing it in from further away and that's what causes the spike in price?
That, and other refineries will work OT to pick-up the slack, and that higher cost needs to be passed along. And/or the refineries increase production from less efficient lines (sort of like in the winter energy demand spikes cause utility companies to supplement energy plants with more costly oil-based energy production).
There's also something to do with more summer blends (because of pollution) which increases costs. But that shouldn't impact this particular spike.
