Diesel Grows In Popularity Despite Price Fluctuations At The Pump

Cameron Aubernon
by Cameron Aubernon

Though diesel power is experience increased popularity among United States consumers, the wild fluctuations in the price for a gallon of diesel may put some potential oil-burner owners back on the gasoline bandwagon.

Detroit Free Press reports the price fluctuations are linked to circumstances unrelated to those affecting prices for gasoline. Gasbuddy.com chief oil analyst Tom Kloza explains that part of the swings that occurred this winter was due to the similarities between diesel and heating oil in wide use throughout Europe and the Northeastern United States. Another factor was increased demand for natural gas, prompting utilities and businesses to use diesel to generate electricity. Those and other unnamed factors drove the global price for a barrel of diesel between $119 to $130 in Q4 2013 and Q1 2014.

As for the overall market, organizations such as IHS Automotive and Diesel Technology Forum expect adoption rates of 6 percent to 9 percent by 2020, compared to 3 percent of the U.S. market currently. In addition, some 40 new vehicles are expected to enter showrooms within the next two years, ranging from pickups and SUVs to compact cars.

Diesel’s new-found popularity in the U.S. and developing economies means the oil fuel is the most common around the globe, surpassing gasoline. In turn, refiners and governments will see more profit in production and taxation from diesel.

Cameron Aubernon
Cameron Aubernon

Seattle-based writer, blogger, and photographer for many a publication. Born in Louisville. Raised in Kansas. Where I lay my head is home.

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  • Lou_BC Lou_BC on May 24, 2014

    If one goes to ramtruck.ca website they have a calculator that shows the fuel savings of the Ram ecodiesel over competitors. If one considers the piss poor cargo capacity of the Ram 1500, one would be better off with a Ram Pentastar V6 gasser, Ford 3.7 or Chevy 4.3. These are the savings based on 20,000 km a year 55%city 45% highway. Ford F-150 3.7L V6 $ 516 Ford F-150 3.5L V6 EcoBoost $ 608 Ford F-150 5.0L V8 $ 1,041 GM (Chevy / GMC 1500) EcoTec3 4.3L V6 $ 395 GM (Chevy / GMC 1500) EcoTec3 5.3L V8 $ 588 GM (Chevy / GMC 1500) EcoTec4 6.2L V8 $ 1,440

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    • Scoutdude Scoutdude on May 26, 2014

      @Scoutdude No spin here your the diesel spin master around here and the one that reads spin into others posts. My original post was a reply to the fact that on the Canadian website Chrysler is comparing the fuel efficiency of the diesel to the competitor's gas engines. I just provided the in house comparison that just so happens to show that if you are willing to drive a Dodge truck and your concern is economy the diesel is not the right choice. Yes the diesel can tow slightly more than the gas V6 and if you need to tow between 7,500 and 9,200 lbs the diesel has the advantage. Otherwise the HFE or standard V6 is the best choice. Unless you just like spending more to say you have a diesel and taking longer to get where you want to go. The diesel 0-60 time is 1~2 sec longer than the gas V6, depending on exact configurations, since the gas V6 makes about 25% Horsepower. Horsepower tells you how fast you can do work.

  • Lou_BC Lou_BC on May 24, 2014

    The Ramtruck.ca website has mpg savings listed by the ecodiesel Ram. This is what it showed for a 55% city 45% highway split at 20,000 km per year: Ford F-150 3.7L V6 ...$ 516 Ford F-150 3.5L V6 EcoBoost...$ 608 Ford F-150 5.0L V8...$ 1,041 GM (Chevy / GMC 1500) EcoTec3 4.3L V6...$ 395 GM (Chevy / GMC 1500) EcoTec3 5.3L V8...$ 588 GM (Chevy / GMC 1500) EcoTec4 6.2L V8...$ 1,440

  • Volvo driver Volvo driver on May 24, 2014

    If anything the opposite is true here in California. Diesel prices has been extremely stable while gasoline has varied substantially. Need proof? Heres the price of regular unleaded in LA for the last 18 months. http://charts.gasbuddy.com/ch.gaschart?Country=Canada&Crude=f&Period=18&Areas=LosAngeles,,&Unit=US%20$/G Over the same time period I've been able to buy diesel fuel for between $3.60-$4/gallon. Maybe other markets are different but in California diesel makes a lot of sense.

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    • Scoutdude Scoutdude on May 25, 2014

      The seasonal variations in price are opposite for gas and diesel. Diesel prices go up in the winter as demand for heating fuel goes up and demand for motor fuel diesel goes up as trucking shipments go way up pre-Christmas, at least for those of us around ports that receive shipments from China. Demand for gas on the other hand hits its lowest in the winter and peaks in summer and prices tend to follow that change in demand. In the PNW that translates to diesel frequently topping 20% more expensive than regular in winter and dropping to about a 10% premium in summer.

  • George Herbert George Herbert on May 24, 2014

    Two reasons to consider diesel not addressed above - 1. Gasoline is the poster child for poorly regulated toxic / carcinogenic substance. 2. Diesel lasts a lot longer in storage, if you have a need to store fuel. 2 is probably most important to farmers, the vanishing fraction of people living waaayyyy out away from civilization, and militaries, but isn't completely discountable. 1 is a huge deal. Gas would never pass current health regs for a consumer chemical. Getting it on your skin or breathing its fumes really are horrible ideas. Gas stations aren't nearly good enough at keeping you away from it. I am not going to pretend I'm any sort of saint here - both my family cars are gas at the moment. But in the long term, someone's going to make a big swing at gasoline on its toxicity, and it will stick.

    • Lou_BC Lou_BC on May 24, 2014

      @George Herbert - true. Benzene is a known carcinogen. Gasoline in the USA averages 1% benzene whereas diesel runs about 0.02%.

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