Fuel Prices

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Fuel Prices: Myths and Reality Surrounding the Price of Gas. Part




Why the decrease in refineries?
Several reasons:
1) Bureaucratic red tape ? tens of thousands of regulations ? all fostered through numerous bills passed by Congress and imposed upon the states. This has made oil refinery construction less than a cost effective investment. Thus, fuel prices continue to rise via Congressional interference ? not depleted oil reserves.
2) For all of the controversy and uncertainty about environmental "science", the certainty of our suffering due to increased gas prices remains with us. Yet, environmental and bureaucratic regulations strangle new projects even when there is resolve to build a new, environmentally sound, refinery.
Case in point: $30 million has been spent already in investor money for a refinery in Yuma County, Arizona. Yet, no oil has been produced. In fact, ground hasn?t even been broken. Topping it off, as usual, is bureaucracy. Arizona, acting upon its clean air "guide lines" to enforce Congressional environmental mandates, required project relocation.
According to the New York Times:
"The next step is to complete an environmental impact statement for the federal Bureau of Land Management. That will include an assessment of the refinery?s impact on underground water sources and endangered species, as well as its effect on any Native American burial grounds. After that, the project needs to get the site?s zoning changed by Yuma County from agricultural to heavy industrial: Arizona?s Preservation Office needs to be convinced the refinery does not trample on any ancient historic site or trail; and finally, the project must apply for a presidential permit which is issued by the State Department, to allow the crossing of a 200-mile pipeline into Mexico."
And we wonder why fuel prices are high.
(See Fuel Prices: Myths and Reality Surrounding the Price of Gas. Part II.)
Jim Stuart is a chemical research scientist specializing in automotive, diesel, tractor, and marine engine oil additive technologies. To contact him, go to http://www.technicianstip.com or call 262-646-7579.