April 3, 2013 | Weekly Fuel Market Update
Gasoline costs at the pump are on average 26.6 cents below a year ago – and have dropped for the past ten days. The average price last year peaked the first week of April. The diesel market is also still at the low end of the past 9 months.
Last week, the Environmental Protection Agency proposed new standards for gasoline that would reduce gasoline sulfur levels by more than 60% – from 30 parts per million to 10 ppm in 2017. Over the past 10 years, similar mandated reductions have cost the industry billions. Reducing sulfur by 60% will require refineries to improve their infrastructure.
JJ Mancini, President of Desert Fuels, was interviewed on local KOAT-TV News about the proposed rules and their affect on prices.
The diesel and gas market in New Mexico is steadily loosening up as local refiners are catching up on production after planned maintenance in February and March.
West Texas / El Paso
El Paso continues to be a market where Desert Fuels is growing with both longtime customers as well as new customers who are looking for a reliable source of fuel. Even with drastic fluctuations in the market, Desert Fuels is always competitive, with great prices.
With no major refineries in the state, fuel is piped into the Arizona market, and at times the Tucson area gets passed over for larger contracts in Phoenix or California. Desert Fuels diesel in Tucson remains one of the best values in the area. And we will always have fuel when you need it.
Colorado – Front Range
No significant changes this week.