California’s a gas

In Hawaii, to deliver gasoline, tanker ships must sail from the mainland, some 2300 miles; there, gas trucks (which themselves are relatively rare and had to be shipped out as cargo) deliver to the various gas stations, some of which are situated on windy roads quite far from populous towns. The process can take weeks.

Yet gasoline in Hawaii is still some 20 cents cheaper than it is in California.

Yay us. Gas at $3.60.

4 Responses to “California’s a gas”

  1. davis freeberg Says:

    It has nothing to do with supply or demand, it’s all part of a global conspiracy. I would tell you more, but I’ve already said too much.

  2. Crabby Says:

    Blast! And now I’ve read too much! πŸ™ πŸ™ πŸ™ Will they get me too?

    In Canada, you buy gas by the liter. And you drive kilometers. I have no idea what anything is or why or how much, but it comes out to around $60 to fill’er up. Problem is that’s in Canadian currency. πŸ™ πŸ™ πŸ™

  3. kjw Says:

    CA gas “must” by law contain MTBE. there’s a limited supply of the stuff and also limited refinery capacity for producing the end product.

    limit the supply, up goes the cost.

    It’s been fascinating watching the corner cases of economics; inflexible demand (primarily electricity), and very very limited supply. you end up with these hugely nonlinear price spikes.

    Gas is somewhat flexible, but only somewhat. until the price reaches $5, I still don’t think you’re going to get signifigant push to get people off the roads, but given that the bay area is not dense enough to support a proper public transit infrastructure (I just came back from Japan and New York City), it’ll be very difficult to upgrade/improve the infrastructure to get people off the roads.

    If public transit doesn’t work, what alternatives are left? scooters and bicycles. I’m planning on electrifying my bicycle so that my 10 mile commute takes about 30 minutes. right now, by car, I average 20-25 minutes due to stop lights and traffic, so that’ll be an easy change (during the summer).

  4. Geoff Mitchell Says:

    We threw tea in the harbor 200+ years ago for less then we tollerate today.

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