Memorial Weekend - Gas Costs!

[Infymus]

Usually the wife, kids and I head out on a 2500 mile round trip every memorial day. This weekend, we're staying home - only postponing the trip to June 22nd.

Gas here in SLC for premium is now $4.00. Pop around you can get $3.89, or a few cents, but $4.00 is here to stay.

I have a 2007 CX7, which I have parked on the side of the house. That gas guzzler gets 14.6 MPG and would cost me $375 a month right now. So I drive my 2008 MX5 Miata instead, which I am averaging 27.5 MPG on - but come winter, I have to go back to the CX7 for a couple months till the lease is due.

Wife's car, the 2007 CX9 needs to be filled up once a week and is costing us about $60-$65 a week, averaging about 16 MPG. Last year, on our annual 2500 mile trip, we got 25 MPG, so our gas costs this June will be around $400-$450 to go those 2500 miles. Not bad, that beats four plane tickets.

This fall my lease will be up on my CX7 (thank God, what a freaking brick) and I will be dumping it for a Mazda 3 5 speed (non turbo) to combat the gas costs.

For the wife, her lease ends next March, and we need the bigger car - but gasoline is seriously eating into our budge. What used to be last year $300-$400 a month in gas costs is now $700-$800 a month. And big gas guzzlers like the CX9 are really hurting the pocket book. I have to make a big decision. Stay with the CX9 and pay the huge gas costs, or go back to a smaller car and save some money.

Gasoline, it's whats for dinner. $4.00 is here to stay. At $135 a barrel for crude, I predict by the end of the year, we will be at $170 or more. Next year, gas will be in the mid $4.00 dollar range. And to lease out a 2009 CX9 that only gets 16 MPG means a huge sacrifice to the family budget. Car companies had better start changing because we are starting to scale back.

Amenities and comfort? Yes, the CX9 has it. But with the lease payment AND the tremendous monthly gas payment, well, there is a chance we may be walking away.

[jabba]

SUVs are taking a beating right now, I believe Ford will be cutting back on production, so I guess they better stop producing crappy cars. The only "sensible" SUV right now is the Highlander Hybrid, which I believe gets a combined 24 mpg (basically 24 city, 24 hwy). Otherwise, a diesel would be nice, but diesel prices are also high, so you just can't win.

I'm not too impressed with the gas mileage on our CX-9, but it had everything we wanted, especially that 3rd row. Station wagons would be more economical, but no third row.

We're hanging on to our CX-9, I hope that oil speculators all get wiped out in a giant tidal wave and gas prices come back down to a semi-reasonable level.

[CX9 SportOwner]

here is my theory. Let's use MORE gas and drive the oil companies out of business by running them out of oil.

[Roosterbite]

If the price of gas goes up anymore, rappers are going to start drinking it. Maybe they already do, I don't watch American TV.

[kosh2258]

If the price of gas goes up anymore, rappers are going to start drinking it. Maybe they already do, I don't watch American TV.

Smart person... :D

The cost to fuel the 9 isn't ideal but it's better than what I used to drive. Trying to do anything with it right now would just be throwing money away for me in terms of lost value.
Things will settle back down eventually and prices stablize but I don't anticipate ever seeing sub $3.25/gal fuel again. If Mazda/Ford were smart they'd be looking for ways to reduce weight and be considering a light duty diesel engine alternative. They can talk EcoBoost all the want, but the real issue with the 9 is mass to get moving and diesel can simply do that more efficiently because of the torque characteristics.

Unfortunately there aren't any easy answers this time. The problem is going to be with us for a while and it will be painful.

Ted

[l-miwa]

Cheapest regular gas in my part of Chicago suburbs is $4.29 right now. It's pushing $5 in the city for premium!!!

I'm using a VERY gentle foot on the gas pedal and managing almost 21mpg with about 60% of my driving at 60mph (not 70mph anymore!).

