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Posts tagged “gasoline demand”

By Robert Rapier on Aug 19, 2016 with 6 responses

U.S. Gasoline Demand Surges To New Record

In last month’s Short Term Energy Outlook (STEO), the Energy Information Administration (EIA) projected that it now expects record U.S. gasoline consumption this year:

Motor gasoline consumption is forecast to increase by 130,000 b/d (1.5%) to 9.29 million b/d in 2016, which would make it the highest annual average gasoline consumption on record, beating the previous record set in 2007 by 0.1%. The increase in gasoline consumption reflects a forecast 2.5% increase in highway travel (because of employment growth and lower retail gasoline prices) that is partially offset by increases in vehicle fleet fuel economy.

This projected increase follows several years of lower gasoline demand that resulted from persistently rising gasoline prices over the past decade. From 2002 to 2012 the average retail price of gasoline rose nearly every year, from an annual average of $1.39/gal in 2002 to $3.68/gal in 2012. Consumers responded to these higher prices in multiple ways, which cumulatively led to falling gasoline demand. Some even suggested that U.S. gasoline demand had permanently peaked, as a result of more fuel efficient vehicles and increasing adoption of electric vehicles (EVs). We can now say those predictions were premature. CONTINUE»

By Robert Rapier on Jan 9, 2012 with 23 responses

What’s So Bad About Exporting Gasoline?

One of my Top 10 Energy Stories of 2011 was the fact that the U.S. had become a net exporter of finished petroleum products such as diesel and gasoline. In fact, because gasoline and diesel prices were so high, U.S. fuel exports were valued at $88 billion, which made them the top value export in 2011 for the first time ever: Measured in dollars, the nation is on pace this year to ship more gasoline, diesel, and jet fuel than any other single export, according to U.S. Census data going back to 1990. It will also be the first year in more than 60 that America has been a net exporter of these fuels. Just how big of a shift… Continue»

By Robert Rapier on Jun 19, 2009 with 1 response

How Much Natural Gas to Replace Gasoline?

I Took This Picture of a CNG Bus on a Recent Trip to D.C. You may have seen the news this week that a report by the Potential Gas Committee says natural gas reserves in 2008 rose to 2,074 trillion cubic feet. The New York Times and the Wall Street Journal (via Rigzone) both had stories on it, and T. Boone Pickens issued a press release. First, from the New York Times (and this is a really good article): Estimate Places Natural Gas Reserves 35% Higher Thanks to new drilling technologies that are unlocking substantial amounts of natural gas from shale rocks, the nation’s estimated gas reserves have surged by 35 percent, according to a study due for release on… Continue»

By Robert Rapier on Oct 19, 2008 with no responses

Haven’t We Seen This Before?

At this year’s ASPO conference, I was twice asked about the gasoline supply situation – once at a panel session and once by a reporter. At the time, there were gas shortages throughout the southeast, and some of the speakers gave the impression that this was the beginning of the end: Gas shortages are here to stay, and we are on the verge of the entire country running out of gasoline. There were a number of predictions along the lines of “It’s going to get a lot worse before it gets better.” While first discussing the source of the gas shortages – low inventories followed by a hurricane that sidelined a significant source of refining capacity – I answered the… Continue»

By Robert Rapier on Jul 19, 2008 with no responses

More Signs of Demand Destruction

This time, the news comes from the API: U.S. oil demand drops in first half of 2008 WASHINGTON – U.S. oil demand was significantly down for the first six months of 2008, API said today in its Monthly Statistical Report. While U.S. refiners churned out record and near-record amounts of oil products, imports – especially product imports — fell substantially. Deliveries of all oil products – a measure of demand – fell 3.0 percent compared with the same first-half-year period in 2007, with gasoline deliveries slipping 1.7 percent. For the preceding three years, oil demand had essentially held steady. API statistics manager Ron Planting said, “At 20.08 million barrels per day, total demand was the lowest in five years. And… Continue»

By Robert Rapier on Jan 17, 2008 with no responses

API Year End Statistics

The API has released their year end report on consumption, and some of the results were quite interesting. They held a blogger call today to discuss the results, but I got tied up and couldn’t make it. If they post a transcript, I will check it out and may excerpt some portions. The summary of the statistical report may be found here, and the press release discussing the report is here. But here is the press release in full: U.S. fuel production at record-high in 2007, demand flat – API WASHINGTON – U.S. fuel production reached a record high in 2007 as refinery capacity expanded for the 11th straight year, API data show. U.S. crude oil production also rose in… Continue»

By Robert Rapier on May 27, 2007 with no responses

The Mythical Ethanol Threat

There have been many claims in recent years that ethanol is going to help wean us off of fossil fuels. In fact, many of our political leaders claim that as long as we just keep subsidizing the ethanol industry, eventually cellulosic ethanol will take over and we will all motor happily along on E85. We are making energy policy decisions based on this assumption. As this analysis will show, the data we have to date don’t support those kinds of projections. Let’s consider the effect to date of the explosive growth in grain ethanol production. The difficulty in producing ethanol from cellulose is probably an order of magnitude greater than it is for producing ethanol from corn. Therefore, it is… Continue»