[EtoileBrilliant]

Ford should have stolen the Land Rover V8 Diesel from the Range Rover before they sold it to the Indians. It would have been perfect:

- 3.7 litres
- 200kW (271PS) @ 4,000rpm
- 640Nm (472 lb/ft) @ 2,000rpm
- Urban L/100km (mpg) 14.5 (19.6)
- Extra urban L/100km (mpg) 9.2 (31.2)

Remember that Imperial gallons are slightly smaller. This means that MPG should be divided by 1.20 to get US equivalent

This is on a vehicle that weighs in at 2717 kgs.

Range Rover UK Web Page (http://www.landrover.co.uk/gb/en/Vehicles/New_Range_Rover/Specifications/Range_rover_engines_and_performance.htm)

[clarko]

You guys don't know how lucky you are, you are paying US$1.05 per liter.

Over here we are now paying A$1.50 or US$1.59 per Liter which would be the same as you paying US$6.00 per gal.

But to make it worse, we have been told we will pay A$2/L by xmas (US$8/gal):eek:


Its time to get the ole pushbike out from under the house.(sad2)

[CX9 SportOwner]

There is really only one solution, but as long as the oil companies have everyone scared or in their pocket, we will never see it...

Hydrogen Fuel Cel. PERIOD

[tripledigits]

I hear all kinds of justifications for the high gas prices, but the bottom line is net profit, and our oil companies, with price collusion, are killing us. I'm not against somebody making a profit, but the current profits are outrageous by any standards. Time to organize a nationwide protest - don't buy any gas for 2 weeks - call in sick for work if you need to.....

[live2ski]

Time to organize a nationwide protest - don't buy any gas for 2 weeks - call in sick for work if you need to.....

that's idiotic. if you want to make a difference, change your lifestyle - use mass transit, buy an electric car, bike to work, or work from home. I fill up about once a month.

[CX-901]

You guys don't know how lucky you are, you are paying US$1.05 per liter.

Over here we are now paying A$1.50 or US$1.59 per Liter which would be the same as you paying US$6.00 per gal.



In my part of the world, a 3rd-world country, Regular Unleaded goes for 1.17 US$ per liter... or an equivalent of 4.42 US$ per gallon.

add the 3rd-world traffic jams, flooded streets,etc (bang) makes our CX-9 only go out at night and the weekend.

[Force-1]

Is there anyone else here in addition to me that just really doesn't care, and is tired of hearing about the high gas prices every 15 minutes throughout the day? Since there's nothing I can do about it, and I will drive what I want, I just don't worry about it!

[Starter]

I went from a RX8 to this CX9, and the 9 gets better MPG. If you don't drive much the 9 rocks. We can always get a compact car for work/trips.

[IanKen]

There is really only one solution, but as long as the oil companies have everyone scared or in their pocket, we will never see it...

Hydrogen Fuel Cel. PERIOD

Not to debate, but there's no one single answer, IMHO.

To make hydrogen you need to crack water, which takes power. In the USA a lot of power stations burn oil.

The way out of this fuel cost mess will be a blend of technologies. And it will be technology that solves the problem. Not drilling for more oil (look at a map of the US, we've drilled it up the wazoo (OK, unpleasant imagery there :-)). Bottom line is: the answer is not more oil.

The folks in other nations, paying $8+ gallon: Well, that sucks but the differential is mostly taxes. The UK is the worst, IMHO, they are a net oil exporter with the North Sea fields. But their oil is better for things other than fuel, so they export that and import fuel.

My "prediction:" now that the consumers in the US are whining a lot (and I am one of them) the auto manufacturers will innovate to stay in business. There will be some rough times but a transition to a blend of technologies will happen. EV, Hydrogen and bio-fuels will all play a part.

My solution? Moving to a new house in a month. The bus stop two blocks down and goes directly to my office, bus pass provided by my employer. Wife drives a hybrid (48MPG, measured). CX9 parked except for family outings and Home Depot runs.

My $.02. YMMV, IMHO.

[IanKen]

I hear all kinds of justifications for the high gas prices, but the bottom line is net profit, and our oil companies, with price collusion, are killing us. I'm not against somebody making a profit, but the current profits are outrageous by any standards. Time to organize a nationwide protest - don't buy any gas for 2 weeks - call in sick for work if you need to.....

Profit margin for "Big Oil" is about 7%-10%, less than Google or Microsoft. Their massive piles of cash are due to the volume of business they do.

http://finance.yahoo.com/q/ks?s=msft
http://finance.yahoo.com/q/ks?s=goog
http://finance.yahoo.com/q/ks?s=xom
http://finance.yahoo.com/q/ks?s=bp

I do think fuel prices would be a bit more stable if the cost of the stuff in the tank was tied to the price of the oil used to make it in some manner. I think what really pisses people off is seeing the price of gas go up from one day to the next, knowing that the contents of the tank at the station have not changed or been topped off. That is counter-intuitive.

[kosh2258]

Is there anyone else here in addition to me that just really doesn't care, and is tired of hearing about the high gas prices every 15 minutes throughout the day? Since there's nothing I can do about it, and I will drive what I want, I just don't worry about it!


I do care in the sense that I want to minimize my consumption and therefore the cost to me. But your point is well taken.

Complaining about it isn't going to change anything and if one needs to drive somewhere the fuel is going to cost what it's going to cost.

The reasons for this sudden run up are suspect but if one understands anything about how petroleum is sold and distributed then you also know that blaming the oil companies is misplaced. The cost is being driven as much by a weak dollar and the commodities markets as anything.

This is likely the petroleum equivalent of the housing market bubble. An artificial run up of value by a certain segment of the market looking to make a fast buck. When the bubble bursts, as it likely will, the effect will not be good.

I definitely hope none of my investments are going into the hedge funds buying those petroleum futures and contributing to the run up.

Alternative wise, we may eventually get to hydrogen fuel cells but that's still a ways off. Until an efficient method is found to extract hydrogen and the establishment of a distribution infrastructure for it, it won't work as an alternative.

However, some recent breakthroughs in biodiesel generation will likely make it the next commercially viable alternative simply because it can be sold through the existing infrastructure.

The biggest problem is that this run up is becoming a market psychology issue and if the US government wants to avoid a big economic meltdown here they really should freeze fuel prices and commodity trading for a few months. That won't help the problem as such, but it would help calm down the rising market frenzy.

Ted

[Starter]

electricity can be made from coal, and US has lots of coal. Hydro is the way to go. and let's not forget about oil shale, we have almost unlimited amounts of the crap.

[offset_98]

Time for the Diesels to start jumping into our larger SUV/CUV's like in Europe and the rest of the world.

[clarko]

As dear as OUR fuel is, I really can't complain too much as my CX9 only gets driven on Sundays, I work the other 6 days and have a company supplied ute with a fuel card.
My biggest gripe is my Ski boat which loves to drink, soon I will be just taking it off the trailer, idling out 200 meters and dropping the anchor, and then saying "were here!" LOL.

[CX9 SportOwner]

Hydrogen can be made right at the H2 stations using their existing water supply. The technology not only already exists, but is in use right now. Also, we need to stop burning to produce electricity and use solar power satellites. This was proposed 40 years ago, and could have been in place by the mid 80's if the oil and power companies didn't pay off the powers that be.

The stupidest part is that these companies would actually reap larger profits from clean fuel and energy, but are so short sighted they choose not to. The cost of 1 off shore oil rig would pay for the refit of one companies' gas stations to H2.

[Infymus]

I know this has turned into a blame debate, but...

Wife just filled up the CX7. She put in 18.6 gallons at 3.799 (got a discount for buying food at SMITHS grocery store). That's 14.8 miles per gallon as she went 277.2 miles. $70.69 this week, but averaging around $68-$75 PER WEEK to drive the CX9. She fills up once every week as the kids go to school, groceries AND her job.

The CX9 right now is a $350 a month gas guzzler. Same as the CX7 if you use middle grade.

The post I made wasn't to find blame, because, well shit, blame doesn't change the price at the pump. The cost is here to stay, and when I bought these cars, gas was under $3.25 a gallon. Now it looks like it is heading well over $4.00 a gallon, making this car very expensive to operate.

[Akaveli]

Miami Beach Florida

http://i303.photobucket.com/albums/nn129/akaveli2g/100_0970.jpg

By christmas we will be paying over $5

[Infymus]

I don't know if we will be at $5 here in Salt Lake as we have our own refineries here that help us keep the price down. But if the price per barrel continues as it is, I can assume at least $4.50 to $4.70 by Christmas.

[Akaveli]

I don't know if we will be at $5 here in Salt Lake as we have our own refineries here that help us keep the price down. But if the price per barrel continues as it is, I can assume at least $4.50 to $4.70 by Christmas.


One thing I've notice is the prices aren't consistence and I think some pumps are trying to get slick and charge a little bit more. I was in Orlando few days ago and regular was under $4 at a BP station. Now that I arrive in South Beach its over $4 at this BP. (notcool)

[Infymus]

I know that places that are "out of the way" will always be higher. My dad lives in Gold Beach Oregon. Gas there is $4.25 a gallon. Gas on average has always been higher.

I remember traveling to Southern California (Corona) on business back in 2003. I took pictures of the outrageous gas prices over there - $2.79 a freaking gallon. I couldn't believe how high it was.

Now I wish it was $2.79.

[djthom]

Time to move out of the suburbs and closer to your job...oh wait rent and housing costs in the city are still to expensive to make this work...

err...

[Infymus]

Time to move out of the suburbs and closer to your job...oh wait rent and housing costs in the city are still to expensive to make this work...

err...

I've had my house on the market since November of last year. I've dropped the price $100k now since then. The housing market sucks and is dropping while the cost of living is jumping exponentially with the gas prices. Hell, a jar of mayo has now hit $5 bucks here because of the gas prices.

It isn't just about the price of gas. It is about how the price of gas is affecting everything.

[Knox Joe]

The way I see it, is if the price of gas jumps a dollar or so, and it effects you this much, you're doing something wrong with your life, and family.

[Infymus]

The way I see it, is if the price of gas jumps a dollar or so, and it effects you this much, you're doing something wrong with your life, and family.

Ignorance is bliss, right? Who said that anyone was doing anything wrong with their life or family?

The cost of gas goes up. Our budgets have to accommodate the increase.

Retailers have to also accommodate the increase. They do it by increasing the cost on their goods.

Our budgets have to accommodate the increase in both areas.

Gas prices going up has an effect on everything and our lives and our family life must change with it. That is why people are traveling less, buying less goods, the cost of homes are dropping and the economy is tanking. Not to mention our brilliant president has us in an quagmire of a war that is draining billions of dollars a month.

[Knox Joe]

Well, I guess I planned well enough that it doesn't effect me one way or another. (shrug)

If you are extended in your finances so far that this effects you, you have done some bad planning.

[jabba]

If you are extended in your finances so far that this effects you, you have done some bad planning.

I'd say yes and no. Without knowing someone's specific situation, you can't say someone has done bad planning; for example, my previous company had one day announced a round of substantial salary reductions, which meant that something had to give to keep the same standard of living, either be much lower 401k contributions, much less money in savings, or trading in for a fuel-efficient car for those that had to commute 45 minutes each way.

But then again, there are people that live beyond their means, and the gas prices might be the breaking point where everything crashes down around them.

[Knox Joe]

If you are extended in your finances so far that this effects you, you have done some bad planning.

I'd say yes and no. Without knowing someone's specific situation, you can't say someone has done bad planning; for example, my previous company had one day announced a round of substantial salary reductions, which meant that something had to give to keep the same standard of living, either be much lower 401k contributions, much less money in savings, or trading in for a fuel-efficient car for those that had to commute 45 minutes each way.

But then again, there are people that live beyond their means, and the gas prices might be the breaking point where everything crashes down around them.

I'd say there are far more people living beyond their means bitching, than people who are not choosing lifestyle spending over being financially secure.